Corinthian actively defrauded students, targeting those with little income and resources.
Corinthian Colleges collapsed in 2015. Now, the action will erase $5.8 billion in debt for more than 560,000 borrowers.
Source: Corinthian Colleges students to get federal student debt erased | kgw.com
Corinthian Colleges was found to have defrauded students, lied about credits being transferable to other schools, and lied about the success and employability of graduates.
This issue is completely different than forgiving loans of students who voluntarily took on debt at legitimate colleges.
The former founders and CEO of Corinthian basically got away with their fraud with little accountability and had been pursued by many legal authorities until they went out of business.
Update: I saw a new argument for student loan relief. Assume that any college or university that assisted or encouraged students to get loans, for any degree, was committing fraud, knowing that many (most?) would not lead to a sensible return on investment. Hmmm … therefore, since all colleges committed fraud, all student loans should be forgiven. I’m really not so sure proponents want to go there ...
