City threatens to sue after Trump administration takes $80M from city coffers

President Donald Trump’s administration seized $80 million from New York City’s bank accounts late Tuesday after Elon Musk inaccurately claimed that the money was being used to shelter migrants in luxury hotels, according to city officials. Mayor Eric Adams’ administration is threatening to sue over the revocation, and Comptroller Brad Lander called the move an illegal theft.The $80.5 million in funds from the Federal Emergency Management Agency had been awarded under President Joe Biden’s administration through a 2023 program that reimburses localities for immigration-related expenses. The money was sent to the city only last week, and the billionaire Musk — who has been deputized by Trump to aggressively slash government services — wrote falsely on X on Monday that the funding had been intended for disaster relief.Lander, in a press conference on Wednesday, said his office discovered hours earlier that the money had been taken from city coffers — a move that the comptroller, the city’s chief fiscal officer, conceded he did not even know the federal government had the ability to do.Mayor Adams, whose corruption charges may be dropped by Trump’s Justice Department and has otherwise refrained from criticizing the president, wrote on social media that his office is investigating the clawback and “has already engaged with the White House about recouping these funds.”“We’ve requested an emergency meeting with FEMA to try and resolve the matter as quickly as possible,” Adams... Continue reading at 'Crains New York'

[ Crains New York | 2025-02-12 20:08:46 UTC ]

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