U.S. Court Blocks Release of Refugee Funds to States

A federal appeals court has blocked release of $11.5 million for refugee aid in 20 states, giving the government time to fight a request by six California congressmen for a permanent order to distribute the money.

The U.S. 9th Circuit Court of Appeals ruling Friday halts implementation of a Sept. 30 order by federal District Judge Robert Aguilar that President Reagan immediately release the money.

The half-dozen Democratic congressmen have been joined in their court request by two Sacramento-area aid associations and a refugee named Ten Khang, on behalf of all refugees in the country.

A dispute developed when the Administration disagreed with congressional auditors about whether $39 million in unspent aid funds from 1984 should have been added to $50 million appropriated this year, for a total 1985 refugee expenditure of $89 million.

The $11.5 million is the difference between the $89 million congressmen are pushing for and $77.5 million already distributed.

If the $11.5 million is ordered released, California would receive $4.7 million and Florida about $3 million. The remainder would be divided among the other states.