A federal judge has decided to uphold a temporary pause on the Trump administration's freeze of federal grants and loans while she considers a more permanent block. This decision comes after a group of nonprofits brought a case challenging the funding freeze.
During a recent hearing, the plaintiffs' attorney argued that the temporary restraining order has been effective in unfreezing funds in recent weeks but emphasized the need for further court intervention. The funding freeze, implemented shortly after President Trump's second term began, caused confusion and concern among states, charities, and other entities reliant on federal funding.
US District Judge Loren AliKhan initially issued a short-term pause on the funding freeze just before it was set to take effect. Despite the White House rescinding the memo following the judge's action, the plaintiffs argued that the freeze was still impacting them.
Judge AliKhan announced that she would maintain the temporary restraining order and would rule on the motion for a preliminary injunction in due course. The Trump administration's attorney contended that the case was moot due to the memo's rescission by the White House Office of Management and Budget.
Meanwhile, a separate case brought by attorneys general from 22 states and the District of Columbia in Rhode Island is also challenging the funding freeze. A hearing is scheduled for Friday in that case to address the states' request for a preliminary injunction.
