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US judge extends pause on Trump's plan to freeze federal grants, loans
People gather during a rally in support of federal funding and opposition to US President Donald Trump's order to pause all federal grants and loans, near the White House in Washington, US, Jan 28, 2025. (File photo: REUTERS/Ken Cedeno)
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WASHINGTON: A US judge on Monday (Feb 3) extended a pause on the Trump administration's plan to freeze federal loans, grants and other financial assistance, saying it may have "run roughshod" over Congress's constitutional authority over government spending.
US District Judge Loren AliKhan in Washington wrote that a funding freeze outlined in a memo from the White House budget office last week would be "potentially catastrophic" for organisations that rely on federal funding to carry out their missions and provide services to the public.
Her ruling, issued at the request of several advocacy groups, meant the policy is now subject to two temporary restraining orders. A federal judge in Rhode Island on Friday issued a similar order at the behest of Democratic attorneys general from 22 states and the District of Columbia
