Corinthian Colleges Inc., the for-profit-college company that was pushed to the brink of collapse last summer when the U.S. Department of Education tightened its financial oversight of the troubled enterprise,announced on Sunday that it had ceased operations and would close all of its remaining 28 campuses as of Monday.
Approximately 16,000 students will be affected by the closures, which involve the Corinthian subsidiaries Everest College, Everest Institute, Heald College, and WyoTech, mostly in California and other western states.
Corinthian reached an agreement with the Education Department last year to sell 95 of its campuses in the United States and Canada and to "teach out" and close the other 12. It announced in November that it had agreed to sell 56 campuses to the ECMC Group, a nonprofit student-loan servicer. A new division of ECMC, Zenith Education Group, now manages those campuses.
In its statement on Sunday, Corinthian said that it had been negotiating with several parties to sell the remaining campuses but that those efforts had been unsuccessful, "largely as a result of federal and state regulators seeking to impose financial penalties and conditions on buyers and teach-out partners."
Read more at The Chronicle of Higher Education: http://chronicle.com/article/Corinthian-Colleges-Inc-to/229685