Grand Theft America

Power Grab/Make it too expensive to hold him accountable

The Justice Department asks the First Circuit to reinstate $2.7 billion in Harvard grant cuts

— DOJ asks the First Circuit to reinstate $2.7B in Harvard grant cuts.

On October 6, 2026, a Justice Department lawyer told the court the government may cut funding “for any policy reason,” and a judge said the administration seemed to want to avoid Title VI procedures.

Date
At stake
Nearly $2.7 billion in research grants
Status
Underway
Lower court
Judge Burroughs ordered the grants restored in September 2025

What happened

On October 6, 2026, Justice Department lawyer Michael Velchik urged a First Circuit panel to vacate the order restoring nearly $2.7 billion in Harvard research grants. Judge Allison Burroughs issued it in September 2025, ruling the cuts were retaliation for Harvard’s speech. Velchik argued the terminations are contract disputes that belong in the Court of Federal Claims.

Velchik argued the government may cut funding “for any policy reason,” even “lead paint or asbestos.” Judge Sandra Lynch said it “rather looks like the administration didn’t want to have to cope with” Title VI’s procedures, which govern cutting funding over discrimination.

The next day the same panel heard the government’s appeal of the ruling that blocked its bar on Harvard enrolling international students. In February 2026 Trump had demanded $1 billion from Harvard. A separate Justice Department antisemitism suit against the university was dismissed in August and is on appeal.

Who benefited

If the government wins, grant cuts become contract disputes for the Court of Federal Claims, not matters for a district court. The administration would gain a ruling that applies beyond Harvard to every university that depends on federal research money.

Who wanted something

Trump demanded $1 billion from Harvard in February 2026, while the appeal was pending. The government’s argument that it may cut funding for any policy reason would apply to every university, not only the one it is fighting.

Who lost out

Harvard’s researchers have had their grants in limbo for 18 months. Every other university watching the case is learning whether its federal funding can be withdrawn over its politics, and the appeals judge noted that the Title VI procedures were the ones the administration appeared to avoid.

Why it matters

The Harvard fight is now at an appeals court, where the government argues in open court that it may cut any university’s funding for any reason it calls policy. The 2025 district-court win did not end it. A $1 billion demand is still on the table.

Sources The Harvard CrimsonCNNThe Hill

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