Conway files consumer lawsuit against National College over claims of job placement

09/27/2011 05:25 PM

Democratic Attorney General Jack Conway filed a consumer protection lawsuit against National College on Tuesday, taking his investigation into for-profit colleges to the next level.

The lawsuit, filed in Fayette County Circuit Court, alleges that National College inflated job placement figures of graduates, often fudging the numbers 10 percentage points or higher than the actual figures.

Conway said he’s filling the lawsuit because National College officials have obstructed his investigation into the institution’s practices.

Conway said that National College used “sales tactics” to make promises in recruiting pitches to potential students that they didn’t fulfill after graduation.

For example, Conway’s office said National College listed a 94 percent placement rate for graduates of their Lexington campus in December 2010. In reality, the placement rate was 80 percent, according to Conway’s office.

During the same time period, National College listed a 96 percent placement rate for Louisville graduates, but placed only 60 percent. In Pikeville, the college advertised 84 percent, but placed 70 percent, according to the attorney general’s review.

In June, officials from National College testified at a legislative hearing, as did Conway and state Auditor Crit Luallen. National College administrators denied any wrong doing. Watch the full report:

Conway said his office will seek the full consumer protection penalties against National College if successful in the lawsuit. That could lead to a $2,000 payment for each student allegedly defrauded by the for-profit college.

Conway has already filed a lawsuit against Daymar College in Daviess County.

-Reporting and video production by Don Weber


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