Judge Orders Protections for Defrauded Students An Obama-era set of consumer protections for defrauded students will go into effect immediately. The move comes after the Trump administration and the for-profit colleges tried to delay the regulation. Attorney, at Public Citizen Litigation Group Judge Randolph D. Moss denied an industry group's request to postpone the rule.  That comes after Moss ruled last month that Betsy DeVos' delays of the regulation were unlawful. Now there is a clear process where defrauded students can have their federal student loans cancelled. Students whose schools closed while they were enrolled will be entitled to an automatic discharge of their debt.