It almost seemed like a dare last month when Nebraska Attorney General Jon Bruning said he had reached a settlement with the Omaha-based lender, the National Education Loan Network. At a time when New Yorkâ??s attorney general, Andrew M. Cuomo, had been filing subpoenas and dishing out charges against lenders and colleges right and left, the settlement â?? which the Nebraska official said resolved â??very minorâ? mistakes by Nelnet and â??closes the bookâ? on Nelnetâ??s potential legal problems â?? seemed to say: â??Back off, Mr. Cuomo, Iâ??ve got my local lender covered.â?
Thursday, however, Cuomo opened what he called a â??new frontâ? in his ever-expanding investigation into the student loan industry â?? and this time, Nelnet was a central target, as were dozens of college and university alumni associations with which the Nebraska lender has formed partnerships.