Judicial Standoff: Federal Judges Halt Trump Administration’s Funding Freeze

Two federal judges have issued temporary orders to halt the Trump administration's proposed freeze on federal funding. The injunctions come in response to concerns from nearly two dozen states and highlight ongoing legal battles over the spending of grants and loans amid President Trump's executive agenda.


Devdiscourse News Desk | Boston | Updated: 01-02-2025 04:08 IST | Created: 01-02-2025 04:08 IST
Judicial Standoff: Federal Judges Halt Trump Administration’s Funding Freeze
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In a significant judicial action, two federal judges have issued temporary restraining orders against the Trump administration's attempts to freeze federal funding. The legal moves reflect states' apprehensions about the potential economic impact of halting grants and loans worth trillions of dollars.

Judge John McConnell, operating from Rhode Island, sided with nearly two dozen states by ordering the federal government to maintain the flow of funds. The ruling comes after a memo from the Office of Management and Budget sparked fears among states and institutions reliant on federal support. The White House maintains that the funding freeze aligns with President Trump's executive orders on issues like fossil fuel production and diversity programs.

The administration's justification for the funding pause was to evaluate whether current spending complies with Trump's executive directives. Yet, backlash from states and a swift judicial intervention underscore the contentious nature of the proposed freezes, as legal battles unfold over the limits of executive power.

(With inputs from agencies.)

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