In order to deter misconduct, ensure program accountability, and protect students and taxpayers, the U.S. Department of Education (Department) has undertaken steps to enhance individual accountability in programs administered under Title IV of the Higher Education Act of 1965, as amended (20 U.S.C. §§ 1070 et seq) (Title IV programs). On March 1, 2023, the Department published an Electronic Announcement establishing a process for considering when to require individuals who exercise substantial control over institutions to assume personal liability for financial losses which may be incurred by the federal government.
Today, Federal Student Aid (FSA) is announcing the regular public reporting, on its own website, of a list of individuals who are currently suspended or debarred by the Department. FSA will regularly update the list, by adding and removing names, to reflect new debarments or suspensions and the expiration of such actions. Please check back here periodically for the most current list.
Suspensions and debarments are actions taken by the Department and other federal agencies to “exclude from Federal programs persons who are not presently responsible.” 2 C.F.R. § 180.125(b). Suspension is a temporary status of ineligibility, pending completion of an investigation or legal proceedings. 2 C.F.R. § 180.605. Debarment for a specified period is a final determination that a person is not presently responsible. Id.
"Suspension is a serious action” that FSA may impose when “immediate action is necessary to protect the public interest” (2 C.F.R. 180.700(c)) and (1) there is “an indictment for, or other adequate evidence to suspect, an offense” that would warrant debarment, such as commission of a fraud or embezzlement (2 C.F.R. 180.700(a)) or (2) “[t]here exists adequate evidence to suspect any other cause for debarment” (2 C.F.R. 180.700(b)). Individuals may be debarred based on certain convictions or civil judgments and other triggering events “so serious and compelling in nature that it affects [their] present responsibility.” 2 C.F.R. 180.800 et. seq.
Additionally, FSA may impute “the fraudulent, criminal, or other improper conduct” of an individual or entity for purposes of suspension and debarment. 2 C.F.R. § 180.630. Conduct can be imputed from an individual to an entity; from an entity to an individual; between individuals; or between entities. Id.
An individual or entity that is suspended or debarred by the Department generally may not be a participant in transactions with the Department or other Federal agencies while the suspension or debarment is in effect. 2 C.F.R. §§ 180.120 - 180.150.
Suspensions and Notices of Proposed Debarment are issued by FSA Enforcement’s Administrative Actions and Appeals Service Group (AAASG). Debarment decisions are issued by the Department’s Deciding Official in the Department’s Office of Hearing and Appeals (OHA) after consideration of AAASG’s Notice of Proposed Debarment and any objection filed in response to the Notice.
Additional information regarding suspensions and debarments is available here.
In addition to reporting suspensions and debarments on the FSA website, the Department will continue to report all suspension notices and debarment decisions to the Office of Acquisition and Grants Administration (OAGA). OAGA adds the individual or entity to its system and makes the information publicly available on the SAM.gov website for all schools and government agencies to search for excluded individuals or entities.
Reporting Misconduct or Fraud by Individuals or Institutions
As part of its ongoing effort to identify and respond to misconduct by institutions in the Title IV programs, the Office of Enforcement, in November 2022, began to invite knowledgeable sources to submit tips and information about potential violations. FSA welcomes information from current or former employees, students, vendors, or contractors of postsecondary institutions; third-party servicers; third-party lead generators; and any other individuals with knowledge of potential violations. Knowledgeable sources may submit relevant tips and information by visiting Ed.gov/FSATips or emailing FSATips@ed.gov.