U.S. Education Department takes measures on violations of student aid and school Closure Institutions must more than $ 6 million to taxpayers on August 10, 2021 Contact: Press office, (202) 401-1576, Press @ ed.gov
  • Today, the Department Office Education of the United States of Federal Student Aid Aid (FSA) issued the final program review the determinations of two schools: RWM FIBER OPTICS, Inc. and Harrison College. In each case, FSA identified more than $ 2.5 million in liabilities, resulting from Multiple violations by RWM and from the Closure of Harrison, respectively.

    "All institutions are expected to serve the best interests of their students, are not served," said FSA Operating Director Richard Cordray. "The schools that participate in bad behavior or suddenly close their doors, leaving students in the cold, will be held, and we hope that other schools pay attention to the actions we are taking today."

    RWM Fiber Optics, Inc. (RWM)

    In September 2018, FSA conducted a review of routine programs in RWM to evaluate school compliance with statutes and regulations Federals governing student aid programs. During the review, the FSA examined the RWM processes and identified 16 specific violations, including numerous cases in which school officials famed information or credit balances incorrectly retained that they were actually due to students. FSA determined that these violations were "wrong" efforts to illegally obtain federal student aid funds.

    In particular, FSA found that the school falsified FAFSA information to appear that students were eligible to receive financial assistance to those who had no right. RWM listed the dependents nonexistent to inflate the student award prizes, and the high school diplomas of high school that some students did not win. RWM also incorrectly created the user names and passwords of the students' help account without the knowledge or consent of the students, and the school presented information from the FAFSA without allowing students to review or certify their accuracy.

    Among other violations, FSA determined that RWM paid incorrectly. Students with federal work-study program funds to clean the bathrooms, pick up garbage and clean the building, although these tasks did not help students develop in their professions as required by the program. In addition, RWM could not pay the credit balance reimbursements of students in a timely or overall sums as required by law. Some students did not receive their credit balance funds until they graduated.

    FSA found that RWM owes to the department more than $ 2.4 million in liabilities, which cover all Funds of the Title IV Program disbursed for the years 2015-16, 2016-17 and 2017-18. The participation of RWM in federal student aid programs ended in December 2018, and the school was closed.

    Harrison College (Harrison)

    In September 2018, Harrison announced its immediate Closure of 11 campus in Indiana and Ohio that affects approximately 2,100 students. The institution cited the decrease in registration and financial concerns as factors for its sudden Closure. Harrison's financial composite score was rapidly deteriorated between his fiscal years ending June 30, 2017 and June 30, 2018.

    Student loan borrowers enrolled in Harrison when closed (or that is Withdrew within 120 days before it is closed) and unable to complete your study program due to closing, you can request a download from your federal student loans. Parents who borrowed a loan for a student enrolled in Harrison can also request a download.

    Harrison closed, the FSA performed an extension to help students understand their options. Today, FSA finds Harrison is responsible for more than $ 3.6 million that taxpayers paid to download the Loans from the Federal Direct Loans from William D. Ford on behalf of the borrowers they requested and received a closed school loan.

    Categories:
    Multipl  Closure 

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