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Federal Student Financial Aid Penalties for Drug Law Violations

Suspension of Eligibility for Drug-related Offenses

A student who has been convicted of any offense under any Federal or State law involving the possession or sale of a controlled substance shall not be eligible to receive any grant, loan, or work assistance under this title during the period beginning on the date of such conviction and ending after the interval specified in the following table:

The possession of a controlled substance     Ineligibility period
  First offense  1 year 
  Second offense 2 years
  Third offense Indefinite 
The sale of a controlled substance    
  First offense  2 years 
  Second Offense Indefinite 

 Rehabilitation - A student whose eligibility has been suspended may resume eligibility before the end of the ineligibility period determined if:

  • the student satisfactorily completes a drug rehabilitation program;
  • the student successfully passes two unannounced drug tests conducted by a drug rehabilitation program;
  • or the conviction is reversed, set aside, or otherwise rendered nugatory.

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