Republican-led US states sue over new Biden student debt relief plan

Supporters of US President Joe Biden's s plans for student debt relief march near the White House after a US Supreme Court decision blocking the president's plan to cancel $430 billion in student loan debt, in Washington, US. (Reuters/File)
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Updated 04 September 2024
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Republican-led US states sue over new Biden student debt relief plan

  • The lawsuit is the latest legal challenge to the Democratic president’s efforts to fulfill a campaign pledge

Seven Republican-led states filed a lawsuit on Tuesday to challenge President Joe Biden’s administration’s latest student debt forgiveness plan, saying the US Department of Education was taking steps to start canceling loans as soon as this week.
The lawsuit came less than a week after the US Supreme Court rejected the Biden administration’s bid to revive a different student debt relief plan that was designed to lower monthly payments for millions of borrowers and speed up loan forgiveness for some.
In a lawsuit filed in federal court in Brunswick, Georgia, state attorneys general took aim at a rule the Education Department proposed in April that would provide for a waiver of federal student loan debts for an estimated 27.6 million borrowers.
Attorneys general from states including Georgia and Missouri say they recently obtained documents showing the Education Department has instructed federal loan servicers to begin canceling hundreds of billions of dollars of loans as early as either Tuesday or Saturday before the rule was finalized.
That could lead to the overnight cancelation of at least $73 billion in loans, the lawsuit said, and billions in further debt relief could follow. The states argue the Education Department has no authority to carry out such debt forgiveness.
“We successfully halted their first two illegal student loan cancelation schemes; I have no doubt we will secure yet another win to block the third one,” Missouri Attorney General Andrew Bailey said in a statement.
The Education Department and White House did not respond to requests for comment.
The lawsuit is the latest legal challenge to the Democratic president’s efforts to fulfill a campaign pledge and bring debt relief to millions of Americans who turned to federal student loans to fund their costly higher education.
Republican-led states successfully convinced the 6-3 conservative majority US Supreme Court in June 2023 to block a $430 billion program championed by Biden that would have canceled up to $20,000 in debt per borrower for up to 43 million Americans.
The administration then pursued a different program dubbed the Saving on a Valuable Education, or SAVE, plan, that was designed to lower monthly payments for millions of borrowers and speed up loan forgiveness for some.
But Republican-led states convinced a federal appeals court to block that plan while litigation over it continues to play out. The Supreme Court on Aug. 28 declined to lift that injunction.
The latest plan relies on a different statute than those, a provision of the Higher Education Act that several leading Democrats including US Senate Majority Leader Chuck Schumer and Senator Elizabeth Warren have long argued provides the administration authority to cancel student debt.


Trump unveils first $5 million ‘gold card’ visa

Updated 22 sec ago
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Trump unveils first $5 million ‘gold card’ visa

  • Republican president tells reporters that the special visa would probably be available ‘in less than two weeks’
  • Trump said that sales of the new visa would bring in job creators and could be used to reduce the US deficit
WASHINGTON: US President Donald Trump unveiled the first “gold card,” a residency permit sold for $5 million each, aboard Air Force One on Thursday.
Holding a prototype that bore his face and an inscription “The Trump Card,” the Republican president told reporters that the special visa would probably be available “in less than two weeks.”
“I’m the first buyer,” he said. “Pretty exciting, huh?”
Trump previously said that sales of the new visa, a high-price version of the traditional green card, would bring in job creators and could be used to reduce the US national deficit.
The billionaire former real estate tycoon, who has made the deportation of millions of undocumented migrants a priority for his second term, said the new card would be a route to highly prized US citizenship.
He said in February that his administration hoped to sell “maybe a million” of the cards and did not rule out that Russian oligarchs may be eligible.

Trump is looking forward to Azerbaijan and Armenia signing a peace treaty, US diplomat says

Updated 27 min 37 sec ago
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Trump is looking forward to Azerbaijan and Armenia signing a peace treaty, US diplomat says

  • Armenia and Azerbaijan said last month that they had agreed the text of a peace agreement to end almost four decades of conflict
  • Fighting over Karabakh, which is part of mostly Muslim Azerbaijan but had until 2023 a heavily Armenian Christian population, broke out in the late 1980s

BAKU: US President Donald Trump is looking forward to Azerbaijan and Armenia signing a long-awaited peace treaty, Eric Jacobs, a senior adviser of the State Bureau of Energy Resources of the US Department of State, said on Friday.
Speaking at an energy event in Baku, Jacobs said the peace treaty would usher in “a new era of security and prosperity” for the South Caucasus region.
Armenia and Azerbaijan said last month that they had agreed the text of a peace agreement to end almost four decades of conflict between the two countries over the region of Nagorno-Karabakh.
Fighting over Karabakh, which is part of mostly Muslim Azerbaijan but had until 2023 a heavily Armenian Christian population, broke out in the late 1980s, when both countries were part of the collapsing Soviet Union.
The territory gained de facto independence from Azerbaijan with Armenian support through a series of wars, but was ultimately retaken by Azerbaijan in September 2023, in a military offensive that prompted almost all of its 100,000 ethnic Armenians to flee.
Since then, the two countries have both said they want a peace deal, but talks have been fitful and progress slow until a sudden breakthrough last month.
The peace deal is still not expected to be signed quickly though as Azerbaijan is demanding that Armenia first change its constitution to remove what Baku says are references to Karabakh independence.
Since the draft deal was agreed, both Armenia and Azerbaijan have also accused each other of firing on positions along the two countries’ closed and heavily militarized border. No casualties have been reported in the incidents.


EU leaders hold their first summit with Central Asian states

Updated 41 min 44 sec ago
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EU leaders hold their first summit with Central Asian states

  • The EU strategy on Central Asia emphasizes Central Asia’s growing strategic importance and aims to foster a stronger partnership

The leaders of the European Union and five Central Asian countries held their first summit on Friday to discuss ways to boost trade and other ties.
The summit in Samarkand, Uzbekistan is attended by European Council President António Costa, European Commission President Ursula von der Leyen and the leaders of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan.
Costa declared that “the European Union is eager to build a mutually beneficial partnership with Central Asia, one that goes beyond expectations.”
Von der Leyen said that the summit is set to “deepen trade ties and expand cooperation in transport, critical raw materials, digital connectivity, water and energy.”
The EU strategy on Central Asia emphasizes Central Asia’s growing strategic importance and aims to foster a stronger partnership with the countries of the region.
Uzbekistan’s President Shavkat Mirziyoyev noted that during the past seven years trade between Central Asian and EU countries has increased to 54 billion euros ($60 billion), adding that the summit “should become the starting point of a new stage in the development of multi-faceted relations.”


Danish leader tells the US ‘you cannot annex another country’ as she visits Greenland

Updated 43 min 31 sec ago
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Danish leader tells the US ‘you cannot annex another country’ as she visits Greenland

  • Danish leader: ‘If we let ourselves be divided as allies, then we do our foes a favor. And I will do everything that I can to prevent that from happening’
  • ‘This is about the world order that we have built together across the Atlantic over generations: you cannot annex another country, not even with an argument about international security’

NUUK, Greenland: Denmark’s prime minister is wrapping up a three-day visit to Greenland on Friday after telling the US “you cannot annex another country,” even with the argument that international security is at stake.
Prime Minister Mette Frederiksen traveled to the strategically critical Arctic island as US President Donald Trump seeks control of Greenland. He argues that Greenland, a semiautonomous territory belonging to the Kingdom of Denmark, is critical to US security.
A week ago, Vice President JD Vance visited a remote US military base in Greenland and accused Denmark of underinvesting in the territory.
Frederiksen pushed back against the US criticism as she spoke on Thursday alongside Greenland’s incoming and outgoing leaders. She argued that Denmark, a NATO ally, has been a reliable friend.
Speaking in English, she said that “if we let ourselves be divided as allies, then we do our foes a favor. And I will do everything that I can to prevent that from happening.”
“When you ask our businesses to invest in the US, they do. When you ask us to spend more on our defense, we do; and when you ask of us to strengthen security in the Arctic, we are on the same page,” she said.
“But when you demand to take over a part of the Kingdom of Denmark’s territory, when we are met by pressure and by threats from our closest ally, what are we to believe in about the country that we have admired for so many years?”
“This is about the world order that we have built together across the Atlantic over generations: you cannot annex another country, not even with an argument about international security,” Frederiksen said.
The Danish leader said that, if the US wants to strengthen security in the Arctic, “let us do so together.”
Political parties in Greenland, which has been leaning toward eventual independence from Denmark for years, last week agreed to form a broad-based new coalition government in the face of Trump’s designs on the territory. Those have angered many in Greenland and Denmark.
In an interview with Newsmax on Thursday, Vance repeated the accusation that Denmark has “really underinvested in the infrastructure and security of Greenland.”
He said Trump’s point is that “this matters to our security, this matters to our missile defense, and we’re going to protect America’s interests come hell or high water.”


Russia accused by Britain and France of delaying ceasefire talks, say Putin 'owes' the US an answer

Updated 04 April 2025
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Russia accused by Britain and France of delaying ceasefire talks, say Putin 'owes' the US an answer

  • Britain and France are helping to lead a multinational effort known as the “coalition of the willing” to set up a force to police any future peace in Ukraine

BRUSSELS: Britain and France on Friday accused Russian President Vladimir Putin of dragging his feet in ceasefire talks to bring a halt to fighting in Ukraine and ramped up pressure on Moscow by insisting that he owes the United States an immediate answer.
Russia has effectively rejected a US proposal for a full and immediate 30-day halt in the fighting after a Kremlin official said on Monday that Moscow views efforts to end its three-year war with Ukraine as “a drawn-out process.”
“Our judgment is that Putin continues to obfuscate, continues to drag his feet,” British Foreign Secretary David Lammy told reporters at NATO headquarters, standing alongside his French counterpart Jean-Noel Barrot in a symbolic show of unity.
Britain and France are helping to lead a multinational effort known as the “coalition of the willing” to set up a force to police any future peace in Ukraine.
Lammy said that while Putin should be accepting a ceasefire, “he continues to bombard Ukraine. It’s civilian population. It’s energy supplies. We see you, Vladimir Putin. We know what you are doing.”
Barrot said that Ukraine had accepted ceasefire terms three weeks ago, and that Russia now “owes an answer to the United States.” US President Donald Trump has expressed frustration with Putin and Ukraine’s President Volodymyr Zelensky after he promised last year to bring the war to a swift conclusion.
“Russia has been flip-flopping, continuing its strikes on energy infrastructure, continuing its war crimes,” Barrot said. “It has to be ‘yes.’ It has to be ‘no.’ It has to be a quick answer.”
He said that Russia shows no intention of halting its military campaign, noting that Putin on Monday ordered a call-up intended to draft 160,000 conscripts for a one-year tour of compulsory military service.
The two foreign ministers pledged to continue helping to build up Ukraine’s armed forces – the country’s best security guarantee since the US took any prospect of NATO membership off the table.
Coalition army chiefs were due to meet in Kyiv on Friday. Defense ministers from the group will meet at NATO headquarters next Thursday.