Elite-University Harvard: US government continues to restrict support

In the dispute with Harvard, the US government of the renowned elite university imposed new restrictions on access to federal funds. The Ministry of Education announced on Friday that Harvard had the status of “increased cash monitoring (HCM)”. The ministry justified the step with “increasing concerns about the financial situation” of the university.

The ministry referred to President Donald Trump’s allegations that there had been violations of civil rights at the university. This has led to uncertainty regarding future financing. In addition, the ministry referred to the decision of the university to issue bonds and relieve employees.

The status change states that the university has to fall back on its own funds to pay for the training grants promised by federal officials, but the university can later apply for reimbursement by the government. The ministry said that the students would continue to have access to federal funds. However, Harvard had to take over the first payments “as a security measure”. This should ensure that the university “spends the tax money responsibly”.

In addition, the university has to store “an irrevocable loan guarantee of $ 36 million” (around 31 million euros). This serves to “cover potential liabilities and ensure that Harvard fulfills his financial obligations towards the students and the ministry”.

Most recently, Harvard had won a victory in the legal dispute with the Trump government for medium cuts. A federal court in Boston in the state of Massachusetts highlighted the government of federal funds at the beginning of September.

The government had sued Harvard in April to receive frozen federal grants of more than two billion dollars ($ 1.7 billion). Trump justifies the cuts with pro-Palestinian demonstrations on the campus since the beginning of the Gaza War on October 7, 2023. Harvard had also refused to comply with government claims such as the deletion of diversity programs and the examination of his students.

Trump’s government accuses the university and other universities across the country not to adequately protect its Jewish students during the pro-Palestinian protests. Harvard rejected the allegations.

Harvard is considered one of the richest universities worldwide. The university’s assets are estimated at around $ 53 billion. It is mainly due to donations.