ITT Tech, one of America’s largest for-profit colleges, just announced that it is shutting down, and the online university is blaming Obama for its closure.
ITT Tech’s decision to cease operations came just 12 days after Obama’s Department of Education banned the college from enrolling new students using federal student aid.
Obama’s teacher union allies hate for-profit colleges, and the Department of Education’s actions against ITT Tech could very well be a way of crushing much-needed competition within our educational system!
From Politico:
“The actions of and sanctions from the U.S. Department of Education have forced us to cease operations of the ITT Technical Institutes,” said the parent company, ITT Educational Services, in a statement, adding that it had “exhausted the exploration of alternatives, including transfer of the schools to a nonprofit or public institution.”
The Indiana-based company said the Education Department’s actions were “inappropriate and unconstitutional.”
The closure displaces more than 40,000 students who currently attend the school. More than 8,000 ITT Tech employees are now without a job, according to the company.
For years, ITT Tech has been the target of lawsuits and government investigations.
The collapse of the college could put taxpayers on the hook for millions of dollars. Current students now become eligible for the Education Department to wipe out their federal student loans through a “closed school” discharge. As of Aug. 31, current students (and recent dropouts, who are also eligible) owed approximately $485 million in federal student loans, according to a department official.
Do you blame the Obama administration for ITT Tech’s closure? Was this college targeted because it was a for-profit entity? Share your thoughts with us below!