Top Treasury official resigns in wake of controversial fund for Trump allies vetted under Biden

The chief legal adviser to the Treasury Department resigned from his post. The news comes just a day after the Department of Justice (DOJ) announced the creation of a fund against the instrumentalization of justice of nearly $1.8 billion to compensate allies of Donald Trump that were investigated during the Biden Administration.

Brian Morrissey was confirmed to the post by the Senate in October 2025. His resignation, first reported by the New York Times, was confirmed shortly after the Trump Administration confirmed the creation of the fund, which led to the cancellation of the $10 billion dollar lawsuit that the president had in place against the Internal Revenue Service (IRS).

In his resignation letter, the former official thanked both President Trump and Treasury Secretary Scott Bessent.

"As general counsel, Brian Morrissey has served the U.S. Treasury Department with honor and integrity. We wish him all the best in his upcoming endeavors," a Treasury Department spokesman told The Hill. Previously, the official held various positions in the Treasury and Justice Departments during Trump's first term. In addition, he worked for Clarence Thomas, a Supreme Court justice.

The fund's proposal was criticized by Democratic and Republican lawmakers. It seeks to cover the legal expenses of political allies, people investigated in cases linked to Trump and potentially some of those charged in the January 6 Capitol attack. At the moment, the DOJ has not specified who is eligible to access this fund.

John Thune, Republican majority leader in the Senate, was asked about the new fund and responded, "not a big fan. I’m not exactly sure how they would use it, but my understanding is that was just announced."

For her part, Democratic Senator Elizabeth Warren summarized the proposal as "mammoth corruption."

As for the source of funds for the DOJ initiative, Politico reported that the "treasury is responsible for establishing an account for the fund, which will be financed through the federal judgment fund." They further noted that the Treasury Secretary (Bessent) must "certify those payments into the fund."