WASHINGTON — The Education Department appointed a special monitor Thursday to help develop a debt relief program for students who attended the now-defunct Corinthian Colleges — a debt forgiveness plan that could cost billions of dollars.
Ted Mitchell, the undersecretary at the department, named Joseph A. Smith as the monitor, calling him “a distinguished advocate for consumers and taxpayers” who will guide a fair and efficient process.
Earlier this month, the department announced a plan to make it easier for students who attended Corinthian to seek relief for their federal loans. Corinthian, once one of the largest chains of for-profit colleges, nearly collapsed last year amid fraud allegations, and went bankrupt in May.
Smith has served as an independent monitor in other high-profile cases. He oversaw consumer relief obligations in a $13 billion settlement between the government and JPMorgan Chase.