OSAP at Private Career Colleges: Spending Growth, Ministry Action and a Payment Pause
On October 6, 2026, Colleges and Universities Minister Nolan Quinn said OSAP payments to private career college students are paused while a KPMG audit continues, and that the government had referred concerns about OSAP payments at private career colleges to the Ontario Provincial Police. Those are the minister's statements about preliminary findings. No audit report has been published, no police finding has been reported, and none of the allegations in court filings has been proven in court. The announcement followed freedom-of-information data showing Ontario Student Grants to career college students rose from about $554 million to about $994 million between 2023-24 and 2024-25. On October 5, the Auditor General's office said it would consider a Liberal request for an audit in future planning.
📚 An in effect Education policy from October 2026 · Partially sourced
Updated · Created
"Protecting the Integrity of OSAP"
The ministry says it began targeted inspections of career colleges in 2025, asked KPMG in August 2026 to begin an audit, and has paused OSAP payments to career college students while that work continues. The minister says the government notified the Auditor General and referred the matter to the Ontario Provincial Police.
"While that work is ongoing, preliminary findings have identified serious concerns about the integrity of the OSAP system in the private post-secondary sector."
— Minister Nolan Quinn, October 6, 2026 (Canadian Press)
"Concerns Raised in 2023, Payments Paused in 2026"
Career Colleges Ontario says it raised concerns with the ministry in January 2023 and asked in 2024 that related concerns go to law enforcement. The ministry disqualified some schools from OSAP loans in 2026 and paused payments to all career college students on October 6. The allegations are untested: none has been proven in court, the KPMG audit has not been published, and the OPP has said only that it is reviewing the information.
- Grants to career college students rose from about $554 million in 2023-24 to about $994 million in 2024-25 (Canadian Press, from FOI data)source
- Career Colleges Ontario says it raised concerns about "indicators consistent with suspicious activity" in January 2023 (letters filed in court, per the Canadian Press)source
- The ministry disqualified students at five private career colleges from OSAP loans for 2026-27; some schools have asked a court to review and say they took corrective steps (Canadian Press)source
- OSAP payments are paused for all career college students; Career Colleges Ontario asks that approved in-person students be reinstated (Canadian Press, CBC News)source
This section represents editorial interpretation of documented evidence.
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