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The government was allowed to cut off all student loans & grants to college students in the late 70's
It was upheld by the Supreme Court in Grove City College vs Bell in 1984 when the court ruled that any college had to comply with federal rules if their students received any type of financial aid. Ruling also applied to Hillsdale College.
https://www.uscourts.gov/about-federal-courts/educational-resources/educational-activities/14th-amendment-and-evolution-title-ix/grove-city-college-v-bell-facts-and-case-summary