Congress Blocks Trump’s Access to Taxpayer Funds After Court Orders Immediate Payment to ACECO Demolition Company
In a sweeping move that has sent shockwaves through Washington, Congress has formally blocked President Donald Trump from accessing any taxpayer funds after a federal court ruled that he must immediately pay ACECO Demolition Company their outstanding balance—along with an additional $500,000 in compensation—following the company’s lawsuit over unpaid fees for the controversial East Wing demolition project.
The federal court’s ruling, delivered earlier this week, concluded that the White House and President Trump failed to honor contractual obligations to ACECO, the firm hired to carry out the rapid teardown of the East Wing. According to court documents, ACECO completed the demolition work months ago but repeatedly attempted—and failed—to collect the remaining payments owed by the administration.
ACECO later filed suit, accusing the Trump administration of “deliberate non-payment,” “contractual breach,” and “misuse of public resources.” The court agreed, stating that Trump was personally responsible for authorizing the financial delays and must now settle the full debt without relying on taxpayer funding.
Within hours of the ruling, congressional leaders from both parties convened an emergency session to ensure that Trump could not use federal money to pay off the court-mandated debt. The resulting congressional directive temporarily freezes the President’s access to public funds, limiting his ability to draw on any taxpayer-supported accounts connected to discretionary executive spending.
House Appropriations Committee members said the decision was made to “protect public money from being used to clean up the President’s private legal and financial obligations.” One committee member stated that the ruling “makes clear that this debt is personal, not governmental, and therefore cannot be paid with public funds.”
The White House has not released an official statement, though sources close to the administration have described the internal atmosphere as “tense” and “chaotic,” with aides scrambling to assess next steps. Legal analysts say that unless Trump pays ACECO quickly, he could face additional penalties, including interest charges or potential seizure orders.
ACECO Demolition Company issued a brief public response, stating that they were “satisfied” with the court’s decision and hopeful that the payment—long overdue—would finally be delivered. The company emphasized that its employees completed the East Wing project “professionally, safely, and in good faith,” despite facing months of stalled communication from the White House regarding payment.
The congressional freeze marks one of the most direct financial restrictions placed on a sitting president in modern U.S. history, intensifying the growing list of legal and political challenges confronting the Trump administration. As pressure increases, Washington remains on edge, waiting to see whether Trump will comply with the court order or escalate the conflict further.
