WTP,
“Here’s a different way to look at it- Torah Mosdos take money from the government in order to survive. So it is a way to be marbitz Torah. What a zechus for the government- the country certainly needs it. Like it or not, they are supporting Torah and those who study it.”
Good point. I think that is what Ponevezh Rav Rav Kehanman ZTL believed. He allowed the Yeshiva to fly the (Zionist!) Israeli flag on Yom Haatzmaut – not because he believed in Zionism, rather, out of respect to the “greatest Tomech Torah” which he benefited greatly.
Furthermore, in essence many believed that of course it is “better” not to receive support from the secular non-religious – but easier said than done. Satmar and Kenoim have a couple of hundred families in their EY mosdos, so it is no big deal to sustain itself on support from abroad. (I think The Tashbar Talumd Torah in Bnei Braq does not take any money, as per Chazon Ish that Tinokos Shel Beis Rabbon should rather be taught Al TeHaros haKodesh”).
Story goes Ponevezh Rav once visited or met the Brisk Rosh Yeshiva Rav Berel Soloveitchik (who opposed taking money) and of course the discussion was about Ponevezh taking money etc; the Ponevezh Rav asked him: can I please see your Yeshiva dorm? He replied we have none – bacharim of the yeshiva have their own “diros”, he asked him can I see the Yeshivas dining room/kitchen, he replied they eat/cook in their own diros apartment. Finally he asked him how many staff members does he have? He replied “a few”. Ponevezh Rav answered – Nu, Given your expenses I would either not take…