NY settles job placement probe of company

New York settles probe of job placement rates at Career Education Corp.

Associated Press

ALBANY, N.Y. (AP) -- New York Attorney General Eric Schneiderman's office has settled an investigation into inflated job placement claims by Career Education Corp., a for-profit company that operates seven career schools in the state.

The corporation agreed to pay $10.25 million, with most to compensate New York graduates, and change its calculations.

The schools are the Sanford-Brown Institute campuses in Garden City, Melville, White Plains and New York City and Briarcliffe campuses in Bethpage, Patchogue, and New York City.

The corporation, which enrolls about 75,000 students worldwide, also operates online schools including American InterContinental University and Colorado Technical University.

It had about 20,000 students in New York during the 2009-2011 period investigated.

The company says the settlement signed Monday allows it to move forward "with a heightened focus on student outcomes."

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