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    Lawsuit Challenges Trump’s Legal Rationale for Tariffs on China

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    The New Civil Liberties Alliance — a nonprofit group that describes itself as battling “violations by the administrative state” — sued the federal government on Thursday over the means by which it imposed steep new levies on Chinese imports earlier this year.The new filing, which the group said was the first such lawsuit to challenge the Trump administration over its tariffs, set the stage for what may become a closely watched legal battle. It comes on the heels of President Trump’s separate announcement on Wednesday of broader, more extensive tariffs targeting many U.S. trading partners around the world.At issue are the tariffs that Mr. Trump announced on China in February and expanded in March. To impose them, Mr. Trump cited a 1970s law that generally grants the president sweeping powers during an economic emergency, known as the International Emergency Economic Powers Act, or IEEPA.Mr. Trump charged that an influx of illegal drugs from China constituted a threat to the United States. But the alliance argued in the lawsuit, on behalf of Simplified, a Pensacola, Fla.-based company, that the administration had misapplied the law. Instead, the group said the law “does not allow a president to impose tariffs,” but rather is supposed to be reserved for putting in place trade embargoes and sanctions against “dangerous foreign actors.”Port Manatee in Palmetto, Fla., on TuesdayScott McIntyre for The New York TimesMr. Trump cited that same law as one of the legal justifications for the expansive global tariffs he announced with an executive order on Wednesday. That order raised the tariff rate on China to at least 54 percent, adding new levies on top of those that the president imposed earlier this year.Mr. Trump’s new order specifically described the U.S. trade deficit with other nations as “an unusual and extraordinary threat to the national security and economy of the United States.”For now, the alliance asked the U.S. District Court in the Northern District of Florida to block implementation and enforcement of the president’s earlier tariffs on China. “You can look through the statute all day long; you’re not going to see the president may put tariffs on the American people once he declares an emergency,” said John J. Vecchione, senior litigation counsel for the alliance.A spokesman for the White House did not immediately respond to a request for comment. More

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      Nonprofit’s Leader Convicted of Siphoning Off $240 Million in Federal Food Aid

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      Aimee Bock was accused of overseeing a scheme that exploited lax pandemic-era controls, and reaped millions with fake invoices for nonexistent meals.The leader of a Minnesota anti-hunger nonprofit was convicted in U.S. District Court on Wednesday of masterminding a brazen scheme that reaped more than $240 million in pandemic relief funds with a network of bogus food kitchens that billed the government for 91 million meals.The nonprofit’s leader, Aimee Bock, 44, was convicted by a jury of seven counts, including wire fraud and bribery. Another defendant, Salim Said — a 36-year-old who oversaw one of the bogus kitchens — was convicted of 20 counts, also including wire fraud and bribery.When Ms. Bock was charged in 2022, federal prosecutors said her scheme was the largest known fraud against the government’s Covid-19 relief programs.At least 70 people were charged in the scheme, and more than 40 have already pleaded guilty or been convicted. Last year, another case related to the same scandal made national news, when someone attempted to bribe a juror in a separate trial by leaving about $120,000 in cash at her home in a Hallmark gift bag. Five people were later charged with bribery in that case.After Wednesday’s verdicts were read, Judge Nancy Brasel ordered that Ms. Bock and Mr. Said remain in jail to await their sentencing, according to a report from the courtroom by The Sahan Journal, a nonprofit newsroom. The charges carry potential sentences of more than a decade in prison.The fraud scheme targeted two programs meant to feed hungry children, which were funded by the U.S. Department of Agriculture but administered by the state of Minnesota. The system relied on nonprofit groups called “sponsors” to be its watchdogs. They were supposed to oversee individual kitchens and feeding sites and make sure they were not inflating the number of children they served.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Climate United Sues E.P.A. Over Frozen $20 Billion

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      In a lawsuit, Climate United claims the E.P.A. is illegally withholding funds that have become a target of the Trump administration.A multibillion dollar dispute between the Environmental Protection Agency and several nonprofit organizations escalated on Saturday when one group sued the E.P.A. and Citibank, seeking access to grant money that has been frozen under President Trump.Climate United, a nonprofit organization, claimed that the E.P.A. and Citibank have illegally withheld a nearly $7 billion award announced last April. Citibank has housed the funds as part of a green financing program to finance projects that address climate change.The funds are part of a larger pot of money, $20 billion, that have been swept up in controversy after Lee Zeldin, the E.P.A. administrator, called the green financing program a “scheme” that was “purposely designed to obligate all of the money in a rush job with reduced oversight.”Now, some of the nonprofits say, their bank accounts are frozen and that they are struggling to pay staff.Climate United had planned to loan the money to developers across the country in support of solar power, electric trucks, and energy-efficient affordable housing projects, and said the freeze has meant small businesses and developers are unable to draw down funds they were promised.“We’re not trying to make a political statement here,” said Beth Bafford, chief executive of Climate United. “This is about math for homeowners, for truck drivers, for public schools — we know that accessing clean energy saves them money that they can use on far more important things.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Supreme Court Rejects Trump’s Bid to Freeze Foreign Aid

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      The Supreme Court on Wednesday rejected President Trump’s emergency request to freeze nearly $2 billion in foreign aid as part of his efforts to slash government spending.The court’s brief order was unsigned, which is typical when the justices act on emergency applications. It said only that the trial judge, who had ordered the government to resume payments, “should clarify what obligations the government must fulfill.”But the ruling is one of the court’s first moves in response to the flurry of litigation filed in response to President Trump’s efforts to dramatically reshape government. The vote was 5 to 4, with Chief Justice John G. Roberts Jr. and Justice Amy Coney Barrett joining the three liberal members to form a majority.Justice Samuel A. Alito Jr., writing for the four dissenting justices, said the majority had gone profoundly astray.“Does a single district-court judge who likely lacks jurisdiction have the unchecked power to compel the government of the United States to pay out (and probably lose forever) $2 billion taxpayer dollars? “ he asked. “The answer to that question should be an emphatic ‘No,’ but a majority of this court apparently thinks otherwise. I am stunned.”The administration halted the aid on Jan. 20, President Trump’s first day in office. Recipients and other nonprofit groups filed two lawsuits challenging the freeze as an unconstitutional exercise of presidential power that thwarted congressional appropriations for the U.S. Agency for International Development.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      OpenAI Fires Back at Elon Musk’s Lawsuit

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      The artificial intelligence start-up argues that Mr. Musk is trying to hamstring its business as he builds a rival company.Earlier this month, Elon Musk asked a federal court to block OpenAI’s efforts to transform itself from a nonprofit into a purely for-profit company.On Friday, OpenAI responded with its own legal filing, arguing that Mr. Musk is merely trying to hamstring OpenAI as he builds a rival company, called xAI.What Mr. Musk is asking for would “debilitate OpenAI’s business, board deliberations, and mission to create safe and beneficial A.I. — all to the advantage of Musk and his own A.I. company,” the filing said. “The motion should be denied.”OpenAI also disputed many of the claims made by Mr. Musk in the lawsuit he brought against OpenAI earlier this year. In a blog post published before Friday’s filing, OpenAI portrayed Mr. Musk as a hypocrite, saying that he had tried to transform the lab from a nonprofit into a for-profit operation before he left the organization six years ago.The filing and blog post included documents claiming to show that in 2017, Jared Birchall, the head of Mr. Musk’s family office, registered a company called Open Artificial Intelligence Technologies, Inc. that was meant to be a for-profit incarnation of OpenAI.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Regulator Sues Anti-Police Activist Who Spent Charity Funds on Himself

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      Brandon Anderson, who used his nonprofit’s accounts to rent mansions and buy luxury clothes, was featured in a New York Times story in August.The District of Columbia’s attorney general on Monday sued an activist known for his calls to abolish the police, saying that he diverted $75,000 from a charity to pay for mansion rentals, a trip to Cancún and designer clothes.Attorney General Brian L. Schwalb, an elected Democrat who oversees nonprofits in the city, said Brandon Anderson had turned an anti-police-brutality charity called Raheem AI into a piggy bank for himself.Mr. Schwalb also sued Raheem AI. He asked a judge to shutter the organization, bar Mr. Anderson from leading any other Washington nonprofit and order Mr. Anderson or Raheem AI to repay the $75,000. The money would then be given to a charity chosen by the judge.“Brandon Anderson misused charitable donations to fund lavish vacations and shopping sprees, and the Raheem AI board of directors let him get away with it,” Mr. Schwalb said in a written statement. He continued, “My office will not allow people to masquerade behind noble causes while violating the law.”Mr. Schwalb has jurisdiction in the case because Raheem AI was incorporated in Washington. A spokesman for him declined to say what prompted the investigation. A former staff member at the nonprofit named Jasmine Banks told The New York Times this year that she had reached out to Mr. Schwalb’s office, seeking help after the nonprofit stopped paying her salary.Mr. Anderson did not respond to a request for comment sent on Monday morning. He has previously told The Times that he takes responsibility for the group’s failures: “The bottom line is simply that it didn’t work, and as the leader of that effort I share most of the blame.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Nonprofits Vow a New Resistance. Will Donors Pay Up?

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      In Donald J. Trump’s first term as president, some of his toughest opponents were not elected Democrats but left-leaning nonprofit groups. They bogged down his immigration and environmental policies with lawsuits and protests and were rewarded with a huge “Trump bump” in donations.Now, some of those groups are promising to do it all over again.“Trump’s gotta get past all of us,” Anthony D. Romero, the executive director of the American Civil Liberties Union, wrote on the nonprofit’s website the day after the election.“Trump’s bigotry, misogyny, anti-climate and anti-wildlife zealotry — all will be defeated,” Kieran Suckling, the executive director of an environmental nonprofit called the Center for Biological Diversity, wrote in an email to potential donors.That bravado masks uncertainty. This time could be a lot harder. Mr. Trump’s administration could learn from past mistakes and avoid the procedural errors that made its rules easier to challenge. And the higher courts are seeded with judges appointed by Mr. Trump.Another problem: Nonprofits are finding that some supporters are not energized by another round of “resistance.” Instead they have been left exhausted, wondering whether their donations made any difference. Some are afraid that they could be targeted for retaliation by Mr. Trump and his allies for donating to groups that oppose his administration.“The response from donors has been shock, anger and depression, sprinkled in with a few checks,” said Vincent Warren, the executive director of the Center for Constitutional Rights, which challenged several of Mr. Trump’s previous immigration policies in court. “It’s not been a flood.”We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Supervisor Andrew Do in Southern California Resigns and Agrees to Plead Guilty in Bribery Scheme

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      Federal prosecutors said that Andrew Do, an Orange County supervisor, enriched himself and his family with federal pandemic aid meant for seniors.The federal money was supposed to feed seniors and people with disabilities in Southern California who were stuck at home and especially vulnerable to Covid-19.Instead, Supervisor Andrew Do figured out how to funnel more than $550,000 to himself and his family through a charity in Orange County, Calif., federal prosecutors said on Tuesday. Rather than pay for meals, some of the funds helped to finance a million-dollar home for his daughter and retire $15,000 of his own credit card debt.Mr. Do, 62, resigned on Tuesday from the Orange County Board of Supervisors and agreed to plead guilty to taking bribes in exchange for directing more than $10 million in pandemic relief funds to a charity that had no track record of serving the community.Mr. Do now faces up to five years in prison under a plea agreement that he struck with federal prosecutors. He had sat on the elected board since 2015.“By putting his own interests over those of his constituents, the defendant sold his high office and betrayed the public’s trust,” Martin Estrada, the U.S. attorney for the Central District of California, said in a statement. “Even worse, the money he misappropriated and accepted as bribe payments was taken from those most in need — older adults and disabled residents.”The case, the latest in a string of criminal corruption investigations in California, ended the tenure of one of the most influential Vietnamese American politicians in the country. Mr. Do, a Republican, represented more than 600,000 people, including a large constituency of older Vietnamese Americans who fled communism as refugees and live on a fixed income.We are having trouble retrieving the article content.Please enable JavaScript in your browser settings.Thank you for your patience while we verify access. If you are in Reader mode please exit and log into your Times account, or subscribe for all of The Times.Thank you for your patience while we verify access.Already a subscriber? Log in.Want all of The Times? Subscribe. More

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      Film Academy Looks Overseas for Donors

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      The Academy of Motion Picture Arts and Sciences has announced a global $500 million campaign to shore up its financial future.The Academy of Motion Picture Arts and Sciences on Friday announced a global $500 million fund-raising effort to help diversify its base of support and ensure its financial future in a period of transformation for the film industry and the nonprofit cultural sector.“Both are going through radical business model shifts right now due to changing audience habits and revenue streams,” Bill Kramer, the chief executive of the Academy of Motion Picture Arts and Sciences, said in an email. “As a nonprofit, and like any healthy organization or company, the academy needs a sustainable and diverse base of support to allow for solid long-term planning and fiscal certainty.”Announced during a news conference in Rome hosted by the Italian film studio Cinecittà, the campaign is called Academy100, in honor of the 100th Oscars ceremony in 2028. The academy plans to use about $300 million of the new funds to bring its endowment to $800 million; the remainder will go toward operating expenses and special projects.The academy currently has an annual operating budget of about $170 million, 70 percent of which comes from its Oscars broadcast deal with Disney and ABC, which runs through 2028. About $45 million of the operating expenses are used by the Academy Museum of Motion Pictures.Given the challenges experienced by many cultural organizations, the academy has reason to want to shore up its finances. In March, for example, Joana Vicente of the Sundance Film Festival resigned after less than three years as chief executive amid questions about her fund-raising abilities. Last summer, Center Theater Group in Los Angeles announced a series of sharp cutbacks — including suspending productions at the Mark Taper Forum — to deal with drops in revenue and attendance. And the Metropolitan Opera in New York has withdrawn emergency funds from its endowment.The academy said in its news release that the money raised “will endow and fund programs that recognize excellence in cinematic artistry and innovation; preserve our film history; enable the creation of world-class film exhibitions, screenings and publications; train and educate the next generation of diverse global film artists; and produce powerful digital content.”More than $100 million has already been committed to the campaign, the academy said, including support from Rolex, which is based in Switzerland.As part of the effort, the academy plans to host gatherings and events in locations around the world to “become increasingly global,” press materials said, and help develop a global “pool of new filmmakers and academy members and support the worldwide filmmaking community.”The academy said its “expanded international outreach” will include Buenos Aires; Johannesburg; Kyoto, Japan; Lagos, Nigeria; London; Marrakesh, Morocco; Melbourne, Australia; Mexico City; and Mumbai. More