Biden student loan debt forgiveness plan suffers another setback

A federal appeals court on Wednesday declined to shelve a lower court’s ruling blocking President Biden’s student debt relief plan as the administration’s full appeal proceeds.

The three-judge panel, who were appointed by presidents of both parties, in a brief Wednesday night order declined to block a Texas-based trial judge’s decision last month ruling that Biden overstepped his power in developing the plan.

The panel also ordered the administration’s full appeal to be considered in an expedited manner.

Following the lower court’s ruling, the Biden administration stopped accepting student loan forgiveness applications while insisting the plan is legal.

After the St. Louis-based 8th Circuit blocked the plan in a separate case, the Justice Department last month asked the Supreme Court to lift the decision, arguing debt holders were left in limbo.

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