National Endowment for Democracy Sues U.S. Government Over Withheld Congressional Funds

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thenews21bureau
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Lawsuit Seeks Release of $239 Million to Support Global Democracy Efforts

Washington, D.C.: – The National Endowment for Democracy (NED) has filed a lawsuit in the United States District Court against Executive Branch agencies and officials, alleging the unlawful withholding of congressionally appropriated funds critical to its mission of promoting democracy worldwide.

According to the lawsuit, the government has wrongfully denied NED access to $167 million in obligated funds and has refused to release an additional $72 million already appropriated by Congress. These actions, NED contends, have severely disrupted its operations, impacted its workforce, and jeopardised its ability to support democracy organisations resisting authoritarian regimes.

“NED is a venture capital fund for democracy, with 83% of its resources directly supporting people fighting for freedom of speech, thought, and religion,” said Peter Roskam, NED Board Chair. “The sudden withholding of our funds endangers that mission and cripples a force multiplier for America’s national interest. American security, prosperity, and global leadership benefit when the world is freer and more prosperous.”

NED President and CEO Damon Wilson reaffirmed the organisation’s commitment, stating, “NED has long enjoyed bipartisan support for its vital work. We are eager to resolve this issue so our grantees can continue their essential efforts defending fundamental freedoms from authoritarian overreach.”

The lawsuit clarifies that NED’s case is distinct from other legal disputes over foreign assistance funds. Instead, it focuses on congressionally mandated funds specifically appropriated for NED under Title I of State Department appropriations legislation. NED argues that under its governing legislation, Congress has explicitly required the disbursement of these funds, leaving no discretion for Executive Branch officials to withhold them.

For over four decades, NED has played a pivotal role in countering authoritarian regimes such as China, Iran, and Cuba by supporting local activists and grassroots movements. NED’s efforts contribute to U.S. national security, combat censorship, and empower persecuted communities, including Uyghurs, Tibetans, Hongkongers, and Christian minorities in China.

Additionally, NED’s work promotes political and economic stability, helps reduce mass migration pressures, and fights market manipulation abroad, ensuring a level playing field for American businesses and workers.

Through this lawsuit, NED seeks to restore its ability to support democracy worldwide and continue serving as a pillar of American leadership in advancing freedom.

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