Judge Orders Administration to Stop Processing Claims, Transferring Funds, or Issuing Payments While Court Considers Plaintiffs’ Motion to Enjoin Slush Fund Creation
[NEW HAVEN, CT] — Today, Mayor Justin Elicker applauded a federal court order to the Trump-Vance administration to immediately pause all activity related to its $1.776 billion so-called “Anti-Weaponization Fund,” barring the administration from transferring money, processing claims, or distributing payments while the court considers plaintiffs’ challenge to the program.
The order comes just one week after the City of New Haven and a coalition of individuals, organizations, and government accountability advocates, represented by Democracy Forward, sued to block the fund, arguing that it is an unconstitutional and unlawful political compensation scheme that benefits only those individuals aligned with the Trump-Vance administration. The plaintiffs include the City of New Haven, former federal prosecutor Andrew Floyd, Professor Jonathan Caravello, the National Abortion Federation and Common Cause and the case is Andrew Floyd et al. v. U.S. Department of Justice et al.
“The court’s temporary injunction is a victory for taxpayers in New Haven and nationwide — and it is also a victory for the rule of law. President Trump’s so-called ‘Anti-Weaponization Fund’ is a transparent attempt to use hard-earned taxpayer dollars as a slush fund to support and reward his political allies, supporters and, unconscionably, January 6th insurrectionists. New Haveners want their federal taxpayer dollars to be used for critical government functions and services like public safety, infrastructure, Medicare and Social Security – not to advance President Trump’s personal political interests,” said Mayor Justin Elicker. “New Haven is proud to be a plaintiff in this lawsuit and to, once again, be a city that is leading the charge in standing up to the Trump administration when its actions cross the line and negatively impact our residents, city and democratic values.”
In granting relief, which came less than 24 hours after the plaintiffs filed a motion for emergency relief, the federal court specifically recognized the need to preserve the status quo while the court considers the legal arguments raised by plaintiffs, as well as plaintiffs’ concerns that the government had declined to provide assurances regarding how long the fund would remain inactive. The court ordered the administration to cease any further action related to the fund, including transferring money to it, considering submitted claims, or disbursing taxpayer dollars.
In the plaintiffs’ filing yesterday, they warned that at least one claimant had already publicly announced a request for $2.7 million from the fund and that other allies of the administration had signaled plans to seek compensation as well. Plaintiffs argued that once taxpayer funds were distributed, the constitutional harms could not be undone. Plaintiffs’ motion noted that they had requested that the U.S. Department of Justice (DOJ) make assurances that money would not be distributed from the fund while the court was reviewing the matter, and the DOJ refused to provide such assurances.
This fund was designed to operate with extraordinary secrecy, minimal oversight, and political favoritism built into its very structure. At a time when claims were already reportedly being submitted, and payouts could have begun at any moment, the court acted to stop public money from being disbursed through a program that raises profound constitutional concerns.
As noted in the original complaint, the City of New Haven and other cities and local governments have been targeted by the Trump administration through civil litigation and weaponized federal funding terminations to punish opposition to the Trump administration’s agenda. This includes a sustained campaign by the Trump administration to use the levers of the federal government to punish what it views as “sanctuary” jurisdictions as evidenced by the Trump Administration’s recent lawsuit against the City of New Haven and Mayor Elicker challenging the validity of New Haven’s Welcoming City Executive Order (United States v. Connecticut, et al.). As part of the same campaign, the Trump administration has also sought to withhold federal funds from New Haven, in an effort that a federal court determined was likely unlawful on multiple grounds (San Francisco et al. v. Trump et al.).
The plaintiffs in the case issued the following joint statement:
“We are pleased that the court granted our request to ensure the administration does not distribute taxpayer funds until our motion has been considered. The court acted quickly to stop this unlawful scheme before money could start flowing out the door. The Trump-Vance administration attempted to create a secretive, taxpayer-funded program that rewards political allies, operates without oversight, and evades the constitutional safeguards that protect our democracy. We are grateful that the court recognized the urgency of the situation and acted to preserve the status quo before further irreparable harm occurred.”
“We won our first major victory today, but our fight continues,” Omar H. Noureldin, senior vice president of policy and litigation at Common Cause. “Congress must act now to permanently dismantle this illegal slush fund. We will not stop organizing until American tax dollars are safe from funding a president’s corrupt, personal vendetta.”
“Today, a federal court recognized the urgent need to prevent taxpayer dollars from being distributed through a secretive and unprecedented political compensation scheme before the legality of that program can be fully reviewed by the court,” said Skye Perryman, President and CEO of Democracy Forward. “This is a victory for transparency, the rule of law, and the American people. No administration has the authority to spend public money through a political rewards program that Congress never authorized. We look forward to the next stages in this case.”
The full court order can be read here.
To date, the City of New Haven has joined five lawsuits against the Trump administration and 24 other amicus briefs.
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