For-profit college owner agrees to end $500M in student debt

By The Associated Press January 3, 2019 at 1:09pm

A for-profit college company has agreed to clear nearly $500 million in debt incurred by former students as part of a settlement with 48 states and Washington, D.C.

The Illinois-based Career Education Corporation announced the deal Thursday but denies any wrongdoing.

State attorneys general across the U.S. began investigating the company in 2014 following allegations that it misled prospective students to get them to enroll.

The company now enrolls about 34,000 students at its two chains, Colorado Technical University and American InterContinental University.

Attorneys general called the deal a victory, saying it will wipe out debt for 179,000 students across the U.S.

The deal was made with all states except California, which is negotiating with the company separately, and New York, which previously reached a deal with the company.

The Western Journal has not reviewed this Associated Press story prior to publication. Therefore, it may contain editorial bias or may in some other way not meet our normal editorial standards. It is provided to our readers as a service from The Western Journal.

Submit a Correction →

We are committed to truth and accuracy in all of our journalism. Read our editorial standards.

Tags:

WJ Wire

The Associated Press

SummaryMore Biographical InformationRecent PostsContact

The Associated Press is an independent, not-for-profit news cooperative headquartered in New York City. Their teams in over 100 countries tell the world’s stories, from breaking news to investigative reporting. They provide content and services to help engage audiences worldwide, working with companies of all types, from broadcasters to brands. Photo credit: @AP on Twitter

@AP

Facebook

The Associated Press was the first private sector organization in the U.S. to operate on a national scale. Over the past 170 years, they have been first to inform the world of many of history's most important moments, from the assassination of Abraham Lincoln and the bombing of Pearl Harbor to the fall of the Shah of Iran and the death of Pope John Paul.

Today, they operate in 263 locations in more than 100 countries relaying breaking news, covering war and conflict and producing enterprise reports that tell the world's stories.

Location

New York City