Civil rights organizations have filed a lawsuit against President Donald Trump's administration, challenging its attempt to restrict billions of dollars in federal childcare and family assistance funding while seeking records related to the government's communications with a pro-Trump online influencer.
The lawsuit, filed Monday by the American Civil Liberties Union (ACLU), the National Women's Law Center, and the National Center for Law and Economic Justice, names the U.S. Department of Health and Human Services (HHS) as the defendant. The groups are requesting correspondence between federal officials and right-wing influencer Nick Shirley, whose viral video was cited by senior administration officials as a key factor behind the proposed funding restrictions.
Shirley's video, published in late 2025, alleged widespread fraud at childcare centers in Minnesota. However, subsequent news reports described many of the claims as misleading or exaggerated.
Earlier this month, HHS reversed its planned freeze of approximately $10 billion in childcare subsidies and social services funding that would have affected five Democratic-led states: California, Illinois, Colorado, New York, and Minnesota. The decision followed legal challenges after a federal judge blocked the funding freeze while litigation brought by the states proceeds.
HHS did not immediately respond to requests for comment on the lawsuit.
The legal dispute comes amid broader tensions between the Trump administration and several Democratic-led states. President Trump has previously accused Somali communities in Minnesota of engaging in fraud while pursuing a tougher immigration enforcement strategy in the state.
Civil rights advocates argue that isolated fraud cases have been used to justify policies that unfairly target immigrant communities and restrict access to essential public services. They also point to Trump's previous pardons of individuals convicted of fraud when questioning the administration's anti-fraud efforts.
The administration has also attempted to suspend or freeze funding for universities and state governments over issues including alleged fraud, climate initiatives, diversity programs, transgender policies, and pro-Palestinian campus protests. Rights organizations contend that many of these actions violate constitutional protections, including free speech and due process.
The childcare funding lawsuit follows other legal challenges accusing the Trump administration of coordinating with right-wing organizations to target political activists, including separate lawsuits recently filed by Columbia University graduate Mahmoud Khalil over his attempted deportation and immigration detention.


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