In the year twenty fourteen, a deal was struck between Iowa State and two institutions, Ashford University and its parent company Bridgepoint Education Incorporated. It is called the Ashford settlement. The Iowa attorney general facilitated it. This was in response to charges of gross misconduct and violation of consumer fraud act in place to protect consumers. This was specifically related to how the institution did its recruitment, selection and eventual enrollment process. They however denied all allegations leveled against them.
With the accusations leveled against them, the two institutions became very defensive. They were accused of, among other things, intentionally withholding important information needed by students to make informed decisions and using underhanded tactics in their sales. Furthermore, they were accused of setting high fees for registration, which became non-refundable as well as misleading candidates during enrollment to online courses.
Even though the institution denied all the allegations and refused to take responsibility, they agreed to come to a settlement in a bid to conclude the inquiry and pending case against them. They were ordered to pay about seven and a quarter million dollars to victims. His was specifically in response to allegations that recruiters of the university often lied to progress their agenda of increasing recruitment numbers. It was reached after about three years of close investigations.
The terms of the agreement were as follows. They are not to make misleading, false and deceptive statements, omit material intentionally that could have repercussions on the eventual decision of students or use unscrupulous methods of coercion in a bid to persuade students to enroll. These terms were to be followed to the letter.
In addition to the above prohibitions, the two agreed on a number of issues. They agreed to make any relevant information required by a student in making informed decisions available. They also agreed to provide the necessary training for all personnel, take the right steps to ensure retention and adequately compensate any third party that provides useful leads resulting in recruitment.
Thomas J. Perrelli was appointed the settlement administrator. He was tasked with the review of how the university complied with the terms agreed to. His power allows him to listen to all recorded phone calls he deems vital to his review, take and review complaints, look at records that he has identified as significant to his investigation. He can also talk to employees or students both current and former. He is tasked with looking for the effects of the settlement in terms of successes and failures. He reports to the Iowa attorney general.
The agreement is inclusive of provisions that relate to the possible reimbursement of some students, former and current. However, this reimbursement must go through the office of the attorney general. The settlement administrator does not have any authority whatsoever relating to this reimbursement or other payments to be made under the agreement. This is not his work and thus he should not be involved.
There is an increase in the demand for education in the country. Many institutions are using underhanded methods to enroll students in their facilities. This is because there is a lot of competition in the industry. The agreement is a win for every stakeholder in education because it goes to show that the law respects education.
With the accusations leveled against them, the two institutions became very defensive. They were accused of, among other things, intentionally withholding important information needed by students to make informed decisions and using underhanded tactics in their sales. Furthermore, they were accused of setting high fees for registration, which became non-refundable as well as misleading candidates during enrollment to online courses.
Even though the institution denied all the allegations and refused to take responsibility, they agreed to come to a settlement in a bid to conclude the inquiry and pending case against them. They were ordered to pay about seven and a quarter million dollars to victims. His was specifically in response to allegations that recruiters of the university often lied to progress their agenda of increasing recruitment numbers. It was reached after about three years of close investigations.
The terms of the agreement were as follows. They are not to make misleading, false and deceptive statements, omit material intentionally that could have repercussions on the eventual decision of students or use unscrupulous methods of coercion in a bid to persuade students to enroll. These terms were to be followed to the letter.
In addition to the above prohibitions, the two agreed on a number of issues. They agreed to make any relevant information required by a student in making informed decisions available. They also agreed to provide the necessary training for all personnel, take the right steps to ensure retention and adequately compensate any third party that provides useful leads resulting in recruitment.
Thomas J. Perrelli was appointed the settlement administrator. He was tasked with the review of how the university complied with the terms agreed to. His power allows him to listen to all recorded phone calls he deems vital to his review, take and review complaints, look at records that he has identified as significant to his investigation. He can also talk to employees or students both current and former. He is tasked with looking for the effects of the settlement in terms of successes and failures. He reports to the Iowa attorney general.
The agreement is inclusive of provisions that relate to the possible reimbursement of some students, former and current. However, this reimbursement must go through the office of the attorney general. The settlement administrator does not have any authority whatsoever relating to this reimbursement or other payments to be made under the agreement. This is not his work and thus he should not be involved.
There is an increase in the demand for education in the country. Many institutions are using underhanded methods to enroll students in their facilities. This is because there is a lot of competition in the industry. The agreement is a win for every stakeholder in education because it goes to show that the law respects education.
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