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Forbes
Forbes
28 Jan 2025


A U.S. district judge temporarily blocked President Donald Trump’s freeze on federal grants and loans that caused nonprofits and Democratic attorneys general to sue his administration Tuesday.

Trump House Republicans

President Donald Trump arrives to speak at the 2025 House Republican Members Conference Dinner at ... [+] Trump National Doral Miami in Doral, Fla., Monday, Jan. 27, 2025.

Copyright 2025 The Associated Press. All rights reserved.

U.S. District Judge Loren L. AliKhan blocked the federal freeze—which was designed so Trump’s administration could review whether programs aligned with his agenda—minutes before it was set to go into effect on Tuesday, multiple outlets reported.

The pause will remain in effect until Monday, when a hearing will take place on the issue, AliKhan ruled.

The judgment only applies to existing programs that stood to have their funding paused, the Associated Press reported.

The freeze in spending was announced Monday night by the acting director of the Office of Management and Budget, who said in a memo agencies had to “temporarily pause all activities related to obligation or disbursement of all Federal financial assistance,” though it reportedly did not apply to Social Security or Medicare and the OMB was able to grant other exceptions.

This story is breaking and will be updated.

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States And Nonprofits Suing Trump Over ‘Catastrophic’ Pause In Federal Funding: ‘Immediate Nationwide Harm’ (Forbes)

Chaos ripples through country as Trump orders federal funding freeze (Associated Press)

Trump Pauses Federal Grants Starting Today—But Details Are Scarce. Here’s What We Know. (Forbes)