Massachusetts Attorney General Maura Healey announced July 30 that her office had reached a settlement with Kaplan Career Institute and Lincoln Tech for allegedly inflating job placement to students. Massachusetts Attorney General
BOSTON (Legal Newsline) - Two for-profit colleges will pay the state of Massachusetts $2.3 million for allegedly inflating job placement numbers to students, said Massachusetts Attorney General Maura Healey on July 30.
Kaplan Career Institute and Lincoln Technical Institute also allegedly conducted unfair recruiting tactics to attempt to get students to enroll in programs, Healey said.
“We allege these for-profit schools lured hopeful students into enrolling in their vocational programs by promising certain careers, but only left them with substantial debt,” Healey said.
“Many of these students paid their tuition using federal loans, so not only have these schools taken advantage of students, they’ve taken money from taxpayers. Students trying to better their lives through education are instead being left financially ruined. These settlements will provide the relief these students deserve and prevent deceptive practices that put taxpayer dollars at risk.”
According to an investigation by Healey's office, the schools boasted a job placement above 70 percent for its vocational programs, but the actual placement rating was “materially lower.”
Healey's office is currently in an ongoing review of for-profit educational institutions in the state, and she is also urging the federal government to forgive student loans that were given to students at “predatory for-profit schools.”
The state is currently in a legal battle with Corinthian Colleges and American Career Institute for allegedly deceptive and unfair practices.