U.S. District Judge Loren AliKhan temporarily halted President Donald Trump's plan to freeze federal grants and loans on Tuesday right before it was set to take effect.
Why It Matters
The freeze was announced by Matthew J. Vaeth, the acting director of the Office of Management and Budget, on Monday. The effort aims to stop government funding for causes that do not align with Trump's agenda.
The freeze was scheduled to begin at 5 p.m.
What To Know
AliKhan granted a "brief administrative stay" after a group of nonprofit and public health organizations filed a lawsuit.
The judge met with lawyers from the Justice Department and the National Council of Nonprofits prior to issuing the stay. The nonprofit organizations are alleging that the funding freeze would cause irreparable harm to their members.
A lawyer for the Justice Department argued that the council had not proven that a delay in receiving federal funds would force them to cease operations or lay off staff.
AliKhan is asking the nonprofits to identify a specific harm caused by the freeze.
"I will be prepared, if I am not satisfied that you have met the standard for the [temporary restraining order], to vacate the administrative stay on Monday," AliKhan told lawyers representing the nonprofits.
Who Is Judge Loren AliKhan?
AliKhan has served as a district judge for the District Court for the District of Columbia since 2023. She previously served as an associate judge of the District of Columbia Court of Appeals from 2022 to 2023 and the solicitor general of the city from 2018 to 2022.
Who Appointed Judge Loren AliKhan?
AliKhan was appointed to the district court and court of appeals by then-President Joe Biden.
What People Are Saying
Vaeth, in a memo released Monday: "Federal agencies must temporarily pause all activities related to obligation or disbursement of all Federal financial assistance, and other relevant agency activities that may be implicated by the executive orders, including, but not limited to, financial assistance for foreign aid, nongovernmental organizations, DEI, woke gender ideology, and the green new deal."
Jessica Morton, a lawyer for the National Council of Nonprofits, at a hearing: "The chaos caused by the complexity and the ambiguity of OMB's supposed guidance has already caused questions in the public."
What Happens Next
The stay will remain in effect at least until Monday at 5 p.m. EST. AliKhan scheduled a hearing for that same day to determine if a longer pause should be implemented.
Do you have a story Newsweek should be covering? Do you have any questions about this story? Contact LiveNews@newsweek.com.
Is This Article Trustworthy?
Is This Article Trustworthy?
Newsweek is committed to journalism that is factual and fair
We value your input and encourage you to rate this article.
Newsweek is committed to journalism that is factual and fair
We value your input and encourage you to rate this article.
Slide Circle to Vote
No Moderately Yes
VOTE
About the writer
Jenna Sundel
Jenna Sundel is a Newsweek reporter based in New Jersey. Her focus is reporting on breaking news. She has in-depth ...
Read more
English (US) ·