How is it extortion? They could have gotten a different deal from anybody else or no deal at all. Nobody was twisting there arm or forcing them to deal with this one company to sell their tariff claims.
This is basically the government doing a protection racket. I swear, the amount of neoliberals in here lauding the move is a recession indicator. Did we all forget what corruption is?
If two companies come to you with an offer to sell the refunds, and one has strong ties to a central figure in the administration — which can, in the future, subject or exempt you from new tariffs and otherwise use the Federal government’s powers to mess with you - are you truly free to choose either offer? Or is there a risk and a benefit to taking the one that’s tied to the administration? (And frankly, can you even be certain either way?) This kind of conflict (even the appearance of this kind of conflict) is why we generally don’t want government officials or their families to be profiting directly off the policies they oversee. It is at best unseemly, and that’s being kind.