Lori Loughlin's Daughters Olivia Jade and Isabella Not Allowed to Drop out of USC

Lori Loughlin's daughters may not be out at the University of Southern California just yet, despite earlier reports.

The daughters of the Fuller House star and designer Mossimo Giannulli, Olivia Jade, 19, and Isabella, 20, reportedly dropped out of the university after their parents were accused of paying $500,000 to get their daughters admitted by listing them as recruits for the crew team as part of a bribery scheme.

Despite rumors that the young women had dropped out of the school after the scandal news broke, USC issued a statement Monday saying every student involved in the scandal was unable to withdraw from the school pending a "case-by-case review," as first reported by The Daily Mail.

"USC has placed holds on the accounts of students who may be associated with the alleged admissions scheme," the statement read.

"This prevents the students from registering for classes (until they have agreed to participate in the review of their case), withdrawing from the university, or acquiring transcripts while their cases are under review.

"Among many factors investigators could consider in reviewing each case are any developments in the criminal cases, including plea deals by parents," the statement, released by the publication, continued.

"Following these case-by-case reviews, we will take the proper action related to each student's status, up to revoking admission or expulsion."

The new statement from the university comes as sources claim Olivia, a well known YouTube star, has not spoken to her parents since the news broke.

"Olivia is still distraught and embarrassed. She hasn't been home much," a source told PEOPLE last week. "She is very angry with her parents. She just wants to figure out how she can rebuild her brand."

The influencer, who has been dropped by brands like Tresemmé and Sephora since her parents were first indicted, reportedly blames them for everything.

"She would have never gone along with it if she thought this would happen. Her thing is that she trusted her parents," the source. "Olivia spends most of her time with close friends and her boyfriend," model and musician Jackson Guthry.

0comments

"Olivia had her own life and business. She was always very driven and worked very hard to achieve what she had. This was her passion," the source said. "She was honest about that she didn't really care about school. But her business, she was always very serious about. She most certainly will find a way to start over again. She isn't someone that gives up easily."

While Desperate Housewives star Felicity Huffman pleaded guilty to her involvement in the scheme, Loughlin faced new money laundering charges Tuesday after she reportedly rejected her own deal. Both Loughlin and Giannulli could face at least two years in prison on the new charge alone.