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Environmental NGO sues Trump's EPA, Citibank over funding freeze
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Environmental NGO sues Trump's EPA, Citibank over funding freeze
Mar 8, 2025 6:22 PM

March 8 (Reuters) - An environmental nonprofit sued the

U.S. Environmental Protection Agency and Citibank on Saturday,

seeking billions of dollars for solar and other projects frozen

by the bank as the Trump administration slashes federal

spending.

Climate United Fund alleges that in freezing the grant

money, approved by Joe Biden's administration, the "EPA has

acted to prevent Citibank from dispersing funds, harming Climate

United, its borrowers, and the communities they serve."

It is the latest in a scores of cases filed by nonprofit

groups, state attorneys general and others fighting moves by

President Donald Trump, a Republican, to roll back Democrat

Biden's policies as he seeks to shrink the federal bureaucracy

and spending and broadly reshape U.S. immigration, foreign and

social policies.

Judges have stalled Trump's efforts in a number of cases,

but he has had some legal victories.

Spokespeople for Washington-based Climate United, Citibank

and the EPA did not immediately respond to requests for comment

on the suit, filed in federal court in the capital.

Climate United says in its court filing that it was selected

for the EPA's National Clean Investment Fund program last April

and planned to lend to developers nationwide to support solar

power, electric trucks and energy efficient housing.

"This program was designed to save money for hard-working

Americans who are struggling to pay for groceries and keep the

lights on," the group said in a statement. "We're going to court

for the communities we serve - not because we want to, but

because we have to."

Climate United alleges it is owed about $7 billion, part of

$20 billion that has been swept up in a controversy with EPA

Administrator Lee Zeldin, who said the funding approval by the

"self-dealing" Biden administration amounted to "intentionally

tossing 'gold bars off the Titanic'" before he left office.

Last month, Trump administration officials instructed

federal prosecutor Denise Cheung to start a criminal probe of

the funding. She resigned rather than complying, saying she

believed the request was not supported by evidence.

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