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The Trump administration imposed financial controls on Harvard, demanding a $36M letter of credit and restricting federal aid access over compliance and admissions concerns.
The Trump administration has placed Harvard University under heightened financial oversight, requiring it to use its own funds for student financial aid before accessing federal money and demanding a $36 million letter of credit.
The move follows concerns over Harvard’s financial stability, compliance with civil rights laws, and admissions practices, particularly regarding race, after a 2023 Supreme Court ruling banning affirmative action.
The Department of Education cited noncompliance with document requests and plans to issue over $1 billion in bonds as triggers.
This action is part of a broader federal effort targeting elite universities, including the cancellation of $2.6 billion in research funding, which a federal judge ruled was ideologically driven and ordered restored.
Harvard, which has a $53 billion endowment, has not publicly responded but has sued over the funding cuts.
The administration continues to push for a settlement, with President Trump reportedly seeking at least $500 million in penalties.
La administración Trump impuso controles financieros a Harvard, exigiendo una carta de crédito de $ 36M y restringiendo el acceso a la ayuda federal por preocupaciones de cumplimiento y admisión.