You have no idea how many cases or documents I read on a daily basis. The vast majority of information never reaches the site because it is not news or information worthy.
But this lawsuit filed Solimar and Linnette has to be one of the stranger situations I’ve seen when it comes to student loans. Linette was the mother and took out a Parent Plus loan for Solimar.
The lawsuit filed against Navient and the Institute of Technical Arts is bizarre.
Back in 2015 federal agents raided the Institute of Technical Arts (ITA). The raid was conducted by the U.S. Inspector General and the U.S. Department of Education.
According to Flordia station WESH, “Witnesses said agents entered the building with guns drawn, and local police established a perimeter.”
According to the Plaintiffs in the case, she received a Direct Loan that was subsidized and serviced by Navient. The funds were paid directly to the school for tuition and costs.
ITA closed effective September 3, 2015.
Following the closure of the school, both Solimar and Linnette filed closed school discharge requests with the Department of Education to have there student loans forgiven.
So here is where it gets really strange. Following the closure of ITA but prior to filing the Closed School Discharge the students requested her transcript from the Florida Department of Education (FDOE) since they should have been transferred to them when the school went poof.
She needed her transcripts to hopefully transfer to another school and finish their education.
ITA was supposed to forward all student records to FDOE but even though Solimar had attended for some time her transcripts and records were nowhere to be found. Either they were misplaced or destroyed or ITA never created records of the attendance.
The Closed School Discharge request was denied by the Department of Education.
Here is a copy of a letter from the attorney representing the two students that can help explain the situation.
Clearly ITA was a federally approved school and Navient paid student loans directly to the school. There was a record that Solimar was a student.
While I typically post a copy of the court documents, in this case, I won’t since there is so much personal information in the court record.
It’s sad to hear this fight has been going on since 2015.
I suppose the lesson to be learned here is if you are attending a for-profit school it would not hurt to ask for a copy of your transcript along the way to prove you are actually enrolled.