Education Department officials revealed Havard Yale not declared up to $375 million in gifts and contracts from overseas, and didn’t tell federal authorities about any such gifts from 2014-2017 despite the university’s strong international presence. Harvard and Yale failed to disclose hundreds of millions of dollars in foreign donations. The probe is part of an extensive effort to monitor the inflow of donations from other countries to American universities, which also includes inquiries of Georgetown and Texas A&M. U.S. colleges. Institutions are mandatory under federal law to report foreign donations of $250,000 and up. Colleges and universities liable and to ensure their reporting is accurate and transparent, as required by the law, stated Education Secretary Betsy DeVos.
Meanwhile Harvard, may lack of appropriate institutional controls over foreign money, US Education department official said. A chemistry professor at the well-known Massachusetts University was arrested last month for failing to disclose his financial ties to a Chinese government tech initiative. Prosecutors said the professor, Charles Lieber,
was paid $50,000 a month by the Wuhan University of Technology and given $1.5 million to start a research lab. Lieber was arrested at his Harvard office in January. Harvard spokesman Jonathan Swain stated, the university was reviewing the notice from the Education Department and preparing a response. Yale spokeswoman Karen Peart stated, the university was tracking down records for foreign gifts. Federal officials requested and reviewing the notice.
Since last July, US Education Department efforts to enforce the provision in the higher education act requiring disclosure of foreign contributions, revealed $6.5 billion in previously hidden gifts. The department said that about half of that money came from just 10 universities, including Harvard, Yale, MIT, Penn, and the University of Chicago.
The American Council on Education, a group representing colleges and universities, said in a January letter to DeVos that the rules for disclosure of information can be foggy and requested more clarifications from the Education Department.