On Friday, the Supreme Court gave the Donald Trump-led administration permission to keep $4 billion in foreign aid frozen, which was set to expire on Sept. 30.
Court Backs Executive in Budget Battle
The court’s unsigned ruling overturned a decision by U.S. District Judge Amir Ali, who had ordered the immediate release of the congressionally approved funds, reported The Hill.
The court stated that the government “at this early stage” provided enough evidence to argue that the lawsuit is barred under the Impoundment Control Act. The justices also pointed out that the potential damage to Trump’s foreign policy powers was greater than any possible harm to the respondents.
"This order should not be read as a final determination on the merits," the order said.
"The relief granted by the Court today reflects our preliminary view, consistent with the standards for interim relief."
Administration Uses Rare “Pocket Rescission” Strategy
The freeze follows Trump's Aug. 28 "pocket rescission" proposal to Congress, a legally ambiguous effort to cancel appropriated funds late in the fiscal year. With the 45-day review period potentially expiring before the budget year ends, the funds could lapse if lawmakers don’t act in time.
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Solicitor General D. John Sauer argued that Judge Ali’s injunction would force spending at a “breakneck speed” while Congress reviews the proposal.
Liberal Justices Dissent on Constitutional Grounds
Justice Elena Kagan, in a dissenting opinion joined by Justices Sonia Sotomayor and Ketanji Brown Jackson, stated that the case presents “novel issues fundamental to the relationship between the President and Congress.”
Kagan contended that the administration’s complaints about laws conflicting with Trump’s view of “American values” are “merely a frustration any President must bear.”
Legal Battle Continues Over $30 Billion Aid Freeze
Trump initially paused around $30 billion in foreign aid during his early actions in the White House. Of that, about $10.5 billion is set to expire on Sept. 30, with $4 billion still in dispute after the government aimed to allocate $6.5 billion before the deadline.
In February, global health and aid groups filed a lawsuit, which eventually reached the Supreme Court in March. There, the justices ruled 5-4 against blocking nearly $2 billion in aid payments.
The decision follows similar legal challenges to Trump’s funding freezes, including a March federal court ruling blocking domestic fund suspensions to states.
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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.
