Federal Judge Extends Pause on Trumps Federal Grant/Loan Freeze

Published on 3 February 2025 at 20:39

by Joe

 

 

 



5-Minute read






According to Reuters, a federal judge on Monday extended a temporary halt on the Trump administration’s attempt to freeze federal loans, grants, and other financial assistance, suggesting the move may have overstepped Congress’s constitutional authority over government spending.

 

U.S. District Judge Loren AliKhan, based in Washington, described the funding freeze outlined in a recent White House budget office memo as potentially "catastrophic" for organizations that depend on federal funds to operate and serve the public. The freeze, which implicated up to $3 trillion in financial assistance, was characterized by the judge as an abrupt and sweeping action that lacked clarity or justification.

The Office of Management and Budget (OMB) initially sought to clarify the pause but ultimately withdrew the memo entirely on Wednesday. The Trump administration argued that the withdrawal should nullify the lawsuit brought by a coalition of advocacy groups. However, Judge AliKhan, appointed by former President Joe Biden, disagreed, stating that a temporary restraining order was still necessary. She noted that unresolved funding issues persisted and that nothing prevented the OMB from reintroducing the policy in the future.

 

"The president’s wishes cannot serve as a blank check for OMB to act without constraints," AliKhan wrote. She emphasized that the freeze appeared arbitrary and may have violated Congress’s constitutional authority over government spending. "It did not specify when, or if, the freeze would end," she added, "and it sought to strip Congress of its exclusive power over the nation’s finances." However, after recent actions taken by DOGE and then the Trump administration, it has become clear to the thinking majority that the freeze may have been meant to be temporary to start with. After the short freeze, DOGE gained access to the Treasury Department and then discovered a ton of waste as you all know. 

The left has tried to deny much of what was found, groups like the deranged Occupy Democrats attempted to claim that the majority of it was untrue. Yet, one can't help but notice the meltdowns that the left and the RINOS are currently having over the ending of programs like USAID. USAID is a program that has been used by bad actors in government to topple elected officials in foreign lands and replace them with puppets of the USA. The program was funding terrorist organizations and also funding sneaky efforts to sway opinions in foreign lands in the hope of and in some cases even directing coups against foreign governments. 

 

The judge’s order will remain in effect while she considers whether to impose a longer-term preliminary injunction. The U.S. Department of Justice, representing the Trump administration in court, declined to comment on the ruling. As stated however, this may just be a waste of this idiot judge's time in the end, as I highly suspect that they got what they needed during the initial pause. 

 

The decision was celebrated by Diane Yentel, president of the National Council of Nonprofits, one of the groups that filed the lawsuit. Yentel called the administration’s plan a "reckless attempt to halt funding" that would have severely disrupted critical services. During Monday’s hearing, Kevin Friedl, an attorney for the advocacy groups, argued that despite the memo’s withdrawal, some grant recipients were still experiencing difficulties accessing funds. Of course, as many of you thinking readers of mine know NPO's tend to be some of the shadiest groups out there. Taking part in the flow of illegals that the vast majority of Americans do not want here, moving them around the country and so on. 

 

"The policy’s impact lingers," Friedl told the judge. Meanwhile, Justice Department lawyer Daniel Schwei countered that the president retains the authority to set funding priorities through executive orders, which were not contested in the lawsuit. "The president has the right to direct and oversee federal agencies," Schwei asserted. As I explained to you just the other day, the Constitution has the basis that the president is the top executive. The CEO of America if you will. This means his powers can be kept in check but are not limited in regard to many things. Especially keeping in mind that our entire congress at least appeared to be oblivious to the fact that we were auto paying for things for other countries with no checks and balances. If our Senate cannot ensure that they are keeping track of the money that they throw at everyone and everything, then someone has to, right?

 

AliKhan’s ruling adds to the legal challenges facing the administration’s policy. A federal judge in Rhode Island issued a similar restraining order on Friday at the request of Democratic attorneys general from 22 states and the District of Columbia. Together, the two orders effectively block the OMB from implementing the freeze while the legal battles continue.

 

Last week, AliKhan had imposed a brief administrative pause to prevent the OMB from advancing its policy while she deliberated on the broader restraining order. The OMB had justified the freeze as necessary to align federal funding with President Trump’s executive orders on immigration, climate change, diversity, and other issues. However, the judge’s latest decision underscores the legal and constitutional hurdles the administration faces in its efforts to reshape federal spending priorities.

One thing is clear, activist judges and shady NPO's still retain a little power for the dying deep state and they fully intend on using this power to fight our President who the American people overwhelmingly elected to clean up things just like this. 

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