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Saint Mary-of-the-Woods College will not have to repay $42 million in federal student aid funding after a nine-year legal debacle, reports the Tribune Star.

The situation began as the U.S. Department of Education Office of Inspector General finding fault with SMWC's distance education funding as part of the federal student aid programs from 2005 to 2010. A federal audit in 2012 said that the college's distance learning programs should have been categorized as correspondence courses and not telecommunications courses.

The college announced the Department of Education has reversed its finding and the case was dismissed. The college has spent over $800,000 in legal fees since the beginning of this disagreement.

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