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Amid Student Debt Fight, Corinthian Colleges To Shut Down All Campuses


Amid Student Debt Fight, Corinthian Colleges To Shut Down All Campuses

Nadia Prupis, staff writer

Corinthian Colleges, the for-profit education system that has come under fire for its predatory student loan schemes, said Sunday it would shut down all of its 28 remaining campuses, roughly two weeks after the U.S. Department of Education announced it would fine the institution $30 million for misrepresentation regarding job placement rates.


One of the Corinthian 15, former Everest student Latonya Suggs, said at the time, “Not only did the school fail me, but the Department of Education failed me because it is their responsibility to make sure that these schools provide a quality education at an affordable cost at a scam-free school.”

The Department of Education’s responsibility is to see to it that as much as possible of the money spent on education every year winds up in the pockets of for-profit companies.



An example of what principled, courageous, outspoken and organized resistance means for the social fabric. In the long run the ecology of that fabric is fully INCLUSIVE right down to the impoverished soils the world over.

The privatization tsunami is based on a false, centuries old, hollowed out, exclusionary, parasitic, predatory economic notion of what it means for all of us to steward the oikos of our home planet community.

Thank you to the students who were/are seeking a real education and proved their chops by following through on the reality they discovered and explored.

Next question - Where does this sort of ‘outcome’ of privatization fit in the GDP metrics so profoundly in need of revision?


Fire Duncan’s entire Dog and Pony Show. To put young people seeking a better life in the hands of predators, yes, predators, is a disgrace. These people aren’t interested in education, it’s profits pure and simple.


Pwr 2 the CORINTHIAN peons!


The 30 million dollar fine does nothing to address the root/fundamental problems. The encouragement to pursue debt relief does nothing to address the root/fundamental problem. The Corinthian Colleges are simply the easiest target for a short sighted solution. It is a scape-goat to the underlying problems of schools in business to profit from students. Certainly this is progress, however I remain skeptical that a solution will be found and put in place to stop the advocating and putting 18-mid 20 somethings in life long debt from higher education


they misrepresented in demand job figures post graduation to manipulate the student. that is predatory. and the solution is quite simple: higher education shouldn’t have a cost. like single payer healthcare, its benefits are inherent. the basic building blocks for a successful democracy and country:

a. healthy population
b. educated population

There should be no cost attached to either, let alone making profit off of it. this is a very elementary concept


So, what’s going to happen to all the students who were defrauded? Will their money be refunded and any outstanding debt forgiven?

Looks like the money owed is all in the form of government student loans:

"General Information for Students Impacted by the April 27 Closure of the Remaining Corinthian College Locations
On April 27, 2015, Corinthian Colleges announced that they were ceasing operations and instruction at their remaining 30 locations across the country. Students impacted by this closure may have the option of applying for a closed school loan discharge or transferring their earned credits to another institution and continuing their education.

Corinthian will be held responsible for any return of federal student aid funds which were due to students and had been received, but not earned prior to closure. The Department will work with Corinthian officials to make sure unearned student Pell and loan funds are restored for future eligibility.

The Department is also diligently working with Corinthian to process student records from the 30 affected schools as soon as possible so that transfer schools can start accessing the students’ remaining federal student aid eligibility.

Students from the 30 locations across the five states directly impacted by this closure may also be eligible for State Tuition Recovery Fund refunds. For more information on eligibility and the process for filing a state claim against a closed school for loss of tuition, see the frequently asked questions page."



TheVoiceOfReason wrote: “However, the article insinuated that the school “deceived” students. That’s interesting word choice. Because there is also a difference between advertising what you product can do and having it not perform up to expectations, and deliberately providing fraudulent information. I don’t know which of the two the Corinthian Colleges were engaging in, but the difference is important.”

“On April 14, 2015, the Department of Education announced that following a comprehensive review, it had confirmed hundreds of cases of misrepresentation of job placement rates to current and prospective students in Corinthian Colleges’ Heald College system and informed the company of its intentions to impose a $30 million fine for misleading consumers. In addition, it notified Corinthian of its intentions to deny the recertification applications of Heald College’s Salinas and Stockton (CA) campuses. The announcement effectively halted enrollment across Heald’s 14 existing campuses.”


"The Education Department contends that Corinthian failed to comply with requests to address allegations of falsifying job placement data and altering grades and attendance records. It agreed to sell or close its campuses under pressure from the department.

Earlier in April, the department fined subsidiary Heald College, alleging the school had shown a pattern of falsifying post-graduation employment data. In one instance, the company’s Honolulu campus declared a student had found work in her chosen field of accounting, even though administrators knew she was working at Taco Bell, the department said."


The University of Phoenix has a graduation rate of 15%, yet are allowed to tap into the loan system, as are all these places. I have a feeling this may be the tip of an iceberg. Something that’s been happening for a while. There is no reason that most people cannot receive the education they need through a state institution, this is just part of the shadow of U.S. exploitation of the vulnerable that’s been going on full bore since since Reagan yelled get the government off our backs. Well, now the banks are in the education “industry” and they are doing just fine, thanks.