DeVos held in contempt of court in loan forgiveness dispute

WASHINGTON, DC - MARCH 28: U.S. Secretary of Education Betsy DeVos testifies during a Senate Labor, Health and Human Services, Education and Related Agencies Subcommittee discussing proposed budget estimates and justification for FY2020 for the Education Department on March 28, 2019 in Washington, DC. (Photo by Zach Gibson/Getty Images)

WASHINGTON — A federal judge has held Education Secretary Betsy DeVos in contempt of court for violating an order to stop collecting loans from thousands of former for-profit college students.

U.S. Magistrate Judge Sallie Kim issued the ruling Thursday in San Francisco. She also fined the Education Department $100,000.

Kim previously ordered DeVos to stop collecting federal loans from former Corinthian Colleges students who applied for loan forgiveness after the chain shut down in 2015 amid allegations of fraud.

The Obama administration sought to make it easier for defrauded students to get loans forgiven, but the Trump administration has worked to tighten the rules.

The Education Department acknowledged in September that it continued to collect loans from more than 3,000 former Corinthian students, prompting Kim’s response.

The department did not immediately comment.

Notice: you are using an outdated browser. Microsoft does not recommend using IE as your default browser. Some features on this website, like video and images, might not work properly. For the best experience, please upgrade your browser.