Wed Mar 19 03:25:13 UTC 2025: ## Federal Judge Blocks Trump Administration’s Attempt to Freeze $14 Billion in Climate Grants

**Washington, D.C. – March 19, 2025** – A federal judge has blocked the Trump administration’s effort to terminate $14 billion in climate grants awarded to three environmental groups by the Biden administration. U.S. District Judge Tonya Chutkan ruled that the administration’s claims of fraud were “vague and unsubstantiated,” preventing the Environmental Protection Agency (EPA) from ending the grant program, which totaled $20 billion. The judge also prevented Citibank, the holding institution, from transferring the funds.

The ruling comes after EPA Administrator Lee Zeldin accused the grant recipients – Climate United Fund (awarded nearly $7 billion), the Coalition for Green Capital ($5 billion), and Power Forward Communities ($2 billion) – of mismanagement, fraud, and self-dealing. However, Judge Chutkan deemed Zeldin’s allegations insufficient to justify the unilateral termination of the grants. This decision marks the third ruling against the Trump administration on a single day, following other judicial setbacks.

The grants were awarded under the Greenhouse Gas Reduction Fund, established by the 2022 Inflation Reduction Act to fund clean energy projects. Republicans opposed the act and have criticized the fund as an “unaccountable slush fund.” The environmental groups argued that the freeze on the funds prevented them from financing projects and risked staff layoffs. They maintained that the allegations of mishandling were baseless.

Climate United CEO Beth Bafford welcomed the judge’s decision as a positive step, while EPA declined to comment. Mr. Zeldin, however, previously described the grants as a “gold bar” scheme, citing concerns about conflicts of interest and lack of government oversight. The case is ongoing, and the judge’s order maintains the status quo until further legal proceedings. The ruling represents a significant victory for the environmental groups and a setback for the Trump administration’s efforts to dismantle the climate initiative.

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