Trump's Pardons Cost Crime Victims Fund Millions in Lost Fines
A recent analysis by the Trace has uncovered that former President Donald Trump's pardons of white-collar criminals are severely impacting the Crime Victims Fund, established under the Victims of Crime Act (VOCA) in 1984. Since his return to office last year, Trump has pardoned dozens of individuals, often forgiving their fines, penalties, and restitution, totaling billions of dollars. This revenue, which by law must be deposited into the fund, supports critical services for victims of violent crimes, including domestic violence shelters, rape crisis centers, and child abuse treatment programs.
Financial Impact of Pardons on Victim Services
The Trace examined all 117 pardons and commutations issued by Trump in his second term, verifying through court records whether fines were paid or pardoned before payment. Calculations show at least $113 million in forgiven fines and penalties would have gone to the Crime Victims Fund without Trump's intervention. This figure excludes restitution, which is paid directly to victims. A significant portion stems from a single case: the pardon of HDR Global Trading Limited, owner of crypto exchange BitMEX, which avoided a $100 million fine for anti-money laundering violations just hours before it was due.
Steve Derene, co-founder of the National Association of VOCA Assistance Administrators, emphasized that large corporate cases drive the fund's revenue. He cited a 2017 Volkswagen settlement that contributed $2.8 billion, highlighting how few cases can sustain the fund. Derene noted that two-thirds of all deposits since inception come from only 90 cases, making each pardon with fine remission a critical blow.
Shift in Pardon Language and Broader Consequences
Unlike his first term, a third of Trump's current pardons include language remitting "any and all fines," a departure from typical presidential pardons. This shift threatens to deprive the fund of vital revenue, as fines cannot be refunded once deposited, as ruled in a recent court case. Moreover, some pardon recipients hadn't faced trial, meaning potential fines were never levied, suggesting the actual loss exceeds $113 million.
Derene expressed concern that these pardons may discourage federal prosecutors from pursuing cases that yield large fines, fearing their work could be undone by presidential clemency. Data shows white-collar prosecutions have declined sharply since 2011, with a steep drop during Trump's tenure, partly due to staff reallocations to immigration work.
State-Level Struggles and Funding Fluctuations
The $113 million loss has tangible effects on states and territories, which receive VOCA allocations based on population. Over a third received less than $10 million last year, with programs reporting drastic cuts. For example, Oklahoma saw 80% reductions over a decade, Pennsylvania faced a 7.5% cut for domestic violence programs, and New Mexico sought $2 million to cover shortfalls. Maine's governor proposed a $6 million annual allocation to compensate.
Federal data reveals VOCA funding dropped from over $3.7 billion in 2021 to nearly $2.2 billion in 2024, a 40% decrease. This reduction means fewer victims served, declining from 10 million in 2021 to 7.1 million in 2024. Michaela Weber of Victim Support Services in Washington state noted that funding declines force difficult decisions on staffing and capacity, straining support for victims navigating legal, medical, and financial systems.
Political and Systemic Challenges
Beyond pardons, the fund faces other hurdles. Senate Republicans blame the Biden administration for uncollected fines, while Congress considers the Crime Victims Fund Stabilization Act to tap into fraud penalties. However, Trump's cuts to the federal workforce have reduced prosecutors tasked with collecting fines, exacerbating the shortfall. Historically, the fund's balance fluctuated, peaking at $13 billion under Obama and dropping to $3 billion after Trump's first term, though it rebounded to $3.6 billion by February 2026.
Derene, once confident in non-partisan case selection, now questions this faith, citing the politicization of justice processes. With low awareness and strict eligibility criteria limiting VOCA access, especially in marginalized communities, the fund's instability threatens long-term recovery for crime victims nationwide.
