Betsy DeVos Held in Contempt in Corinthian Colleges Student Loan Case
A federal judge held Secretary of Education Betsy DeVos in contempt for violating an order to stop collecting loan payments owed by former students of a for-profit chain of colleges. Magistrate Judge Sallie Kim of the U.S. District Court in San Francisco also hit the Department of Education with a $100,000 fine, which will be used to provide remedies for the students involved. The Washington Post reports that some of the former students of the now-defunct Corinthian Colleges had their paychecks and tax returns seized by the federal government. “There is no question that the defendants violated the preliminary injunction. There is also no question that defendants’ violations harmed individual borrowers,” Kim wrote in her ruling Thursday. The judge ordered the department to provide monthly status updates on how it is following her order and rectifying the harm it inflicted upon the former students.