
A federal appeals court on Wednesday overturned a lower court ruling that had required the U.S. State Department to resume foreign aid payments, delivering a win for President Donald Trump. In a 2-1 decision, the U.S. Court of Appeals for the D.C. Circuit said the nonprofit groups challenging the aid freeze lacked legal grounds to press their claims, and only the U.S. Government Accountability Office could dispute the president’s actions. The decision reversed an order by U.S. District Judge Amir Ali to release nearly $2 billion in outstanding humanitarian aid.
Trump, inaugurated for a second term on January 20, ordered a 90-day pause on all foreign aid the same day, followed by steps to overhaul the U.S. Agency for International Development (USAID), including putting staff on leave and considering bringing the agency under the State Department’s control. Two federally funded nonprofits — the AIDS Vaccine Advocacy Coalition and the Journalism Development Network — had argued the freeze was unlawful and violated Congress’s spending authority.
Circuit Judge Karen Henderson, joined by Judge Gregory Katsas, wrote that the court was not ruling on the constitutional questions surrounding the aid freeze. In a dissent, Judge Florence Pan accused the majority of enabling the Executive Branch to sidestep federal law and disrupt the separation of powers. The White House budget office welcomed the ruling, saying it stopped “radical left dark money groups” from interfering with Trump’s “America First” foreign aid policies.
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