Esper said he asked for Spencer's resignation because Spencer had broken the chain of command by talking to White House officials about a "deal whereby if the president allowed the Navy to handle the case, he would guarantee that Eddie Gallagher would be restored to rank, allowed to retain his Trident and permitted to retire."

Trump defends military pardons: 'We're going to defend our warriors.'

Spencer confirmed Esper's account in an interview with CBS News. He said he talked to White House counsel Pat Cipollone the day Trump announced that he was reversing Gallagher's demotion and proposed a deal that would allow Gallagher to keep his Trident if Trump agreed not to intervene and "let the Navy do its administrative work."

Spencer said Cipollone turned down the offer and said theTrump to pick between Bread and Butter at annual turkey pardoning ceremony

Trump defended his intervention in the case on Monday, telling reporters in the Oval Office, "I have to protect my war fighters."

"I think what I'm doing is sticking up for our armed forces," he said.

Gallagher was acquitted of fatally stabbing a teen Islamic State captive and firing on civilians but he was demoted for posing with the prisoner's corpse. Trump, who had spoken out on Gallagher's case for months – including a threat to rescind the medals awarded to the Navy prosecutors – reversed the demotion Nov. 15.

Last week, the Navy announced the planned review of Gallagher's status, drawing Trump's ire.

"The Navy will NOT be taking away Warfighter and Navy Seal Eddie Gallagher’s Trident Pin," Trump declared