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FTC sues DeVry, claims it counted a grad who was a rural mail carrier as working in 'technical management'

Jan 28, 2016, 00:32 IST

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In a press conference on Wednesday, the Federal Trade Commission (FTC) announced that it has filed a lawsuit against for-profit college DeVry University claiming it placed deceptive ads about the likelihood that graduates will find job placement in their fields of study.

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The US Department of Education was also on the call to announce it would be taking action against the school.

The FTC cited the DeVry claim that 90% of graduates land a job in their field within six months of graduation as deceptive.

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The agency also said there were numerous instances where DeVry considered students to be working in their field when they were not.

Their examples included a graduate who majored in business administration who was working as a waiter and a graduate who majored in technical management who was working as a rural mail carrier.

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The lawsuit is another blow to the for-profit college industry, which has been mired in lawsuits and fines over the past few years.

Similar allegations were levied against now-shuttered Corinthian Colleges in 2015. The Department of Education fined Heald College San Francisco, a subsidiary of Corinthians, $29,665,000 for allegedly misrepresenting the kinds of jobs its graduates could get.

Shortly after, Corinthian, one of the larges for-profit college chains, announced it would be closing its doors for good.

Business Insider reached out to DeVry for comment and will update this post when we hear back.

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