Judge orders Trump administration to pay nearly £1.5 billion in USAid debts

A federal judge gave the Trump administration until Monday to pay nearly two billion dollars (£1.5 billion) owed to partners of the US Agency for International Development (USAid) and the US State Department.

US District Judge Amir Ali on Thursday ruled in favour of non-profit groups and businesses that sued over the funding freeze, which has forced organisations around the world to slash services and lay off thousands of workers.

Mr Ali’s line of questioning suggested scepticism of the Trump administration’s argument that presidents have wide authority to override congressional decisions on spending when it comes to foreign policy, including foreign aid.

“It would be an earth-shaking, country-shaking proposition to say that appropriations are optional,” the judge said.

“The question I have for you is, where are you getting this from in the constitutional document?” he asked government lawyer Indraneel Sur.

Thursday’s order forms part of an ongoing case with more decisions coming on the administration’s fast-moving termination of 90% of USAid contracts worldwide.

Mr Ali’s ruling comes a day after a divided Supreme Court rejected the administration’s bid to freeze funding that flowed through USAid.

The high court instructed Mr Ali to clarify what the government must do to comply with his earlier order requiring the quick release of funds for work that had already been done.

The funding freeze stemmed from an executive order signed by President Donald Trump on January 20.

The administration appealed after Mr Ali issued a temporary restraining order and set a deadline to release payment for work already done.

The administration said it replaced a blanket spending freeze with individualised determinations, which led to the cancellation of USAid contracts and State Department grants totalling nearly 60 billion dollars (£46.5 billion) in aid.