FTC Sues Grand Canyon Education for Misleading Non-Profit Claims
December 27 2023 - 4:38PM
Dow Jones News
By Ben Glickman
The Federal Trade Commission is suing Grand Canyon Education
over claims it misrepresented itself as a non-profit.
The FTC alleged in a complaint filed Wednesday that the company,
operating as a for-profit institution, misrepresented itself in
advertising and marketing. The compliant also alleges the company
misled consumers with the marketing of its doctoral programs and
violated telemarketing rules.
The FTC suit also lists Grand Canyon University, the school
operated by GCE, and Brian Mueller, GCE's chief executive, as
defendants.
The FTC is seeking a permanent injunction against the
defendants, as well as monetary relief for consumers.
The suit follows a U.S. Department of Education order against
Grand Canyon University in November, alleging the school made
misleading claims about its doctoral programs. The Education
Department fined the school $37.7 million.
Grand Canyon University said at the time that it denies all
accusations made by the Education Department.
Representatives from Grand Canyon Education and Grand Canyon
University couldn't immediately be reached for comment.
The FTC's complaint filed Wednesday alleges the defendants also
made phone calls to people who requested not to be contacted and
called people listed on the National Do Not Call Registry.
Write to Ben Glickman at ben.glickman@wsj.com
(END) Dow Jones Newswires
December 27, 2023 16:23 ET (21:23 GMT)
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