As Universities Face Trump Funding Cuts, Turkish Firm With Government Ties Backs Harvard Lab With Multimillion-Dollar Grant
The just-announced deal comes as elite schools are desperately looking for ways to make up for their financial losses.

Will the Trump administrationâs research funding cuts open the door for foreign governments to buy their way into American laboratories?
That question surfaced this week after a researcher at Harvard Universityâs School of Public Health secured a $39 million lifeline for his biology laboratory from an investment group in Turkey that appears to have ties to the government. Harvard, whose School of Public Health lost $200 million in federal funding this year, called the agreement a âmodel for future private-sector collaborations.â
According to the deal, announced Monday, İà Private Equity, a subsidiary of Istanbul-based İĆbank Group, will financially back a biology laboratory at Harvard run by a Turkish-American scientist, Gökhan HotamıĆlıgil. The $39 million gift will fund the next 10 years of Mr. HotamıĆlıgilâs research on antibodies for obesity and other metabolic diseases at Harvardâs School of Public Health.
The Turkish firm has also pledged to invest an undisclosed amount of money in any drug candidates that may emerge from the lab.
Mr. HotamıĆlıgil, who lost out on crucial funding when the government froze more than $2.2 billion in federal grants and contracts to Harvard, celebrated the deal.
âIt was really a series of unanticipated good coincidences and my willingness to talk sincerely about the challenges that I face in my own scientific adventures,â he told a biotechnology news outlet, Fierce Biotech.
The chief executive officer of İà Private Equity, Kubilay Aykol, similarly lauded the deal, predicting during the signing ceremony at Harvard that âthis effort will generate value not just for Turkey, but for the global scientific community.â
As other research labs at Harvard and beyond struggle to stay afloat, Mr. HotamıĆlıgilâs success story might prompt them to similarly seek out funding abroad. Harvardâs School of Public Health, for one, is already convening an advisory group to help researchers connect with potential private sector partners.
However, the agreement was flagged by a higher education nonprofit, American Council of Trustees and Alumni, which noted that İĆbank, though a private entity, âhas ties to the Turkish government.â The council, which partners with universities to promote academic freedom and free speech, also added that countries like China and Qatar âhave demonstrated how dictatorships can use âprivateâ investment to exercise state power.â
Turkeyâs president, Tayyip Erdogan, announced in 2019 that the countryâs Treasury would take over a 28 percent stake in İĆbank previously held by the opposition party, the Republican Peopleâs Party. The party inherited the stake in İĆbank from the founder of the Turkish Republic, Mustafa Kemal AtatĂŒrk.
In 2022, a political advocacy group called the Turkish Democracy Project urged Citibank to review its partnership with İĆbank, claiming that it âhas recently come under state controlâ and now serves as a âcritical tool in President Erdoganâs campaign to place the Turkish financial sector under his regimeâs kleptocratic control.â
Donations to American universities have come under new scrutiny amid reports that overseas giving has exploded in recent years, with foreign donors forking over as much to American universities in the last four years as they did in the previous 40 years.
Qatar, the largest source of overseas donations to American universities, has shelled out $6.3 billion since reporting began in 1986. The second-largest source, China, has given an estimated $5.6 billion, and stands as the single largest source of foreign donations to prestigious American universities like Harvard, Columbia, and Stanford.
In many cases, those donations are given to fund joint education institutes or overseas campuses, like Northwesternâs branch in Doha, or U.C. Berkeleyâs partnership with Tsinghua University in Beijing.
Such partnerships were put under the microscope by Congress, which, after a year-long investigation, came to the conclusion that American-Chinese joint education institutions actually serve as âconduitsâ for âtransferring critical U.S. technologies and expertise to Chinaâ â the kind of knowledge that the âChinese military could use against the U.S. military in the event of a conflict.â
The problem has been exacerbated by universitiesâ failure to comply with the provisions of Section 117 of the Higher Education Act, which requires schools to report foreign gifts or contracts that are more than $250,000. As a result, the true value of foreign donations could be much greater than reported.
The issue has been taken up by President Trump, who signed an executive order in April threatening to revoke federal funding from universities that donât comply with gift reporting mandates.
And where there is supply, there is also demand â demand that may grow as research universities navigate the federal governmentâs crackdown on National Institutes of Health research grants and university-specific funding freezes. Harvard, though currently challenging the governmentâs revocation of more than $2.2 billion in federal grants and contacts, wonât gain access to the frozen funds until at least well into the summer, when itâs set to meet the government in court.
The funding cuts at Harvardâs School of Public Health, which relies heavily on federal support, have reportedly thrown it into an âexistential crisis.â
Harvard has not yet responded to the Sunâs request for comment.