University of Phoenix Fined for ‘Aggressive’ Military Recruitment Tactics

Inside Higher Ed

Liam Knox
April 26, 2024
The University of Phoenix has agreed to pay $4.5 million in a settlement over unlawful recruitment tactics for military students, the California Attorney General’s office announced Thursday.
The settlement concludes a nearly decade-long investigation into the online, for-profit university’s “aggressive” recruitment of veterans who qualified for the Post-9/11 GI Bill between 2012 and 2015. During that period, the university paid over $250,000 to the U.S. military to sponsor 89 recruiting events, including concerts, a fashion show and a chocolate festival, according to the Center for Investigative Reporting.
Those recruitment practices netted the university $1.6 billion dollars in federal education benefits from the Department of Veterans Affairs between 2013 and 2021. That made the University of Phoenix the top recipient of GI Bill funding of any institution in the country in the last decade, despite flouting an executive order from President Obama forbidding such tactics at for-profit institutions. The attorney general’s investigation found that the University of Phoenix also violated California’s False Advertising Law and Unfair Competition Law.

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