President Trump’s Justice Department is following a river of Chinese money into Harvard—and asking whether American students were pushed away from the bank.
The numbers alone are staggering. Harvard has disclosed nearly $4.5 billion from foreign sources, including more than $630 million from China-based sources.
The Justice Department announced a Title VI compliance review after an audit of Harvard’s legally required foreign-funding disclosures raised questions about restricted gifts and contracts.
DOJ says some China-based donors placed conditions on how their money could be used, including preferences for students from particular countries. Investigators want to know whether Harvard followed those restrictions by steering aid toward foreign students based on national origin and away from Americans or other students.
That is the allegation under review. DOJ has not concluded that Harvard broke the law, and the full $630 million is not being described as scholarship money.
The investigation is focused on the restricted contributions and the aid programs connected to them.
Harvard receives federal financial assistance, which makes it subject to Title VI’s ban on discrimination based on race, color or national origin. Private money does not create a private exemption from the civil-rights obligations attached to federal support.
The department’s six-page document demand shows how serious the review is. DOJ ordered Harvard to produce the underlying gift agreements, internal policies, emails, text messages, chat communications and records showing how restricted Chinese funds were transferred or spent.
Investigators also requested beneficiary-level data for students who received aid from the programs at issue. The requested fields include nationality, citizenship, country of origin, amount received, school of enrollment and graduation status, along with identifying information the department says it will protect under federal confidentiality rules.
The deadline is July 31. If Harvard expects a problem meeting it, the university must contact DOJ by July 24 to discuss an extension.
The letter names 13 China-based or China-linked contributors whose restricted funds are part of the records request. The list includes China Evergrande Group, a Beijing foundation, universities and Hong Kong charitable or business organizations.
Harvard told the Associated Press that it is reviewing the notice. The university said it follows foreign-gift reporting law and does not unlawfully discriminate when awarding financial aid.
AP also reported that the $630 million accumulated over decades and that one publicized 2014 gift provided $15 million for Chinese students. Harvard generally offers its own need-based aid to international students, while federal student aid is reserved for eligible Americans.
Those facts do not answer DOJ’s question. They explain why the answer must come from the agreements and payment records instead of dueling press statements.
If the review finds no violation, the department says it will close the matter. If investigators find discrimination, DOJ will first seek voluntary compliance.
A failure to resolve it could lead to suspension or termination of federal assistance or a civil lawsuit.
Elite universities have spent years demanding transparency, equity and accountability from everyone else. They should have no objection when the same standards reach their donor files.
The real issue is bigger than one scholarship. An American institution taking billions from abroad while accepting federal support owes the public a clear accounting of whose conditions it accepted, who benefited and whether U.S. students were excluded because of where they were born.
President Trump has refused to treat Harvard’s prestige as immunity. Now the paper trail gets to speak.
This is a Guest Post from our friends over at 100 Percent Fed Up. View the original article here.
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[ H/T WLT Report ]
