The Consumer Financial Protection Bureau (CFPB) on Wednesday announced that it has filed a lawsuit against the Indiana-based, for-profit college ITT Educational Services, Inc., alleging the company "exploited its students and pushed them into high-cost private student loans that were very likely to end in default." The bureau is seeking restitution for victims, a civil fine and an injunction against ITT. CFPB Director Richard Cordray described the lawsuit, which is the bureau's first public enforcement action against a company in the for-profit college industry, as a warning to the industry that the bureau "will be vigilant about protecting students against predatory lending practices." In the lawsuit, the bureau alleges that ITT pressured students into predatory, high-cost loans by having its financial aid staff rush them through an automated application process. Also, because the credits earned at ITT typically did not transfer to other institutions, the CFPB alleges ITT "used the prospect of expulsion and the loss of they money already spent during the student's first year to coerce students into taking out" additional private loans necessary to cover the cost of tuition. The bureau alleges ITT misled student to believe they were likely to "land good jobs and enough salary to repay their private student loans," knowing that a majority would default. For more, including the complaint, read the full news release and Director Cordray's prepared remarks.