Monday, June 30, 2014

UPDATE::Senators Hope To Block New Student Enrollment At For-Profit Corinthian Colleges – Consumerist

Days after the U.S. Dept. of Education brokered a deal with Corinthian Colleges — the operator of for-profit school chains like WyoTech, Heald Colleges, and Everest — that would allow these programs to remain open while it faces numerous state and federal investigations, a dozen Senators have asked the Education Secretary to block continued enrollment at Corinthian-owned schools.

The letter — written by Sens. Dick Durbin (IL), Tom Harkin (IA), Barbara Boxer (CA), Sherrod Brown (OH), Jack Reed (RI), Elizabeth Warren (MA), Bill Nelson (FL), Richard Blumenthal (CT), Brian Schatz (HI), Chris Murphy (CT), Ed Markey (MA) and Mazie Hirono (HI) and addressed to Education Secretary Arne Duncan — expresses concern about allowing Corinthian to bring on new students when the company is the subject of probes by four federal agencies and at least 20 state attorneys general for its marketing practices, loan application processes, and questionable job-placement claims.

“Corinthian has shown itself to be one of the worst actors in the for-profit college industry,” write the Senators. “[W]e must not let students be held responsible for the bad actions of this company.”

In addition to putting a stop to enrolling new students, the lawmakers call on Education to require that Corinthian “fully inform students of the company’s intentions related to the sale or closure of specific campuses.”

And if Corinthian wants to continue getting any the more than $1 billion/year in federal student aid that it’s been receiving, the Senators want the company to certify that it will not enforce mandatory arbitration clauses to prevent wronged students from seeking legal claims against the company.

Senators Hope To Block New Student Enrollment At For-Profit Corinthian Colleges – Consumerist

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