This morning, one of the nation’s biggest for-profit colleges, ITT Tech, announced that it has permanently shut down its academic operations and fired the “overwhelming majority” of its more than 8,000 employees. In a typically self-pitying, remorseless statement, the company blamed all its woes on the U.S. Department of Education, which, ITT claimed, acted with “a complete disregard ... for due process to the company.”
On August 25, the Education Department, citing a range of questionable business practices by ITT, banned the company from enrolling new students using federal grants and loans. Given ITT’s overwhelming dependence on federal student aid, that decision essentially amounted to a death sentence.
Here are some things you should know: