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Justice Department Finalizes Second Settlement With Michael Flynn

Critics say the payout, which resolves a retirement-pay dispute tied to a 2015 RT speaking fee, highlights continued use of civil settlements to compensate political allies.

Overview

  • A public court filing in late June said the Justice Department finalized and executed a settlement that resolves Flynn’s claim over withheld Army retirement pay and Bloomberg reported the payment was below $75,000.
  • The Defense Finance and Accounting Service had withheld about $38,557 from Flynn’s pension after finding the 2015 speaking fee from Russia Today violated an emoluments rule for unpaid foreign government compensation.
  • This payment follows a separate March settlement in which the DOJ paid Flynn $1.25 million to resolve his suit accusing prosecutors of politically motivated charges after his 2017 guilty plea and subsequent pardon.
  • The case remains technically active in federal court because the parties were ordered to file a status report by July 27, 2026, or drop the suit, signaling possible further steps or closure.
  • Lawmakers and watchdogs say the settlements fit a broader pattern of payouts to allies despite a judge blocking a proposed centralized 'anti-weaponization' fund, and the trend could increase scrutiny of DOJ settlement practices and of officials tied to the fund’s rollout.