U of Phoenix owner to pay $191 million settlement for deceptive ads

National News

(CBS News) – University of Phoenix owner Apollo Education Group must pay $191 million to settle federal charges centered on how it marketed possible job opportunities to students promising their placement offices had solid job contacts at AT&T, Twitter and other companies, the Federal Trade Commission announced Tuesday.

Under the settlement, Apollo Education will pay $50 million in cash to the agency and spend another $141 million to cancel the debt acquired by students who were deceived by the marketing, federal officials said. The FTC said Apollo Education’s $191 million sets an agency record. 

“This is the largest settlement the commission has obtained in a case against a for-profit school,” said Andrew Smith, FTC consumer protection bureau director. “Students making important decisions about their education need the facts, not fantasy job opportunities that do not exist.” 

This is a developing story. 

For more stories like this that matter to you, click here to download the CBS 17 News app for free.

Watch live newscasts, get breaking news and sign up for push alerts – download now

Copyright 2020 Nexstar Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Sponsored Content
Visit Buy Local

Trending Stories