- American Commercial College, a for-profit college based in Lubbock, Texas, settled a federal whistle-blower lawsuit alleging it had falsified financial reports in order to receive more federal student aid money.
- As part of the settlement, ACC will pay the government at least $1 million over the next five years, but could end up paying another $1.5 million under a contingency clause.
- The schools Lubbock campus is expected to reopen following its reapplication for a license, and two of the college's other campuses are already open again.
From the article:
... The suit alleged American Commercial College orchestrated short-term private loans, ultimately paid off with federal student aid dollars, so the school could appear to comply with federal requirements. ...