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    Home»News»Supreme Court Blocks Foreign Aid Funding Amid Legal Dispute Over Trump Administration’s Rescission
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    Supreme Court Blocks Foreign Aid Funding Amid Legal Dispute Over Trump Administration’s Rescission

    ObservernewsBy ObservernewsSeptember 10, 2025No Comments3 Mins Read
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    In a significant move on Tuesday, the U.S. Supreme Court temporarily blocked the disbursement of nearly $5 billion in foreign aid payments that the Trump administration sought to cancel. This decision followed a rare procedural action called a “pocket rescission,” which has not been used by any president for nearly 50 years.

    What Happened

    Supreme Court Chief Justice John Roberts issued a one-page order granting the Trump administration a temporary hold against a ruling by federal District Judge Amir Ali, who had required the disbursement of approximately $11.5 billion in funds previously approved by Congress. The funds, which included $3.2 billion in assistance from the U.S. Agency for International Development (USAID), were earmarked for democracy initiatives, peacekeeping, and various international efforts.

    Judge Ali had ruled that the president needed congressional approval to withhold these funds, arguing that the Impoundment Control Act mandates that only Congress holds the power to rescind appropriated funds. This decision set off a legal battle over the control of foreign aid spending and the boundaries of executive power.

    Reactions

    The ruling was seen as a significant win for the Trump administration, which has consistently prioritized tightening control over foreign aid and scrutinizing spending abroad. Solicitor General D. John Sauer argued that the lower court’s injunction was overreaching and created unnecessary conflict between the executive and legislative branches.

    On the other hand, nonprofit organizations, including the Global Health Council, filed lawsuits, claiming the funding freeze could have dire consequences for life-saving programs in countries that rely on U.S. assistance. These groups argue that the administration’s decision to withhold the funds violates federal law and could endanger public health and humanitarian efforts across the globe.

    What’s Next

    The Supreme Court has requested responses from the involved nonprofit groups, as justices assess the legality of the administration’s actions. This case raises crucial questions about the role of foreign aid in U.S. foreign policy and the executive branch’s authority over taxpayer dollars. It also brings to light the tension between domestic and international spending priorities, as many critics argue that U.S. funds should be more closely scrutinized to ensure they align with the needs of American taxpayers.

    As the case unfolds, the broader conversation about the management of U.S. foreign aid continues, with conservative voices advocating for more stringent oversight and accountability in foreign spending. President Trump’s use of the pocket rescission method, in particular, highlights a desire to reassess and potentially reduce the U.S. financial commitment to international programs.

    Closing Thoughts

    This case is more than a legal battle over the immediate fate of these foreign aid funds; it is a significant test of executive power in fiscal matters and the proper distribution of national resources. As the Supreme Court continues its deliberations, it will be crucial to observe how this case might influence future decisions regarding U.S. foreign policy and the role of Congress in managing public funds.

    This is a developing story. We will update this article as more information becomes available.

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