Ford government defends OSAP pause after alleged fraud at career colleges

Premier Doug Ford and his government are under fire over their handling of the Ontario student loan program, with opposition MPPs accusing them of mismanaging allegations of widespread wrongdoing at several private colleges.

Following an extended summer break, the opposition is turning its attention to Ontario Student Assistance Program (OSAP) funding earmarked for private college students.

In the legislature, official Opposition Leader Marit Stiles pointed to “a small number of bad actors, at private career colleges, robbing OSAP blind under this government’s watch.”

Documents filed in court by the Ministry of Colleges and Universities and obtained by The Canadian Press show the province is alleging misuse of the OSAP system, which paid out $1 billion last year, by some private career colleges.

In three instances, the province alleges thousands of student OSAP applications originated from a single IP address.

The province also said it received tips that recruiters were “acting on behalf of students, including in submitting OSAP applications” – which is prohibited – and were even “completing coursework on behalf of students.”

Colleges and Universities Minister Nolan Quinn defended the province’s actions, saying “the bad actors took advantage of taxpayers.”

“What we have uncovered here over the last two years is predatory and nothing short of criminal,” Quinn said. “That’s why we brought it forward to the Ontario Provincial Police and the auditor general, Speaker.”

The government paused OSAP disbursements to all private college students earlier this year, referred the file to the OPP and ordered an audit of the payments.

However, the opposition argued those measures are not enough, insisting Quinn ignored the warning signs and should be fired.

“They were brushing it under the rug,” Stiles said. “When they knew perfectly well that this private career college was probably defrauding the people of Ontario.”

Opposition members are calling on the government to reverse cuts to OSAP, arguing legitimate students are being forced into debt over the misconduct of a few institutions.

“This is a big mess,” says Interim Liberal Leader John Fraser. “It’s hurting a whole bunch of real people.”

The three Academy of Learning schools cited in the legislature have denied any wrongdoing and stated they previously implemented corrective measures.

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