Justice Department Asks Supreme Court to Intervene and Lift Block on Biden’s Student Loan Bailout Plan
The Justice Department on Friday asked the Supreme Court to intervene and lift the block on Joe Biden’s student loan bailout plan.
Joe Biden unilaterally announced a massive forgiveness of student loans in August to buy the Gen Z-Millennial vote in the 2022 midterms.
Biden canceled up to $10,000 in student debt for borrowers who earn $125,000 a year or less and up to $20,000 for recipients of Pell Grants.
The 8th US Circuit Court of Appeals on Monday extended a block on Joe Biden’s student loan bailout plan.
The DOJ is asking the Supreme Court to lift the 8th Circuit Court’s block.
President Joe Biden’s administration on Friday asked the Supreme Court to lift a lower court’s order blocking his plan to cancel billions of dollars in student debt in a challenge brought by six Republican-led states.
Biden’s plan was contested by six states who argued it skirted congressional authority and threatened future state revenues. A federal judge dismissed their case for lacking legal standing, though St. Louis, Missouri-based 8th Circuit’s Nov. 14 ruling blocked the program while the states appeal the judge’s decision.
The Justice Department in a filing has now asked the high court to vacate that decision, saying it leaves millions of economically vulnerable borrowers in limbo.
The department also suggested the high court could bypass the appeals court and hear the dispute itself on an expedited basis, with a decision by the end of June.
The government is also contesting a separate ruling by a federal judge in Fort Worth, Texas, that also threatens the debt-relief program. U.S. Judge Mark Pittman on Nov. 10 found the program unlawful as he sided with two borrowers who sued because they are ineligible for the program and believe their debt “should be forgiven too.”
Separately, a federal judge in Texas last Thursday struck down Joe Biden’s student loan forgiveness plan.
United States District Judge Mark Pittman, a Trump appointee, scolded Joe Biden in a blistering opinion.
The student loan bailout plan did not pass through Congress as Joe Biden falsely claimed – and Judge Pittman BLASTED Biden for ruling with a ‘pen and phone.’
“In this country, we are not ruled by an all-powerful executive with a pen and a phone. Instead, we are ruled by a Constitution that provides for three distinct and independent branches of government…The Court is not blind to the current political division in our country,” the judge wrote.
“But it is fundamental to the survival of our Republic that the separation of powers as outlined in our Constitution be preserved. And having interpreted the HEROES Act, the Court holds that it does not provide ‘clear congressional authorization’ for the Program proposed by the Secretary,” Judge Pittman wrote.