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Blumenthal, Durbin Statement on Department of Education's Announcement on Federal Debt Relief for Former Corinthian Students

(Washington, DC) – U.S. Senators Richard Blumenthal (D-Conn.) and Dick Durbin (D-IL) today released the following statement after being briefed on the Department of Education’s announcement related to federal student loan debt relief to former students of Corinthian Colleges, Inc.

“Thousands of students who attended Heald Colleges and those whose Corinthian campuses closed will see relief under today’s announcement.  Secretary Duncan deserves great credit for today’s good news.  We look forward to continuing to work with him on our shared goal of fair debt relief for students wronged by Corinthian.

 

“Today’s announcement leaves questions about how the Department will address students seeking a discharge of their federal student loans based on Corinthian’s fraudulent activities.  In determining a process, we encourage the Department to work closely with State Attorneys General and other state and federal agencies as they have already made voluminous findings about Corinthian’s misconduct. 

“We remain concerned about the effects an overly individualized adjudication process would have on the ability of many students to receive the relief they deserve.  As soon as the Department appoints the ‘Special Master’ to oversee borrower defense, we will be inviting that person to meet with us and other Senators to discuss broad relief for Corinthian students.”