Free Republic

The move is part of the borrower defense program, which offers loan repayment forgiveness for students who feel they were misled by an institution of higher education.

Tyrants throughout history have known that beheading their enemies and placing the heads on pikes at the gates of their capitals sends a powerful message to everyone else. Behave yourself as we dictate, and you may survive. Cross the king, and you are a dead man. Something very similar, but updated and taken to a vast financial level, happened to ITT Tech, the privately owned trade school/university. As the Wall Street Journal explains, it crossed the king (in this case, the Obama Department of Education): ITT Technical Institute folded on cue Tuesday after the Obama Administration issued a regulatory death...

The for-profit college chain ITT Technical Institute is shutting down all 130 of its U.S. campuses, saying Tuesday it can't survive recent sanctions by the U.S. Department of Education. In a letter to more than 35,000 students, the Indiana-based parent company ITT Educational Services announced that campuses won't open for the fall term that was scheduled to begin Sept. 12 — leaving students scrambling for last-minute options since many U.S. colleges already have started fall classes. ITT also cut more than 8,000 jobs immediately....

The company that operates ITT Technical Institutes said Tuesday that it was permanently closing all its campuses nationwide, blaming the recent move by the U.S. Education Department to ban the for-profit college operator from enrolling new students who use federal financial aid. ITT Educational Services Inc. said that the shutdown will affect “tens of thousands” of students who were preparing for the start of classes this month and cost more than 8,000 employees their jobs. “We reached this decision only after having exhausted the exploration of alternatives, including transfer of the schools to a non-profit or public institution,” ITT said...