Justice Department Investigates Harvard’s Foreign Donations
The Justice Department is looking into whether Harvard University improperly accepted foreign donations that potentially gave preference to students from China and other nations over American students.
On Monday, the department revealed that concerns have arisen regarding Harvard’s disclosures about foreign funding. There are questions about whether certain donors are imposing nationality-based restrictions on financial aid. This investigation aims to determine if such arrangements violate Title VI of the Civil Rights Act, which forbids discrimination based on national origin in federally funded programs.
“It’s essential that all American students have an equal shot at college scholarships, grants, and other forms of financial assistance,” stated Assistant Attorney General for Civil Rights Harmeet Dhillon.
She emphasized that “schools receiving federal funds cannot accept money from foreign sources to provide financial aid that intentionally excludes American citizens. This practice is illegal, and we will take action against it wherever we find it.”
According to the Justice Department, some donors based in China instructed Harvard to allocate their donations to programs that support students from specific countries. Following these directives could potentially disadvantage students of other nationalities, including Americans.
Officials made it clear that this investigation is still in progress and no conclusions have been drawn yet. They also did not specify which scholarship funds or donors are under scrutiny.
Harvard University has pushed back against allegations that its financial aid practices violate federal civil rights regulations.
In a statement, Harvard said, “The university adheres to all endowment reporting laws and does not engage in unlawful discrimination based on race, ethnicity, or national origin in its financial aid distribution, as required by Title VI.”
Federal law mandates that universities report any foreign gifts or contracts valued at $250,000 or more. The Justice Department’s audit of these disclosures uncovered that Harvard reported nearly $4.5 billion in foreign funding, surpassing all other U.S. universities. This includes more than $630 million from China, its biggest foreign funding source.
While universities may provide need-based institutional aid to international students, many federal grants and government financial aid programs are generally reserved for eligible U.S. students. Harvard also utilizes private scholarships and employment funds to assist international students.
Some private donations are earmarked for students from particular countries. For instance, in 2014, SOHO China co-founders Pan Shiyi and Zhang Xin contributed $15 million to support Chinese students at Harvard. It’s unclear if this donation is part of the ongoing review.
The investigation represents yet another issue in the ongoing tensions between the Trump administration and Harvard University. Federal authorities are also examining allegations of anti-Semitism, admissions processes, and the treatment of international students at the institution.
A federal judge has previously halted government efforts to cut billions of dollars in research funding from Harvard while related litigation unfolds.
