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Feds can’t withhold social service funds from 5 Democratic states amid fraud claims, judge rules

The injunction protects more than $10 billion in child care and social service funds for five states amid allegations of improper benefits and political retribution.

  • On Friday, U.S. District Judge Vernon Broderick in New York granted a preliminary injunction to keep funds flowing to programs in five Democratic states.
  • Last month, Alex Adams, assistant secretary at the Administration for Children and Families, sought names, Social Security numbers and attendance records amid HHS's claim of `reason to believe` benefits were granted to undocumented people.
  • The programs include the Child Care and Development Fund, which subsidizes child care for 1.3 million children nationally, and the five states receive more than $10 billion a year.
  • Advocates warned a freeze could have gutted Colorado programs relied on by tens of thousands of Colorado's lowest-income families and threatened Illinois day care centers accepting subsidies, risking layoffs and closures.
  • Courts noted the explanation shifted from freezing funds to requiring more information, as the Trump administration targeted Minnesota programs linked to allegations involving the Somali community; two temporary rulings issued in January blocked withholding, with the latest expiring on Friday.
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By Geoff Mulvihill - A federal judge ruled Friday that the Trump administration must maintain the flow of funds for childcare subsidies and other social service programs in five Democratic-run states, at least for now. U.S. District Judge Vernon Broderick in New York, a nominee of former President Barack Obama, granted the states' request for a preliminary injunction and stay against the administration to prevent it from withholding the money wh…

·Allentown, United States
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The Washington Post broke the news in on Friday, February 6, 2026.
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