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ST. LOUIS RECORD

Tuesday, April 30, 2024

Missouri AG calls Biden's latest student loan plan 'illegal'

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ST LOUIS — Missouri Attorney General Andrew Bailey announced his participation in a lawsuit against President Joe Biden for his most recent loan "cancelation" plan.

Bailey joined the effort initially begun by Kansas as part of a multi-state effort. He is filing his own effort regarding the loan "cancelation" plan.

“I’m extremely pleased to see Kansas is leading a multi-state coalition in challenging President Biden’s latest attempt to unlawfully transfer hundreds of thousands of dollars in Ivy League debt onto working Missouri families," Bailey said in a news release. "I’m pleased to share that my office is also leading a multi-state coalition and will be filing suit in Missouri in the coming days."

Bailey said he believes the two coalitions will bring the matter before a judge quickly.

"Between our two coalitions of states, we will get this matter in front of a judge even more quickly to deliver a win for the American people," Bailey said. "The Supreme Court sided with Missouri on this matter the first time. I look forward to bringing home yet another win for the Constitution and the rule of law."

Bailey wants to challenge what he deemed an illegal attempt to shift Ivy League debt onto Missouri families.

Arkansas Attorney General Tim Griffin, who was part of the original coalition that sued the Biden administration over a previous debt-cancellation plan, echoed Bailey's sentiments. 

"Arkansas was part of the original coalition that sued the Biden administration over its first unlawful debt-cancellation plan," Griffin said. "President Biden has already lost on this question once, and he is refusing to follow the law. The Supreme Court could not have been clearer: President Biden cannot unilaterally cancel student debt and force taxpayers to bear the multi-billion-dollar cost."

Griffin criticized Biden for what he sees as a refusal to follow the law, highlighting the Supreme Court's stance from the previous decision by the Supreme Court of the United States.

The Supreme Court had ruled in favor of Bailey's previous challenge to the Biden Administration's student loan plan, deeming it unconstitutional in a 6-3 decision. The court cited the plan's significant impact on the federal budget, exceeding $430 billion, without explicit approval from Congress.

Central to the Supreme Court's decision was the recognition that Missouri's student loan servicing company, MOHELA, operates as an arm of the state government. 

This acknowledgment granted states the standing to challenge the student loan plan.

Bailey expressed optimism about securing another legal victory for the Constitution and the rule of law, building on the Court's previous ruling in Missouri's favor.

In the previous decision by the United States Supreme Court, the court ruled 6-3 in favor of Bailey's challenge against the Biden Administration's unilateral student loan debt repayment plan. 

The court found the plan, which aimed to transfer hundreds of billions of dollars in debt, unconstitutional due to its massive impact on the federal budget without explicit Congressional approval. 

Bailey said the previous decision prevented an abuse of power that would burden working Americans.

The Attorney General's Office did not respond to requests for comment.

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