Mike Huckabee said on "The First 100 Days" that donations the Justice Department reportedly made to non-profit groups with money from settlements against corporations amounted to "worse than a mafia shakedown."
The House Judiciary Committee found that when the DOJ takes legal action against banks and businesses for various reasons, the defendants are often eager to settle.
The money from those settlements is often divided between affected customers, the government, or it can be donated to what Republicans call a "slush fund" at the DOJ.
Under the Obama administration, recipients of the "slush fund" money included La Raza and the National Urban League, two decidedly liberal entities, FoxNews.com reported.
Huckabee said that no matter their ideology, the slush fund violates the Constitution because only Congress can allocate money in that way.
"Somebody ought to go to jail for this," he said, calling the fund "a case where liberals have played Robin Hood."
"They've stolen from the government and given it to their pals," he said.
Martha MacCallum reported that Virginia Congressman Robert Goodlatte (R-Roanoke) and Sen. James Lankford (R-Okla.) have sponsored legislation to end the practice.