Former Student Loan Watchdog Takes on ITT

June 25, 2015
  • Industry News

The former student loan ombudsman for the Consumer Financial Protection Bureau -- who is still taking on for-profit colleges from his new perch -- sent a letter to ITT Educational Services investors Wednesday asking them to reform the for-profit institution.

Rohit Chopra, now a senior fellow with the Center for American Progress, wrote, "I have serious concerns that ITT is not properly managed. Unless investors provide more vigorous oversight over management and the board, ITT will continue to harm both its students and its shareholders."

ITT is facing lawsuits from state and federal agencies for allegedly guiding students to predatory loans and lying to investors about high default rates on those loans. The company has been compared to Corinthian Colleges.

Read more at Inside Higher Ed: https://www.insidehighered.com/quicktakes/2015/06/25/former-student-loan-watchdog-takes-itt