California VA Pulls GI Benefits Going Toward Private Corinthian Colleges

SACRAMENTO (CBS13) — Hundreds of California veterans will now have to find money to pay for their education, at least for now.

California has suspended GI education benefits at all colleges owned by the Corinthian Colleges group. They say they're trying to protect hundreds of veterans who currently use the GI Bill.

Attorney General Kamala Harris' office filed a lawsuit against the for-profit school months ago. Afterward, the U.S. Department of Education limited federal money, and now the California Department of Veterans Affairs is temporarily suspending GI Bill benefits.

The move comes as the department worries students at the Heald, Everest and Wyotech campuses aren't getting the education Corinthian Colleges is promising.

"If they don't meet the criteria and the requirements that we're looking for, we can permanently suspend the GI bill benefits," said JP Tremblay.

The attorney general's office is seeking a court order that would force Corinthian Colleges to stop advertising for the schools and warn prospective students that it is looking to sell or shut down its 24 California campuses.

Veterans currently enrolled in the college can finish their term, but the suspension means new veterans can't enroll. Students who are far from finishing their curriculum will get additional help if and when any of the Corinthian campuses are sold or closed.

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