Does a federal district court have jurisdiction to dismiss a complaint brought by the Department of Justice?

Although the district court believed it lacked jurisdiction, dismissal of the complaint was nevertheless appropriate. Thyroff v. Nationwide Mut. Ins. Co., 460 F.3d 400, 405 (2d Cir. 2006) (stating that "we are free to affirm a decision on any grounds supported in the record, even if it is not one on which the trial court relied"). Under the Administrative Procedure Act ("APA"), a court must hold unlawful and set aside agency action that is "arbitrary, capricious, an abuse of discretion, or otherwise not in accordance with law." 5 U.S.C. 706(2)(A). Agency action is arbitrary and capricious when the agency