TRENTON, N.J. (AP) - A court has ruled New Jersey cannot give $11 million in grants to two religious schools.

The state appeals court ruled Thursday the $10.6 million grant to Beth Medrash Govoha yeshiva in Lakewood and $645,323 to the Princeton Theological Seminary are unconstitutional.

The American Civil Liberties Union and Americans United for Separation of Church and State had challenged the grants, part of $1.3 billion in grants in April 2013.

New Jersey officials argued the grants were OK because they were meant to pay for buildings and equipment, not worship or ministries.... Read More: philly.com