Schools Stand To Lose Their Student Loans
THE Department of Education identified more than 900 colleges and trade schools Tuesday that stand to lose their participation in the federal student-loan program because their students too frequently default.
Among states, Alaska had the worst repayment rate. The government said more than 40 percent of the loans in that state on which payments came due in 1991 were in default. Vermont, with a 5.1 percent rate, had the best record. The national average was 17.5 percent.
A 1989 law designed to drive down defaults has allowed the Education Department to drop schools with default rates of at least 30 percent for three consecutive years. Schools can appeal the decisions, but few succeed.
The biggest trouble spots were by far one- or two-year, profitmaking career schools.
The trade group Career College Association questioned the validity of the figures saying they unfairly count loans that lenders do try to collect.
In 1991, taxpayers lost an estimated $3.6 billion on student loans. Officials estimate that the amount dropped to $2.9 billion in 1992 and will be about $2.5 billion this year. Citadel holds the line
A federal appeals court Tuesday blocked a woman from enrolling at The Citadel until it can hear more about whether women should be allowed into the South Carolina-supported military college.
Suzanne Coe, the attorney for 18-year-old Shannon Faulkner, said attorneys would either appeal to the United States Supreme Court or ask the district court for a speedy trial.
US District Judge C. Weston Houck ruled earlier this month that Ms. Faulkner could enroll in day classes but not in the corps of cadets while her sex discrimination lawsuit against the college was heard.
The Citadel appealed and the 4th US Circuit Court of Appeals in Richmond ruled 2 to 1 that her desire to become a member of the corps of cadets wasn't addressed by the order.
"Whether a constitutional violation is established by showing that The Citadel pursued a male-only admissions policy in the circumstances of this case remains to be decided," the appeals court said.
Citadel attorney Dawes Cooke said it could be several weeks before a hearing takes place.
The Citadel argued Judge Houck's order required coeducation, something the appeals court did not order in a case involving Virginia Military Institute, the only other similar military college in the US.
