Zambia's government has decided to scrap its national bursary scheme and replace it with a transparent student loans scheme, following controversies including allegations of corruption that have dogged the bursary initiative for years.

The Education department must explain why it let a student loan company that an audit had found improper millions of dollars. The loan company received the payments through a subsidy program that guaranteed a 9.5 percent interest rate on student loans. In an accord reached in January, the department allowed it to keep the $278 million it had received but suspended future payments of more than $800 million until a future audit could determine whether the company was eligible for the money.

The U.S. Education Department last week proposed new rules that would loosen a ban on incentive compensation for college recruiters and get rid of a financial-aid regulation. The proposal to eliminate the 12-hour rule follows years of debate. Distance-education providers have pushed the department and Congress to throw out the regulation, but others have cited fears that relaxing the rule would lead to fraud.