A federal judge has issued a temporary order halting Donald Trump's administration from freezing funds to the US Agency for International Development (USAID), a move that has caused widespread disruption to global development programs. The ruling, won by two organizations representing health groups receiving US aid, marks a significant setback for Mr Trump's efforts to dismantle USAID, led by his close ally Elon Musk. The judge criticized the administration's 'blanket suspension' of foreign aid, highlighting the negative impact on contractors, farmers, and suppliers worldwide. The order prevents the Trump administration from enforcing stop-work orders issued to organizations carrying out foreign aid projects.
A federal judge has ordered Donald Trump 's US administration to temporarily allow funds to the US Agency for International Development ( USAID ). The temporary order was issued in a lawsuit brought by two groups representing health organisations receiving US funds for work abroad. This ruling is the latest setback for Mr Trump over his dismantling of USAID , led by his close ally Elon Musk .
The court ruling is the first to directly address what aid groups and others say has been a sudden and absolute cut-off of USAID funds for programs abroad. The sharp end to funding left contractors, farmers and suppliers in the US and around the world without hundreds of millions of dollars in pay for work already done and forced widespread layoffs. Judge Amir Ali issued the temporary order on Thursday local time in a lawsuit brought by two organizations, the AIDS Vaccine Advocacy Coalition and the Global Health Council, representing health organizations receiving US funds for work abroad. In his order, Judge Ali noted that the Trump administration argued it had to shut down funding for the thousands of USAID aid programs abroad to conduct a thorough review of each program and whether it should be eliminated. He added that the administration officials had not 'offered any explanation' for a 'blanket suspension' of all congressionally appropriated foreign aid, which set off a 'shockwave' and 'up-ended contracts with thousands of nonprofit groups'. Lawyers for the administration failed to show they had a 'rational reason for disregarding…the countless small and large businesses that would have to shutter programs or shutter their businesses altogether,' according to Judge Ali. The ruling also bars Secretary of State Marco Rubio and other Trump officials from enforcing stop-work orders that the Trump administration and Mr Musk have sent to the companies and organisations carrying out foreign aid orders. The funding order applies to contracts that were in place before President Trump issued his January 20 executive order declaring a freeze on foreign assistance. Judge Ali also rejected the Trump administration’s argument that it was buffering the impact of the funding freeze, offering waivers to allow funding to keep flowing to some aid partners. He cited testimony that no such waiver system yet existed and that the online payment system at USAID no longer functioned.
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