In yet another crackdown on Obama-era corruption, Attorney General Jeff Sessions sent out a memo Wednesday stating that the Department of Justice (DOJ) would end an Obama administration policy of directing large corporations to settle lawsuits by paying unrelated outside groups. Those payments will now go instead to either victims or the Treasury Department.
Republicans had accused Eric Holder’s Justice Department of creating “slush funds” for liberal interest groups with the practice. AG Sessions said of the rule change:
When the federal government settles a case against a corporate wrongdoer, any settlement funds should go first to the victims and then to the American people—not to bankroll third-party special interest groups or the political friends of whoever is in power.”
“Unfortunately, in recent years the Department of Justice has sometimes requires or encouraged defendants to make these payments to third parties as a condition of settlement. With this directive, we are ending this practice and ensuring that settlement funds are only used to compensate victims, redress harm, and punish and deter unlawful conduct.”
An example of this Obama administration practice would be when Gibson Guitar Group had to donate to the Fish and Wildlife Foundation as part of an agreed settlement with the DOJ for illegally importing exotic wood.
Republicans in both the House and Senate have been demanding that this practice end practically since its inception. Here’s one Congressman urging the corrupt policy to be put to bed:
All I can say is thank God President Trump is in charge to flush out these corrupt practices. Obama and Eric Holder probably don’t want people to see their legacy of corruption being dismantled, so share this story 10 million times to get the word out!
Source: Liberty Writers