WASHINGTON (Reuters) – The U.S. Department of Education on Wednesday said it will cancel all remaining federal student loans used to attend any campus owned by for-profit Corinthian Colleges Inc, which shut down in 2015 amid investigations into whether it misled investors and students.
The decision, to be announced by Vice President Kamala Harris on Thursday, will result in $5.8 billion in full loan discharges for 560,000 borrowers, the largest single such move ever made by the department, department officials said.
The department was investigating other cases that could well lead to further loan discharges for students cheated by their colleges, a senior official told reporters.
(Reporting by Andrea Shalal, Editing by Rosalba O’Brien)
