More than $665K going to Nebraska in debt relief settlement
LINCOLN, Neb. (AP) — The Nebraska Attorney General's Office says more than 350 residents will share in the state's portion of a nearly $500 million settlement by a for-profit college company.
Career Education Corp., based in Schaumburg, Illinois, agreed earlier this month to clear $493.7 million in debt from thousands of former students as part of a settlement with 48 states and the District of Columbia.
Officials alleged the company lied about job placement rates and misled potential students to get them to enroll.
The company denied the allegations but agreed to resolve them in the settlement.
Nebraska Attorney General Doug Peterson said Wednesday that 370 Nebraskans will share in the $665,400 in debt relief.
The company also has agreed to pay $75,000 to the state.