U.S. President Donald Trump has demanded that Harvard University pay a $500 million settlement before its federal funding can be restored, accusing the prestigious school of serious wrongdoing.

During a Cabinet meeting on Tuesday, August 26, Trump instructed Education Secretary Linda McMahon not to negotiate with Harvard, insisting, “We want nothing less than $500 million.”

The President repeated his demand moments later, adding that Harvard had acted poorly and did not deserve any leniency.

This confrontation comes at a time of rising tension between the White House and elite U.S. universities.

Harvard is currently involved in a heated legal battle with the government over claims of antisemitism on its campus, an issue that has sparked national debates about free speech and academic independence following the Israel-Hamas conflict.

Unlike other schools, Harvard has directly taken the federal government to court, making it the center of this growing dispute over higher education and political influence.

Inside the Trump administration, some advisers believe that taking a strong stance against top universities appeals to voters who feel that colleges have become too liberal and politically biased.

A federal judge is expected to give a ruling on Harvard’s case soon. The university has requested an urgent decision from U.S. District Judge Allison Burroughs before September 3, claiming delays could disrupt ongoing research programs.

So far, the administration has reached settlements with Columbia University and Brown University, but Harvard remains the only major holdout, making it the most visible example in this unprecedented fight over education funding.