The provincial government is putting a stop to OSAP payments for private post-secondary institutions.
This decision comes as concerns grow regarding the increase in student financial aid applications from private colleges.
Liberal MPP Tyler Watt mentioned earlier this week that 95% of all funding last year was allocated to private colleges.
He has called on Ontario’s Auditor General to look into the matter.
Colleges and Universities Minister Nolan Quinn states that his ministry is already investigating these concerns.
Quinn noted that his ministry began examining issues related to specific private career colleges back in May 2025.
As a result, the government suspended their OSAP eligibility earlier this year.
“Given the volume and nature of the issues identified by the ministry, in August 2026 the government engaged an independent third-party auditor, KPMG, to assess the broader integrity of OSAP applications at private post-secondary institutions,” states Quinn in a statement.
“While that work is ongoing, preliminary findings have identified serious concerns about the integrity of the OSAP system in the private post-secondary sector. These include common ownership, the involvement of immigration services firms, inadequate student validation and verification of course enrolment and outcomes, and unusually high concentrations of OSAP applications submitted from the same geographic locations.”
Quinn mentions that both the Auditor General and Ontario Provincial Police have been informed.
He also intends to propose stricter criteria for private colleges seeking access to OSAP funds.
The government is also exploring options to offer students affected low-interest loans from third parties so they can stay enrolled.
The suspension of OSAP payments does not affect students attending publicly funded colleges or universities in Ontario.
Randy Thoms is a veteran news broadcaster with over 40 years’ experience. He is based in Fort Frances and covers stories across northwestern Ontario. Contact Randy at thoms. randy@radioabl. ca.
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