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The Ticker: DeVry Faces Investigations From Attorneys General in 2 States

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DeVry Faces Investigations From Attorneys General in 2 States

By  Nick DeSantis
April 15, 2013

The higher-education company DeVry Inc. is facing inquiries from the offices of the attorneys general of Illinois and Massachusetts, according to a corporate filing with the U.S. Securities and Exchange Commission.

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The higher-education company DeVry Inc. is facing inquiries from the offices of the attorneys general of Illinois and Massachusetts, according to a corporate filing with the U.S. Securities and Exchange Commission.

DeVry says in the filing that the Illinois investigation involves a subpoena concerning state-level ramifications in the event that violations of federal law took place. That subpoena was issued as part of an inquiry examining whether the company and its affiliates are in compliance with the federal Higher Education Act’s ban on paying incentive compensation. DeVry says it has been required to provide documents since 2002.

The Massachusetts inquiry, according to the filing, seeks information about whether the company caused false information to be submitted about student loans, grants, and guarantees provided to its students in that state. The investigation requires the company to answer questions and provide documents since 2007.

The company said that it was approaching both inquiries “with a view toward transparency and an interest in demonstrating the compliant nature of its practices in cooperation with the authorities.”

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Nick DeSantis
Nick DeSantis, who joined The Chronicle of Higher Education in 2012, wrote for the publication’s breaking-news blog, helped coordinate daily news coverage, and led newsroom audience-growth initiatives as assistant managing editor, audience. He has also reported on education technology, with a focus on start-up companies and online learning.
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