NEW YORK: The Trump administration has imposed fresh restrictions on Harvard University’s access to federal funds, escalating its ongoing crackdown on the prestigious institution.
The Department of Education announced it has placed Harvard under heightened cash monitoring status due to growing concerns about the university’s financial position.
Federal officials cited the administration’s accusations of civil rights violations and Harvard’s recent bond issuances and employee layoffs as creating funding uncertainty.
This status requires Harvard to use its own funds to pay student financial aid packages initially, with reimbursement from the government coming later.
“Students will continue to have access to federal funding, but Harvard will be required to cover the initial disbursements as a guardrail to ensure Harvard is spending taxpayer funds responsibly,“ the department stated.
Additionally, Harvard must post an irrevocable letter of credit for $36 million to cover potential liabilities and ensure it meets financial obligations to students and the department.
This action follows a judicial victory for Harvard when a Boston judge ordered the administration to lift its freeze on approximately $2.6 billion in federal funds for the university.
The judge wrote that Trump’s Department of Education used antisemitism as a smokescreen for a targeted, ideologically motivated assault on premier universities.
Trump officials accuse Harvard and other schools of promoting woke ideology while failing to sufficiently protect Jewish students during pro-Palestinian protests.
Harvard has denied these claims, stating the federal government is focused on controlling the school’s hiring, admissions, and curriculum.
University officials did not comment on the latest restrictions but announced they had begun recovering some previously frozen funds.
“We are pleased to see the disbursement of $46 million in research funding from the U.S. Department of Health and Human Services,“ Harvard stated.
“This is an initial step, and we hope to continue to see funding restored across all of the federal agencies.” – AFP
