'Not plausible': Trump-appointed judge hands him major loss in court

FILE PHOTO: U.S. President Donald Trump looks on as he meets South African President Cyril Ramaphosa in the Oval Office of the White House in Washington, D.C., U.S., May 21, 2025. REUTERS/Kevin Lamarque/File Photo

President Donald Trump's administration is having a difficult time defending the legality of its policies — even to judges Trump himself put on the bench.

Politico reported Monday that U.S. District Judge Dabney Friedrich, who Trump appointed to the U.S. District Court for the District of Columbia during the first year of his first term, wasn't buying the administration's argument in favor of withholding congressionally appropriated funds for the National Endowment for Democracy (NED). Politico correspondents Katherine Tully-McManus and Kyle Cheney called Friedrich's Monday ruling "one of the most significant benchmarks in the legal response to the Trump administration’s effort to test the president’s power to withhold congressionally approved funds."

White House Office of Management and Budget (OMB) Director Russell Vought claimed that the administration's refusal to disburse the $315 million appropriation for NED was legally justified by not only saying the administration had the right to hold onto money that wasn't lined up with the president's priorities, but that it was also in the best interest of NED.

"The defendants’ official justification for that withholding — preserving the Endowment’s funding stability for the coming year — is not plausible," Friedrich wrote in her ruling, while also slamming "repeated maneuvers to impede the Endowment’s flow of funds."

NED — which focuses on promoting democratic ideals overseas – has typically had access to its full amount of funding since it was established in 1982 under then-President Ronald Reagan's administration. However, after Trump took office in January, NED became a casualty of Tesla and SpaceX CEO Elon Musk's Department of Government Efficiency (DOGE), which rampaged through multiple federal agencies, fired thousands of workers and axed billions of dollars in federal grants and contracts.

Previously, NED had pursued litigation to gain access to its full congressional appropriation, though its efforts were somewhat curtailed after the Trump administration relented and released most of its money. However, NED's legal efforts continued after the administration continued to justify freezing the disbursement of millions of dollars designated as "no-year" funds, meaning there was no deadline attached to when they had to be spent.

Congress banned presidents from singlehandedly refusing to disburse money passed in appropriations bills with the Impoundment Control Act of 1974, and Politico reported that the Government Accountability Office (GAO) found that the administration had violated the act on five different occasions since his second term began. Vought complained in a May social media post that Trump critics were "going to call everything an impoundment because they want to grind our work to manage taxpayer dollars effectively to a halt."

Click here to read Politico's full report in its entirety.