Legal Battle Over Hudson River Tunnel Funding

The Gateway Development Commission has filed a lawsuit against the Trump administration to reinstate halted funding for the $16 billion Hudson River tunnel project. The project, crucial for rail travel between New York and New Jersey, faces construction delays due to funding withdrawal by the Transportation Department.

The Hudson River tunnel project, a crucial aspect of rail infrastructure between New York and New Jersey, is at the heart of a legal dispute. On Monday, the commission overseeing the $16 billion project took legal action against the Trump administration for pulling back approved funds.

In a controversial move, President Donald Trump announced in October that the project was terminated, and the Transportation Department subsequently stopped releasing any funds that had been approved during the previous administration.

The Gateway Development Commission has now approached the U.S. Court of Claims, accusing the Transportation Department of breaching contractual obligations by withholding over $205 million of crucial funding without legal justification.

(With inputs from agencies.)