Harvard probed by DOJ over Chinese donor aid that may exclude American students
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The Justice Department is examining whether Harvard University accepted foreign donations that improperly favored students from China and other countries over American students.
Harvard’s foreign funding disclosures raise concerns that some donors are imposing nationality-based restrictions on financial aid, the department said Monday. Authorities are examining whether these regulations violate Title VI of the Civil Rights Act, which prohibits federally funded institutions from discriminating on the basis of national origin.
“Every American student should have an equal opportunity to compete for college scholarships, grants, and other financial aid and benefits,” Assistant Attorney General for Civil Rights Harmeet Dhillon said in a statement. he said.
“Schools cannot receive federal dollars and then accept money from foreign sources to provide financial aid that deliberately excludes American citizens; doing so is illegal and we will stop it where we find it,” he continued.
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The Justice Department has launched an investigation into whether Harvard University allowed Chinese donors to create scholarships that excluded American students. (Steve Rosenbach/iStock)
The DOJ said some China-based donors directed Harvard to use their money for aid programs that benefited students in certain countries. The ministry claimed that complying with these restrictions could disadvantage students of other nationalities, including Americans.
Officials emphasized that the investigation is ongoing and the ministry has not reached any conclusions. The DOJ also did not specify the specific scholarships or donors under review.
Harvard has denied that its financial aid policies violate federal civil rights law.
“Harvard follows the law regarding required reporting of endowments and does not unlawfully discriminate on the basis of race, ethnicity, or national origin in the allocation of financial aid, consistent with our legal obligations under Title VI,” the university said in a statement.
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The DOJ said Chinese donors gave money to Harvard to support financial aid programs limited to foreign students in certain countries. (Zhu Ziyu/VCG via Getty Images)
Federal law requires colleges and universities to report foreign gifts and contracts worth at least $250,000. The Justice Department said its Civil Rights Division’s review of those disclosures found that Harvard reported nearly $4.5 billion in foreign funding (more than any other American university), including $630 million from China, the largest foreign source.
While the university provides need-based institutional aid to international students, federal grants and other government aid are generally limited to eligible U.S. students. Harvard also uses special scholarship and employment funds to support students from abroad.
The Justice Department said Harvard’s external funding disclosures “raise concerns” about the university’s compliance with Title VI’s anti-discrimination requirements. (Andrew Harnik/Getty Images)
Some special gifts were given to students from certain countries. In 2014, SOHO China co-founders Pan Shiyi and Zhang Xin donated $15 million to support Chinese students at Harvard. The Justice Department did not say whether the gift was part of its review.
The investigation adds another front to the Trump administration’s broader dispute with Harvard. Federal authorities also scrutinized the university over allegations of anti-Semitism, admissions practices and treatment of foreign students.
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A federal judge had previously blocked the administration from cutting billions of dollars in research funding from Harvard because the related lawsuit was ongoing.
The Associated Press contributed to this report.
