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Showing 6 posts in Higher Education.

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Higher Education Incentive Compensation Fraud

January 31, 2020

The U.S. government invests in colleges, students and universities by contributing to university endowments, offering scholarships, providing grants, and guaranteeing student loans. Since taxpayer dollars are used to support colleges and universities, the government imposes strict rules to prevent fraud in higher education. For example, the Higher Education Act (HEA) prohibits universities from paying incentive compensation to recruiters or employees based on the number of students they are able to recruit. More

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Duke University Pays U.S. Government $112.5 Million to Settle False Claims Act Allegations

May 20, 2019

Duke University, a private research university in Durham, North Carolina, recently paid the U.S. government $112.5 million to settle allegations that it submitted falsified data in order to win federal research grants.  The settlement was announced on Monday, March 25, 2019, by the Department of Justice.  More

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Recoveries For FCA Claims Involving Fraud in 2016

March 20, 2017

In 2016, whistleblowers filed 702 qui tam suits and the Department of Justice recovered $2.9 billion in False Claims Act lawsuits initiated by whistleblowers.  In  qui tam lawsuits, whistleblowers, or “relators,” are entitled to receive up to 30% of the recovery.  And in 2016, whistleblowers recovered $519 million. More

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Higher Education Student Loan Fraud and the False Claims Act

May 12, 2016

The U.S. government invests in colleges, students and universities by contributing to university endowments, offering scholarships, providing grants, and guaranteeing student loans. In turn, higher education organizations contribute to a well-educated workforce and help strengthen the economy. More

For-Profit Colleges a Hotbed for Fraud

March 1, 2014

for-profit colleges fraud

For-profit schools have become a hotbed for fraud in recent years. Because for-profit colleges rely heavily on government aid, these schools often target lower-income, minority and immigrant students, and some for-profit schools have been accused of engaging fraudulent enrollment practices in order to reach the potential students and the government funds that they bring in. More

Lawsuit against Education Management Corp. Alleges Illegal Recruiter Compensation

September 19, 2012

Education Management Corporation ("EDMC") operates colleges for profit. More than 130,000 students attend its schools, either online or in office building‑style classrooms. Over the past 11 years, these students have paid EDMC more than $11 billion in tuition payments, funded almost exclusively from loans and grants from the United States government. Goldberg Kohn, along with several other law firms, represent two former employees of EDMC who have accused EDMC of obtaining that money by lying to the government. Goldberg Kohn and the whistleblowers are now assisting the United States Department of Justice, and the Attorney General Offices in five states, to recover the money fraudulently obtained. More

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