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Posts Tagged ‘Education Management Higher Education Act violations’

Judge Refuses to Dismiss $11 Billion Fraud Suit Against Education Management Corp.

U.S. District Judge Terrence F. McVerry, in Western Pennsylvania, refused to dismiss a qui tam suit alleging that Pittsburgh-based Education Management Corp. (NASDAQ: EDMC), defrauded the federal government of $11 billion in federal student aid by violating the terms of the Higher Education Act.  The federal law bars the distribution of incentives to college recruiters based on the number of students they draw.  

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