Santa Ana-based Corinthian Colleges Inc. said it could go out of business if it can’t
overcome a cash-flow problem stemming from the U.S. Department of Education’s moves to delay the company’s access to financial aid funds.
Corinthian’s access to the funds will come in three weeks instead of the typical two to three days.
The federal agency contends Corinthian hasn’t fully cooperated in an investigation into its schools’ marketing practices and job-placement claims.
Corinthian’s schools have 72,000 students at 107 campuses throughout the U.S. and Canada. The students account for an estimated $1.4 billion in financial aid a year, according to reports.
