Is there a Federal Investigation about the University of Phoenix? |
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A 2003 federal whistle-blower/false claims lawsuit, filed by two former UOPX admission counselors, alleged the university improperly obtained hundreds of millions of dollars in financial aid by paying its admission counselors solely based on the number of students they enrolled in violation of the Higher Education Act.[22][21][53][54][55] The school counters that the lawsuit is a legal manipulation by two former university employees over a matter previously resolved with the U.S. Department of Education,[56] however the Department does not share that view.[57] UOPX's position was rejected by the Ninth Circuit Court of Appeals in its 2006 published opinion, which reversed the Eastern California U.S. District Court's 2004 decision dismissing the lawsuit.[58][59] The lawsuit is now set for trial on March 9, 2010.[60] An October 4, 2009 Arizona Republic article reported that UOPX's parent company is engaged in talks to settle the lawsuit though no potential terms have been discussed. (Wikipedia)
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