- ITT Educational Services Inc., a for-profit college operator with 57,000 students, reported that it may lose some of its federal funding and face heightened scrutiny from regulators.
- The consequences would come from missing a Monday deadline to file its 2013 financial statement and a compliance audit with the U.S. Department of Education.
- ITT has had ongoing communications with the Department of Education, which knew that the documents would be delayed, a company spokeswoman said.
ITT expects to have its financial statements completed by the end of the month and says that the hold-up is due to requirements that it restate various procedures on the accounting of liabilities and assets for a private student loan program. Its situation could play out in a similar manner to Corinthian Colleges, another for-profit slapped with funding restrictions that could be its undoing. That company is currently in the process of selling its Heald schools.