by Admin Feb 23, 2025 New York City Mayor Eric Adams filed a lawsuit on Friday against President Donald Trump and members of his administration, accusing them of unlawfully withdrawing $80 million in federal funds from a Citibank account. The move came after tech billionaire Elon Musk publicly urged the White House to revoke the funds on X, formerly known as Twitter. The unexpected withdrawal earlier this month alarmed local officials and raised concerns that the Trump administration could financially target the Democratic-led city, which operates on a $115 billion budget. The lawsuit represents a rare public clash between Adams, a Democrat, and the Republican-led White House. Mayor Adams has largely avoided direct criticism of Trump, particularly as he sought federal intervention in his corruption case an investigation that the Trump Justice Department has since moved to dismiss. This political dynamic has sparked controversy, with critics calling for Adams’ removal, leading to the resignation of key aides and prompting New York Governor Kathy Hochul to propose legislative restrictions on his authority. In its complaint, New York City alleges that the Trump administration violated federal laws and grant agreements by rescinding the $80.5 million, which had already been deposited in a City Hall account. The funds, approved by Congress, were designated for immigrant services. “Without a doubt, our immigration system is broken, but the cost of managing an international humanitarian crisis should not overwhelmingly fall onto one city alone,” Mayor Adams said in a statement. “With very little help from the federal government, our administration has skillfully managed an unprecedented crisis.” New York attorneys are demanding that the funds be reinstated and that the federal government be barred from taking similar actions in the future. Muriel Goode-Trufant, Corporation Counsel for New York City, argued in the federal lawsuit that the Trump administration acted unlawfully, using a banking law provision to justify the withdrawal after the fact. The funds were distributed under the Shelter and Services Program (SSP), an initiative overseen by the Department of Homeland Security (DHS). New York City also accused Trump officials of misrepresenting their intentions in a separate legal case concerning the federal government’s authority to freeze state-allocated funds. As the legal battle unfolds, the case could set a precedent for how federal funds are allocated and potentially revoked under the Trump administration.
NYC Mayor Eric Adams Sues Trump Administration Over $80 Million Fund Seizure
