Boston U. Transfers Gift

Boston University agreed last month to turn over $3-million it had received from one donor to two other charities. The money was donated by David G. Mugar, who had threatened to sue the institution for fraud.

Mr. Mugar pledged the gift in 1988 to expand the Mugar Memorial Library, which had been built in the 1960s with money from Mr. Mugar’s father. But by the time he fulfilled his commitment in 1993, the estimated cost of the project had doubled, and the university decided not to go ahead with the expansion.

When Mr. Mugar asked in 2000 that his donation be returned, university officials rejected that idea, instead suggesting alternative uses on campus for the money.

The legal wrangle over the gift ended when the university agreed to transfer the money to two charities Mr. Mugar supports: Cape Cod Hospital, in Hyannis, Mass., and public-television station WGBH, in Boston.