Corinthian Schools Files For Bankruptcy A Week After Closing California Campuses
SANTA ANA (CBSLA.com) — Corinthian Schools Inc. filed for bankruptcy in Delaware Monday, a week after the company shut down all of its California campuses.
The Santa Ana-based company listed its assets as between $10 million and $50 million, with estimated liabilities between $100 million and $500 million.
The vocational college company came under fire two years ago when the Attorney General's Office filed suit, accusing the company of targeting its advertising toward low-income residents with inflated claims of job placement rates following graduation and training.
California Attorney General Kamala Harris and eight other attorneys general earlier this month urged the Department of Education to relive the debt burden of thousands of students who attended Corinthian schools.
The court filing lists the 30 biggest unsecured claims. The top three are Barclays Capital Inc. of New York,$1.25 million; Ambassador Education Solutions of Melville, New York, $1.2 million; and Student Scout LLC of Chicago, $500,000.
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