Connecticut Democratic lawmakers have warned Yale University that its state tax privileges could be reconsidered if it reaches a voluntary settlement with the US Department of Justice over admissions investigations. They argue that an agreement would fail to defend the legal and academic freedoms Yale’s special status is intended to support, increasing political pressure on the university as it weighs its response.

The warning came in a letter from eight state legislators with Yale ties, led by Yale Law School graduate Matt Blumenthal. Yale president Maurie McInnis has said the university is co-operating with the Justice Department and has not violated federal law; the inquiry covers admissions practices at Yale’s undergraduate, law and medical schools. Lawmakers said the General Assembly could revisit Yale’s statutory tax exemption, though any such change would require legislation.