Inside Higher Ed
June 26th, 2014
WASHINGTON -- The Obama administration now can claim partial credit
for the demise of one of the largest for-profit college chains. And both
critics and supporters of the sector expect the federal scrutiny to
“I have no reason to be optimistic about an era of constructive
collaboration,” said Steve Gunderson, president and CEO of the
Association of Private Sector Colleges and Universities, which is the
industry’s primary trade group.
He said for-profits are facing a “regulatory assault” by a White House that is “ideologically opposed to this sector.”
On Monday the U.S. Department of Education and Corinthian Colleges announced
the bare bones of a deal to sell off and close all of the publicly
traded for-profit’s 107 campuses. In exchange the department freed up
$16 million in frozen payments to the company, which owns the Heald
College, Everest and WyoTech chains.