Will billionaire Betsy DeVos go to jail for defying the direct order of a judge?

In 2015, for-profit Corinthian Colleges went bankrupt after state attorney generals complained of fraud. Thousands of its former students were left in the lurch with a mountain of debt for a worthless “education.” After the company filed for bankruptcy protection, the federal department of education ruled that as many as 335,000 students might have their debts canceled, “under The Borrower Defense to Repayment program—an initiative started in 2016 to provide loan relief for students who had been defrauded by predatory schools.” This was during the Obama administration.

However, when DeVos became Secretary of Education, she limited the program of loan forgiveness and began to hound many of the students who had been defrauded. The applications of some 160,000 students for loan forgiveness were shelved. DeVos was ordered by Judge Sallie Kim to stop hounding students to repay student loans that should have been forgiven.

But, as we have seen before, Secretary DeVos has great sympathy for for-profit corporations and no sympathy for students who were defrauded.

Education Secretary Betsy DeVos has been threatened with the possibility of jail after a judge deemed she was violating a court order for continuing to collect student debts on a now-defunct school.

That ruling, handed down in June of 2018, was made by U.S. Magistrate Judge Sallie Kim and prevented DeVos and her Department of Education for going after former students at the bankrupt Corinthian Colleges Inc.

However, Kim said she was “astounded” to discover that DeVos was violating the court order at a hearing in San Francisco on Monday after a filing by the Education Department earlier disclosed that more than 16,000 former students at Corinthian College “were incorrectly informed at one time or another … that they had payments due on their federal student loans.”

“At best it is gross negligence, at worst it’s an intentional flouting of my order,” Kim said, reported Bloomberg.

“I’m not sure if this is contempt or sanctions,” she added. “I’m not sending anyone to jail yet but it’s good to know I have that ability.”

The same story is here in the Washington Post.

Is it time to chant “Lock her up”?