Record Fine of $37.7 Million Imposed on Grand Canyon University for Deceptive Doctoral Program Practices
Biden Administration’s Strong Stance: Largest-Ever Fine Targets Deceptive Practices in Higher Education
According to source, The Department of Education has imposed a record $37.7 million fine on Grand Canyon University (GCU) for University scam deceptive practices related to its doctoral programs. Federal Student Aid (FSA) found that GCU misled students about the cost of these programs, resulting in unexpectedly high levels of student debt.
The fine, the largest in the Department’s history, is part of the Biden administration’s efforts to hold institutions accountable for University scam to protect borrowers and taxpayers. GCU has 20 days to appeal the decision in response to the University scam allegations, and the FSA has also imposed several conditions on the university, including discontinuing misrepresentations associated with scam, compliance monitoring, and quarterly reporting.
GCU has categorically denied the accusations related to University scam and stated that it will take all necessary measures to defend itself against what it perceives as unjust targeting as a Christian institution amidst the scam allegations. The enforcement action is specific to GCU and its alleged University scam practices, and students who attended the university and feel misled can apply for a loan discharge under the borrower loan defense discharge program related to University scam.
Deceptive Program Costs Uncovered: 78% of Graduates Affected by University Scam Practices
The FSA’s investigation, which began in 2017, revealed widespread misrepresentations regarding program costs, with 78% of GCU graduates paying more than the initially disclosed amounts due to additional dissertation-related course costs that were part of the University scam.
For-profit graduate programs, especially those involved in University scam practices, have been a significant concern in higher education, leading to the Biden administration’s approval of $22 billion in relief for affected borrowers who were victims of University practices.
Students who believe that GCU made misrepresentations associated with University practices may be eligible for the borrower’s defense discharge and can apply online or contact the Department of Education’s hotline to challenge the University scam allegations for further assistance.