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Gov’t Plan to Help More Students Erase Debt Raises Questions

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FILE - In this July 8, 2014 file photo, an Everest Institute sign is seen in a office building in Silver Spring, Md. The federal government will erase much of the debt of students who attended the now-defunct Corinthian Colleges, officials announced Monday, as part of a new plan that could cost taxpayers as much as $3.6 billion. (AP Photo/Jose Luis Magana, File)

In this July 8, 2014 file photo, an Everest Institute sign is seen in a office building in Silver Spring, Md. The federal government will erase much of the debt of students who attended the now-defunct Corinthian Colleges, officials announced Monday, as part of a new plan that could cost taxpayers as much as $3.6 billion. (AP Photo/Jose Luis Magana, File)

ANNE FLAHERTY, Associated Press

WASHINGTON (AP) — A government plan to wipe out loans for many of the students who attended the now-disgraced for-profit Corinthian Colleges raises serious questions about whether the White House or Congress should have done more to prevent the debacle.

Education Secretary Arne Duncan on Monday announced that the government would make it easier for former Corinthian students to erase their debt. About $3.6 billion in federal loans has been given to these students since 2010. That potentially puts the taxpayer on the hook for that amount, although officials say it’s unlikely that every loan will qualify for relief.

At the very least, the government is looking at footing the bill for hundreds of millions of dollars in student debt in what has become a major consumer bailout. Some advocates say the government should have done more sooner to intervene, while others are questioning the latest approach.

“Students have been hurt, but the department is establishing a precedent that puts taxpayers on the hook for what a college may have done,” said Sen. Lamar Alexander, R-Tenn., who chairs the Senate Education Committee.

Alexander said one of the problems has been an inherent conflict of interest with having the Education Department provide loans and regulate colleges.

“If your car is a lemon you don’t sue the bank that made the auto loan; you sue the car company,” he said.

Corinthian Colleges was one of the largest for-profit schools when it nearly collapsed last year and became a symbol of fraud in the world of higher education and student loans. According to investigators, Corinthian schools charged exorbitant fees, lied about job prospects for its graduates and, in some cases, encouraged students to lie about their circumstances to get more federal aid.

In a plan orchestrated by the Department of Education, some of the Corinthian schools closed while others were sold before the chain filed for bankruptcy this spring. The biggest question has been what should happen to the debt incurred by students whose schools were sold. The law already provides for debt relief for students of schools that close, so long as they apply within 120 days.

The latest plan expands debt relief to students who attended a now-closed school as far back as a year ago. And it streamlines the process for students whose schools were sold but believe they were victims of fraud. The Education Department will soon appoint a “special master” to oversee much of the program, who will support students at other for-profit schools who feel they’ve been victimized.

“We will make this process as easy as possible for them, including by considering claims in groups wherever possible, and hold institutions accountable,” Education Secretary Arne Duncan said in a statement.

The amount of debt relief could be staggering. Officials estimate that some 40,000 borrowers at the Heald College alone took on more than $540 million in loans that potentially qualify for debt relief. But the final amount could climb significantly when looking across all Corinthian Schools, which include Everest and WyoTech.

Former officials at Corinthian Colleges couldn’t be immediately reached for comment. A former lawyer for the school said he no longer represents the chain of colleges since it went bankrupt.

In a blog post Monday, the Debt Collective said the Education Department plan didn’t go far enough. The group said the plan would put in place “a bureaucratically tortured process designed to provide relief only to those who hear about it and can figure out how to navigate unnecessary red tape.”

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Online:

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Information on debt relief: http://1.usa.gov/1AY8HRd

Copyright 2015 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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Oakland Post: Week of July 1 – 7, 2026

The printed Weekly Edition of the Oakland Post: Week of July 1 – 7, 2026

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NPRC Joins National Grand Jury Proceedings Seeking Accountability, Constitutional Restoration

Organizers state that testimony will explore historical and political developments that they believe have contributed to the expansion of corporate influence over public institutions and governmental decision-making. Participants are expected to discuss concerns regarding constitutional governance, individual liberties, property rights, and the protection of vulnerable populations, including seniors and persons with disabilities.

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Photo by Billie Powers.
Photo by Billie Powers.

Special to The Post

The National Probate Reform Coalition (NPRC) has joined Toll and Roll and a growing coalition of advocacy organizations, victims, whistleblowers, and citizen groups in support of a nationally broadcast People’s Grand Jury proceeding scheduled for July 1 and July 7.

Organizers describe the event as a public forum designed to examine allegations of government abuse, judicial misconduct, legislative failures, and the erosion of constitutional protections affecting millions of Americans.

The proceedings will feature testimony from victims, families, advocates, and organizations from across the country who contend they have experienced harm through government actions, institutional neglect, and failures of oversight.

According to organizers, the People’s Grand Jury will focus on concerns involving probate courts, guardianships, conservatorships, child welfare systems, property rights, civil liberties, and what participants view as a growing disconnect between government institutions and the constitutional rights of the people they are sworn to serve.

NPRC is participating because many of the issues being examined mirror the concerns raised by advocates, victims, and families who have participated in its monthly town halls. For years, families have reported cases involving exploitation of elders, questionable guardianships, estate depletion, denial of due process, and a lack of meaningful oversight within probate court systems.

“This proceeding gives victims and advocates an opportunity to place their experiences on the public record,” said Tanya Dennis, lead facilitator of NPRC. “For too long, families have struggled to have their voices heard regarding elder abuse, probate exploitation, and government inaction. This forum allows those stories to be shared before a national audience.”

Organizers state that testimony will explore historical and political developments that they believe have contributed to the expansion of corporate influence over public institutions and governmental decision-making. Participants are expected to discuss concerns regarding constitutional governance, individual liberties, property rights, and the protection of vulnerable populations, including seniors and persons with disabilities.

In keeping with principles of transparency and fairness, invitations have been extended to legislators, members of the judiciary, law enforcement representatives, and other public officials who may wish to respond to concerns raised during the proceedings or defend actions taken by their respective institutions.

One of the primary outcomes sought by organizers is public consideration and support for the People’s Remedy and Restoration Act, a proposed legislative framework that advocates believe would strengthen oversight, increase accountability, provide remedies for victims of governmental abuse, and restore constitutional protections.

The proceedings are expected to be broadcast nationally, providing citizens throughout the United States an opportunity to observe testimony, review evidence presented, and participate in an ongoing conversation regarding government accountability and the protection of individual rights.

Advocates hope the hearings will encourage meaningful dialogue, legislative reform, and renewed public engagement in the democratic process.

Individuals, organizations, public officials, and members of the media interested in attending or obtaining access information may contact the organizers at tollandroll2025@gmail.com.

As Americans continue to debate the future of constitutional governance, judicial accountability, and the protection of vulnerable citizens, the July proceedings are expected to serve as a significant forum for public testimony and civic engagement. For more information, go to https://tollandroll.com

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Local Civil Rights Attorney, Activist Walter Riley Reveals Life Lessons from 70 Years in the Movement

Widely known in Oakland for his unifying leadership on issues of social justice and human rights, Riley is also recognized for his famous son, Raymond “Boots” Riley, a rap artist, political activist, and successful filmmaker, whose latest film, “I Love Boosters,” is now in theaters and capturing national attention.

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Walter Riley. Courtesy photo.
Walter Riley. Courtesy photo.

By Ken Epstein

Prominent civil rights attorney and activist Walter Riley recently went on radio station KPFA 94.1 to discuss his new book co-authored with local veteran organizer Jesse Strauss: “Civil Rights and Structural Attacks: Conversations with Walter Riley.”

Widely known in Oakland for his unifying leadership on issues of social justice and human rights, Riley is also recognized for his famous son, Raymond “Boots” Riley, a rap artist, political activist, and successful filmmaker, whose latest film, “I Love Boosters,” is now in theaters and capturing national attention.

Born in North Carolina, Riley has lived in San Francisco, Chicago, and Detroit, but his longtime home is Oakland, California.

Over the years, he was a leader in the South against Jim Crow, participated as a student in the historic 1968 San Francisco State University strike that created Black Studies and Ethnic Studies in the U.S. and scored victories in the fight for open college admissions.

He was also a labor organizer and was involved in early Black Panther Party formations, anti-war protests, and was a leader of the Progressive Labor Party, a pro-Mao, Marxist Leninist party.

In an interview on KPFA’s “Upfront” with host Brian Edwards-Tiekert on June 18, he discussed some of his formative experiences, born in 1944 to a family of sharecroppers who worked on a tobacco farm near Durham, North Carolina.

“I came from a farming family, the ninth child of 11 children,” Riley said. “My mom and dad got married as teenagers, and they were together for their entire lives. Growing up in this large family, we had to deal with various aspects of what it meant to live in an economically depressed area with parents who had come through what they called “Hoover times” (the Great Depression) in the South.

“They were proud of every one of their children when they took some stand, to develop and show some sense of dignity,” he said.

In his neighborhood, slavery was not a distant memory. There are many people “who knew firsthand what it was to have family members that had lived as enslaved people and lived in communities where enslaved people had lived.

“(Under tenant farming), the landowner negotiated for the entire family: the farmer, the wife, the children – everybody was involved on the farm. Kids were often engaged. We had to shovel, hoe tobacco to keep the weeds from taking over, to make sure that tobacco worms didn’t eat up the tobacco. If a child was old enough to plow, they would walk behind a horse or mule and plow a field, working from sunup to sundown,” he said.

The houses did not have indoor bathrooms, running water or electricity. “A lot of the names in the Black community were the same names as these slave owners. We could see the names of folks on the streets, street names of people who had enslaved people, and they were symbols to me of a world that did not see me as a human being, that has not treated my ancestors as humans, has treated us as chattel to be sold, to be owned, to be property,” Riley said

“When we were counted by our government, we were counted only for the purposes of allowing white people, white men, to have a vote.”

By 1950, when he was 6 years old, his family moved to another house, leaving tenant farming. His father took a job in construction.

“My parents wanted the younger kids to have education,” he continued. “The older kids had to work on the farms. By the time I came along, I was the second child born in a hospital. “My parents looked forward to younger kids to have more sense of independence from the economic and social depravities that they saw around them.”

Watching television, he became aware of the suffering under Jim Crow, including the lynching in Mississippi of Emmett Till in 1955 and Mack Parker in 1959.

When he was 13, he joined a picket line in town in front of a variety store chain that did not hire Black people and became active in the Civil Rights Movement. By time he was in high school, he had become a leader in the local chapter of the NAACP and met Malcolm X and later Medgar Evers, leaders who were both assassinated.

Married and with a child, he moved with his family in the early 1960s to San Francisco, attending San Francisco State University while working full time.

He participated in the San Francisco State University strike, the longest student strike in U.S. history, where students and their supporters prevailed in the face of mass arrests and daily violent police attacks.

While many people remember the strike for its historic victory – the creation of the first Black Studies and Ethnic Studies programs in the country. “But open admissions was the thing,” he said. “Open admissions had to do with people being able to go to school for free. People should be able to go to school just because they come here and say, ‘I want to go to school. I want an education’ (because) we live in a rich country.”

Studying Marxism, including dialectical materialism, he gradually began to understand structure of the system that needs to be changed, he said. “It requires a lot of study, and it still does.”

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