SPRINGFIELD –(ENEWSPF)–August 25, 2016. U.S. Senator Dick Durbin (D-IL) released the following statement after the U.S. Department of Education announced it would place additional restrictions on ITT Educational Services, Inc. (ITT Tech) to protect students and taxpayers. As part of today’s announcement, ITT Tech will be banned from enrolling new students using federal financial aid, must notify current students that the institution is not in compliance with accreditor standards, and will be required to pay an additional $150 million to the Department to cover potential losses to taxpayers.
“For too long, ITT Tech and its executives have gotten rich off taxpayers while misleading and taking advantage of their students with Corinthian-style deceptive and abusive practices,” said Durbin. “Today, the Department of Education announced strong action to help prevent additional students from being harmed and more taxpayer dollars from being wasted on this company faltering under the weight of its own wrongdoing. I strongly commend Secretary King and the Department. Students should be warned: ITT Tech is not a smart choice for your educational future.”
ITT Tech operates 4 campuses in Illinois – three in the Chicagoland and one in Springfield. The company is under investigation by at least 18 state Attorneys General for a variety of misleading and deceptive practices and is being sued by the New Mexico Attorney General, Massachusetts Attorney General, Consumer Financial Protection Bureau, and Securities and Exchange Commission.