A federal appeals court on Monday reinstated a federal False Claims Act lawsuit brought against ITT Educational Services, Inc. by a former enrollment official. A federal judge in Indiana dismissed the suit against the for-profit higher education provider last year, saying the court did not have jurisdiction because the plaintiffs in the case were not the original source of the allegations against the company, as is required under the false claims law. The court also slapped the plaintiffs with nearly $400,000 in fines for having brought, in the judge's words, a "frivolous" lawsuit.
The second try was the trick for Ashford University, which earned its regional accreditation from the Western Association of Schools and Colleges after being rejected one year ago.
Apollo Group (APOL), the for-profit education stock behind the University of Phoenix, made waves yesterday by announcing that Phoenix’s accreditation was reaffirmed through the 2022–23 academic year.
The owner of the US’ biggest for-profit university fears it could face reputational and financial damage from an accreditation dispute that is already being used by a British union to attack the UK’s leading for- profit college.
After the market closed Monday Apollo group released news that its University of Phoenix's accreditation had been "reaffirmed" for 10 years by the Higher Learning Commission, which grants accreditation to colleges.
The Thunderbird School of Global Management’s new joint venture with for-profit Laureate Education Inc. provides a $13 million cash investment to the Glendale business school and includes a $52 million sale-leaseback deal for its campus, according to the Wall Street Journal.
Chancellor University, a for-profit college based in Seven Hills, Ohio, that once faced extinction when it was known as the nonprofit Myers University, announced on Monday that it would close, according to The Plain Dealer of Cleveland.
Jennifer Kerr took a mighty leap of faith when she sued a for-profit college for misrepresenting what kind of degree she’d be earning and its value to her future. Tucked into her contract with Vatterott Educational Centers Inc. was a provision that, should she sue and lose, Kerr would be responsible for Vatterott’s legal costs.
The Higher Learning Commission (HLC) has reaffirmed accreditation for the University of Phoenix for 10 years, but has placed the Phoenix-based for-profit university, which operates in Colorado, on "notice" status for the next two years.
Despite Chancellor University's ongoing woes, particularly concerning its accreditation, the school's president, Bob Daugherty, had insisted in recent years that the institution formerly known as Myers University was poised to emerge as a leader in online business education.
California asked a court on Wednesday to order Bridgepoint Education to turn over hundreds of thousands of records as the state investigates complaints of false advertising at for-profit colleges.
The Consumer Financial Protection Bureau’s Holly Petraeus goes on the attack, saying a federal rule encourages for-profit colleges to exploit veterans. Federal aid can make up no more than 90 percent of a for-profit college's revenue. But veterans' benefits don't count. In testimony before the Senate Homeland Security and Governmental Affairs Committee, Petraeus will say the rule gives "some for-profit colleges an incentive to see servicemembers as nothing more than dollar signs in uniform and to use some very unscrupulous marketing techniques.”
House Education Committee Chairman Rep. John Kline, who saw a dramatic upsurge in campaign contributions from for-profit colleges in recent months, is pushing legislation that would help the industry preserve its access to federal student loans.
Ann Arbor's University of Phoenix campus is in the process of shuttering and is not accepting new students, although the closing will likely take at least a year, according to a school official.
It's a good time to be an investor in the NASDAQ-traded company with the ticker symbol LOPE. As of Friday its share price had risen more than 48 percent this calendar year, and more than 80 percent over the past 12 months. In its first quarter earnings call held May 7, a Deutsche Bank analyst asked the company's CEO how a recent initiative might affect its marketing strategy going forward.
It sure seems ironic that the Pac-12 Conference and Arizona State President Michael Crow are targeting Grand Canyon University’s move to NCAA Division I status.