The Justice Department is examining whether Harvard University accepted foreign contributions tied to conditions that may have given students from China and other countries an advantage over U.S. students in financial aid opportunities.
In a statement Monday, the department said Harvard’s disclosures about foreign funding raised questions about whether certain donors attached nationality-based limits to scholarships or other aid. Federal officials are reviewing whether those arrangements run afoul of Title VI of the Civil Rights Act, which prohibits institutions receiving federal funds from discriminating on the basis of national origin.
“Every American student should have an equal opportunity to compete for college scholarships, grants, and other kinds of financial aid and benefits,” Assistant Attorney General for Civil Rights Harmeet Dhillon said in a statement.
“Schools cannot take federal dollars and then turn around and accept money from foreign sources to give financial aid that deliberately excludes American citizens — doing so is illegal, and we will stop it wherever we find it,” she continued.
According to the DOJ, some donors based in China instructed Harvard to direct their contributions toward aid programs for students from specific countries. The department said honoring such conditions could put students from other nationalities, including Americans, at a disadvantage.
Officials emphasized that the matter is still under review and that no final determination has been made. The department also has not publicly named the donors or scholarship programs involved in the inquiry.
Harvard rejected the suggestion that its financial aid practices violate federal civil rights protections.
“Harvard follows the law for required reporting of donations and, consistent with our legal obligations under Title VI, does not unlawfully discriminate on the basis of race, ethnicity, or national origin in allocating financial aid,” the university said in a statement.
Federal law requires colleges and universities to report foreign gifts and contracts worth at least $250,000. The DOJ said a Civil Rights Division audit of those disclosures found that Harvard had reported nearly $4.5 billion in foreign funding — more than any other American university — including over $630 million from China, its largest foreign source.
The university provides need-based institutional aid to international students, while federal grants and other government assistance are generally limited to eligible US students. Harvard also uses private scholarship and employment funds to support students from outside the country.
Some private gifts have been designated for students from specific nations. In 2014, SOHO China co-founders Pan Shiyi and Zhang Xin donated $15 million to support Chinese students at Harvard. The DOJ has not said whether that gift is part of its review.
The inquiry adds another front to the Trump administration’s broader conflict with Harvard. Federal officials have also scrutinized the university over alleged antisemitism, admissions practices and its treatment of foreign students.
A federal judge previously blocked the administration from cutting billions of dollars in research funding from Harvard as related litigation continues.
The Associated Press contributed to this report.