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Some Wisconsin Students Eligible For Tuition Settlement

State AG Not Part Of Suit Against For-Profit College Company

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More than 900 students who attended a for-profit arts institute in Milwaukee are eligible to have their student loans forgiven thanks to settlement reached in a federal lawsuit last week.

The settlement with the Education Management Corporation includes more than $100 million in loan forgiveness for thousands of students at for-profit colleges across the country.

Wisconsin wasn’t one of the 39 states that sued the company for illegally paying recruiters to overstate the colleges’ ability to place students in jobs.

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Student loan reform advocate Scott Ross of the group One Wisconsin Now said he’s glad the company is being held accountable but he criticized Wisconsin Attorney General Brad Schimel.

“Attorneys general from across the country are putting out press releases to let borrowers know here’s what you need to do get relief if you have it coming, and up until today there’s been utter silence from the (Wisconsin) DOJ,” Ross said.

He said Wisconsin has joined lawsuits challenging new environmental regulation but has ignored the issue of student loans.

After Ross raised concerns about Wisconsin not participating in the lawsuit, the state Department of Justice did put a link to the settlement on the state’s website that directs students to a toll free number for EDMC.