February 25, 2026
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11:42Now PlayingAttorneys Brian Kabateck and Shant Karnikian break down how Donald Trump held a critical $16 billion rail infrastructure project hostage to get his name on Penn Station and Dulles Airport. The Gateway Tunnel Project — designed to replace aging Hudson River tunnels damaged during Hurricane Sandy in 2012, carry 200,000 daily passengers, and create thousands of union construction jobs — had its congressionally approved funding frozen by the Trump administration in September 2025, initially under the pretext of reviewing "unconstitutional DEI principles." Trump later admitted on Fox News he was simply cutting "Democrat programs that we don't want." Then in January 2026, he floated the real deal: release the money if Chuck Schumer agrees to rename Penn Station and Dulles Airport after Trump. Schumer said no. The hosts walk through the legal battle that followed, with New York and New Jersey filing suit in the Southern District of New York and the Court of Federal Claims seeking $205 million in withheld reimbursements. Judge Jeannette Vargas issued a temporary restraining order, finding the states are likely to succeed on the merits because the administration gave no notice, made no finding of noncompliance, and offered no opportunity to cure — all legally required before freezing funds. The appeals court declined to overturn her, and the judge has signaled openness to converting the TRO into a permanent injunction. As one New Jersey congressman suggested: if Trump wants to slap his name on something, the state has Superfund sites and landfills available.
Kabateck LLPCall 184474CIVIL for a free case evaluation or visit us at
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