Trace Urdan, managing director for Credit Suisse, said this probably won’t end at ITT Tech. In fact, she started at ITT campus in Washington and transferred to one in Georgia.
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Staff from the U.S. Department of Education said they are in discussion with ITT about transcripts.
ITT Technical Institutes operates 130 campuses in 38 states, including two campuses in San Antonio.
Just last month, the U.S. Department of Education stopped ITT Tech from enrolling new students who receive federal aid.
Important Information Regarding ITT Educational Services, Inc.
The college has faced scrutiny before.
Hundreds of students will no longer have a college to go to this fall.
Students who are not eligible may be instead eligible for debt relief if their school committed fraud or violated state law.
The campus closings affect about 2,250 enrolled students, according to a Delgado news release.
Just past year, for-profit Heald College in Honolulu shuttered its doors after its parent company Corinthian College was fined $30 million by the government for misleading students.
ITT was in the already in the process of closing its Clive campus before Tuesday’s announcement, Whitney said. The school now faces fraud charges from the Securities and Exchange Commission accusing executives of lying to investors about losses from its student loan program.
That action the statement refers to was a significant cut in federal funding for the school.
The Department of Education held webinars Wednesday for affected students. Officials said they plan to have student fairs at the various locations to allow students to ask questions in-person. “We reached this decision only after having exhausted the exploration of alternatives, including transfer of the schools to a non-profit or public institution”.
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FMU said it has dedicated phone lines and staff to advise affected students on the upcoming “Session B”, which begins October 12th.
