Department of Education Flags Sanctioned Foreign Donations to U.S. Universities as a National-Security Concern

The U.S. Department of Education released a spreadsheet titled “Counterparties of Concern,” listing 697 donations from entities now on U.S. sanctions or watch lists. The data show $405 million in contributions from sanctioned donors in China, Russia, Serbia and Israel, with $309 million originating from Chinese sources. The list includes 527 donations from Chinese entities, notably $49 million from the Beijing Institute of Technology (BIT), a “Seven Sons of National Defense” university, and $42 million from Huawei and its U.S. subsidiary FutureWei.

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The disclosure follows a decade-long pattern of U.S. research institutions receiving foreign funding that later became problematic after the donors were designated as adversaries. Federal agencies have been coordinating to tighten oversight of academic partnerships, and the Department of Education is now urging stricter compliance with Section 117 reporting requirements for gifts exceeding $250,000.

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• Beijing Institute of Technology (BIT): Military-affiliated university; $49 million to multiple U.S. schools, including a $44 million, 50-year contract with Bryant University.

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• Huawei / FutureWei: Chinese technology giant; $42 million across 156 donations, with a current $9,900 grant to Stanford University.

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• MIT: Received $66 million from Russian donors; terminated the partnership after Russia’s 2022 invasion of Ukraine.

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• Sarah B. Rogers: Under Secretary of State for Public Diplomacy, author of a warning letter to 187 R-1 research universities.

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• Glenn Tiffert: Historian, Hoover Institution expert on research security.

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• Jeffrey Stoff: President, Center for Research Security & Integrity.

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• Total flagged donations: $405 million.

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• Chinese contributions: $309 million (including $49 million from BIT, $42 million from Huawei/FutureWei).

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• Russian contributions: $66 million, largely to MIT.

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• Donations reported in the latter half of 2023: $27.6 million from entities on federal watch lists.

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• Bryant University’s BIT contract: $44 million earmarked for an “accounting program” through 2064, slated to end mid-2027.

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• Sarah B. Rogers warned university boards that federal funding could be withdrawn if they continue accepting money from listed entities, urging “heightened diligence on this matter which has important national security implications for our country.”

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• Kimberly Allen, MIT spokeswoman, confirmed the institute sent notice to its Russian partner to terminate collaboration after the 2022 Ukraine invasion.

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• Peter Kerwin, Bryant University spokesperson, described the BIT program as “educational instruction only” with no research, defense, or technology-transfer components.

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• Jeffrey Stoff said the Department of Education “intends to enforce the reporting rules more aggressively.”

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Research security experts caution that retroactive sanctions complicate compliance. Glenn Tiffert emphasized that contracts completed before a designation are “prima facie ok” even if the donor is later sanctioned, suggesting that blanket bans could penalize historically legitimate collaborations. Some university officials argue that the disclosures may overstate risk, pointing to data-entry errors such as Stanford’s reported $9,900 Huawei grant ending in 2028.

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The Department’s data rely on voluntary Section 117 filings, leaving a “potential gray area” where undisclosed gifts may exist. Newsweek noted that several donations continued after donors were added to sanctions lists, and that incomplete university reporting hampers precise assessment.

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• “They [Department of Education] intend to enforce the reporting rules more aggressively,” — Jeffrey Stoff, President, Center for Research Security & Integrity

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• “The key thing is to make sure that any claims about ties to a counterparty of concern take into account when that counterparty was designated on any relevant list. Contracts or gifts that ran their course before the date of designation are prima facie ok even if the counterparty in question was subsequently designated.” — Glenn Tiffert, Hoover Institution

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• “In light of the above, I urge you, as board members, to ensure heightened diligence on this matter which has important national security implications for our country,” — Sarah B. Rogers, Under Secretary of State for Public Diplomacy

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• “The program was educational instruction only and never included research activities, federally funded research, defense-related work, technology transfer, or intellectual property development. The Chinese partner was responsible for financial support, facilities, and administrative operations,” — Peter Kerwin, Bryant University spokesperson

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• “Stanford adopted a moratorium on Huawei funding in 2018 and implemented it in 2019,” — Angie Davis, Stanford University spokeswoman

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Congress is advancing the Deterrent Act, which would lower the mandatory reporting threshold from $250,000 to $50,000—and potentially to zero—for donations from adversary nations such as China. The bill has passed the House and awaits Senate action.

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