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Business News of Tuesday, 15 April 2025

    

Source: www.ghanawebbers.com

Trump freezes $2bn in Harvard funding after university rejects demands

Protester against Trump federal fund cuts Protester against Trump federal fund cuts

The Trump administration is freezing over $2 billion in federal funds for Harvard University. This decision came hours after Harvard rejected a list of demands from the White House.

The Department of Education criticized Harvard's response. They stated it reflects a troubling entitlement mindset at prestigious universities.

Last week, the White House sent demands to Harvard aimed at fighting antisemitism on campus. These included changes to governance, hiring practices, and admissions procedures.

Harvard rejected these demands on Monday. The university claimed the White House was trying to control its community.

Harvard is the first major U.S. university to resist pressure from the Trump administration. The proposed changes would have significantly altered its operations and given more control to the government.

President Trump has accused universities of not protecting Jewish students. This accusation arose during protests against the Gaza war and U.S. support for Israel last year.

In a letter to the Harvard community, President Alan Garber mentioned an updated list of demands from the White House. He noted that compliance was necessary to maintain financial ties with the government.

Garber stated that Harvard would not accept this agreement. He emphasized that the university would not give up its independence or constitutional rights.

He acknowledged their obligation to combat antisemitism but argued that government demands were excessive.

Garber pointed out that while some demands aimed at combating antisemitism, most represented direct governmental regulation of intellectual conditions at Harvard.

Shortly after his letter, the education department announced it was freezing $2.2 billion in grants and $60 million in contracts for Harvard immediately. They described recent disruptions on campuses as unacceptable.

The department also condemned harassment against Jewish students as intolerable. They urged elite universities to take these issues seriously if they want taxpayer support.

In a separate letter, the White House claimed that Harvard had failed to meet intellectual and civil rights conditions justifying federal investment.

This letter outlined ten categories of proposed changes needed for maintaining financial relationships with the federal government.

Some proposed changes included reporting students who are "hostile" to American values and ensuring viewpoint diversity in academic departments. It also called for hiring an external party approved by the government to audit programs related to antisemitic harassment.

The letter demanded disciplinary action for violations during campus protests over two years and an end to diversity policies at Harvard.

Since taking office, President Trump has pressured universities regarding antisemitism and diversity practices.

In December 2023, top U.S. university presidents faced tough questioning in Congress about protecting Jewish students amid rising tensions following the Israel-Hamas war two months earlier.

Claudine Gay, then president of Harvard, later apologized after her comments during this hearing sparked controversy regarding free speech on campus.

Her remarks contributed to her resignation a month later due to allegations of plagiarism as well.

In March, Trump's administration reviewed approximately $256 million in federal contracts and grants at Harvard along with an additional $8.7 billion in multi-year commitments.

Harvard professors filed a lawsuit claiming this review unlawfully attacked freedom of speech and academic freedom.

Previously, Columbia University lost $400 million in federal funding over similar accusations regarding antisemitism protection on campus.

Secretary of Education Linda McMahon stated that universities must comply with all federal antidiscrimination laws if they wish to receive funding.

Columbia later agreed to several administration demands but faced criticism from some students and faculty members.

On Monday, a lawyer reported that immigration officials arrested an organizer of pro-Palestinian protests at Columbia University during his citizenship interview.

Mohsen Mahdawi was detained while attending his interview in Colchester, Vermont.

Other participants in campus protests against the war have also been detained recently, including individuals from Columbia University and Tufts University.