“Today’s court ruling in California is a victory for students deceived by Ashford University and its parent company, Zovio. Ashford willfully deceived prospective students about job prospects, the true cost of attendance, the amount of debt they would take on to cover that cost, and their ability to transfer credits to other institutions. Ashford put extreme pressure on recruiters to boost enrollment and the profits that came with higher enrollment numbers. The penalty of more than $22 million imposed by the court on Ashford and Zovio reflects the extent of their predatory and deceptive practices.
“We thank Attorney General Bonta for pursuing this case on behalf of defrauded students and borrowers. Now, the U.S. Department of Education must use its borrower defense authority to discharge the federally-held student loan debts of defrauded borrowers. The Department should also take the long-overdue step of halting the millions of taxpayer dollars flowing to this company and this school. These actions will bring relief to defrauded students and guard against further harm.”
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