In another signal that corporations and businesses in Trump’s America are going to be allowed to rape and pillage without restrictions, and in many cases with government assistance, a report by an Education Department inspector general reveals that committing fraud is an accepted and worthwhile endeavor in the for-profit education business.
On Monday past, an inspector general reported that with a for-profit education crusader, Betsy DeVos, and a for-profit “fraudulent college” operator, Donald Trump running the government, the process of “canceling student loan debt of the people who have been systematically defrauded by for-profit schools” has come to a screeching halt.
DeVos will not implement rules that aided defrauded students by speeding up the debt cancellation process to stop interest from accruing and destroying students and their family’s credit. DeVos claims she can’t help students because she is still looking for a means of “redoing” the debt cancellation process that still lets failed and cheating for-profit schools off the hook. Under DeVos, none of the defrauded students have had their debt canceled despite tens-of –thousands of legitimate claims for relief.
Spending 10 months “seeking a means of redoing” the debt-cancelation process is code for DeVos intent to do nothing to help Americans cheated by the people she champions as education’s salvation; for profit schools. DeVos said canceling the debts creates a cost to taxpayers she claims shouldn’t be responsible for helping students cheated by for profit schools. The concept of holding the for-profit schools responsible for “breaking the law” and defrauding “hundreds-of-thousands” of students is simply out of the question. This is Trump’s America now and the people who were defrauded by for-profit schools have to be penalized and pay the price for being defrauded; the for-profit schools get to keep their very substantial profits.
DeVos has gone beyond just foregoing an Obama-era rule to aid a specific group of students cheated by “Corinthian Colleges,” a for-profit outfit that finally collapsed in 2015 after several federal and state investigations into the widespread fraud that touched an untold number of students. There are other “failed schools” guilty of defrauding students that, combined with the Corinthian organization, cheated “hundreds-of-thousands of students” who are left with rapidly accruing interest and loan fees damaging their credit, according to the Education Department inspector general.
In fact, because of DeVos’ inaction, the defrauded students and their families will “ultimately owe more on a denied discharge than if they had not asked for cancellation and simply continued making payments” for a worthless education, the inspector said. The big problem for the defrauded students is that because their “education” is for all intents and purposes worthless, their job prospects are non-existent making outrageous loan payments nearly impossible. It is why the “cancelation process” was put in place to begin with and it is also why many states have been pushing the DeVos-Trump education syndicate to cancel the loans.
Attorneys general from several states are attempting to pressure DeVos to help the defrauded students they rightly say “cannot afford to repay often-large amounts because the ‘for-profit’ schools DeVos champions either didn’t provide adequate training much less an education or a diploma.” The inspector general also reported finding nothing in the DeVos Education Department resembling an “information system” and complained that he was forced to “manually retrieve claims data.” That is a change from the previous administration’s efforts to help students cheated by for-profit schools.
During the Obama Administration the Education Department received 46,274 claims for “discharging defrauded students’ loans” and had approved 27,986 in a six month period. Since Trump’s poorly-attended inauguration, out of 25,991 applications, DeVos made sure none were discharged. The Inspector General reported that the entire debt cancellation process, no matter over death, fraud or disability, was brought to a halt.
The senior Democrat on the senate education committee, Senator Patty Murray (WA) said:
“Hundreds of thousands of students were defrauded and cheated by predatory colleges that broke the law, but today’s report confirms Secretary DeVos tried to shirk her responsibility to these students and shut down the borrower-defense program, leaving them with nowhere to turn.”
This atrocity, and it is an atrocity, is a trend in the current administration that is not completely down to Trump or DeVos, although they are ultimately responsible for this particular abomination. Republicans as a party have demonstrated that they will go to great lengths to give special treatment to big, small and corporate businesses at the expense of the people whether it is eliminating regulations or failing to enforce rules that protect the people, or fund corporate tax cuts with tax hikes on the poor.
There is an easy solution to this particular issue but Republicans, Trump, or DeVos will never even consider putting the burden students are facing on the “predatory, for-profit colleges that broke the law by defrauding and cheating students.” And it is not necessarily that DeVos is “shirking her responsibility to cheated students;” she doesn’t consider the students her responsibility. She is responsible to the church, misogynists, bigots and corporations and if they defraud students the students have to be penalized again.
DeVos has shown throughout her time as the most unqualified member of team Trump that her responsibility is to anti-women men’s groups, anti-LGBTQ religious fanatics, for-profit evangelical madrassas and church-chartered schools; and of course predatory for-profit colleges. If that wasn’t the case she would at the least allow the existing process to cancel the defrauded students’ debts as it was intended; but that would not punish the students.
DeVos’ lack of action does send a powerful message to for-profit schools, corporations, and businesses in general that in Trump’s America they are free to defraud, damage and cheat Americans with impunity; punishment is reserved for the victims as is the typical Republican way. In DeVos’ case, punishing defrauded students appears to be an integral part of her intent of using the Education Department to “advance the kingdom of god.”