The U.S. Department of Education has officially rescinded a record $37.7 million fine against Grand Canyon University, which had been imposed for alleged deceptive practices involving doctoral programs. The fine, the largest ever issued by the department against a university, was rescinded with prejudice after the university successfully appealed the decision.
The fine was initially levied in October 2023 following an investigation that found 78% of doctoral students who graduated between 2017 and 2022 required additional courses and incurred additional costs of at least $10,000 to complete their programs. The Department of Education’s Office of Inspector General concluded that the university had engaged in deceptive practices by not adequately informing students about the additional requirements and financial obligations associated with their doctoral programs.
University President Brian Mueller welcomed the decision to rescind the fine, stating that the university had been ‘wrongly accused’ of misleading its doctoral students. ‘The facts clearly support our contention that we were wrongly accused of misleading our Doctoral students, and we appreciate the recognition that those accusations were without merit,’ Mueller said in a statement.
Mueller also criticized the federal government’s actions, suggesting the fine was part of a broader targeting of Christian universities. In a public statement, he accused the federal government of being ‘out of control’ and targeting one of the largest Christian universities in the country. He further noted that another top Christian university, Liberty University, was reportedly being threatened with a $37 million fine for allegedly underreporting crimes.
‘It’s interesting, isn’t it, that the two largest Christian universities in the country, this one and Liberty University, are both being fined almost the identical amount at almost the identical time?’ Mueller said. ‘Now is there a cause and effect there? I don’t know. But it’s a fact.’
The Department of Education’s move to rescind the fine ends a yearslong legal battle for the university. The appeal process, which began shortly after the fine was imposed, involved multiple stages, including internal reviews and public hearings. The university’s legal team argued that the evidence presented by the Department of Education was circumstantial and lacked sufficient substantiation to justify the penalty.
While the Department of Education maintains that the initial findings were based on a thorough investigation, the decision to rescind the fine has raised questions about the rigor of the enforcement process and whether the allegations were adequately substantiated. The university’s legal team has emphasized that the decision to rescind the fine reflects a commitment to transparency and accountability in higher education.
Additionally, the resolution of this case has significant implications for the financial standing of Grand Canyon University. The rescission of the fine provides the university with a financial reprieve, allowing it to redirect resources toward academic initiatives and student support services. This decision is also expected to have broader implications for other universities facing similar allegations, as it sets a precedent for the review and potential reversal of large fines based on insufficient evidence.
As the legal battle concludes, Grand Canyon University is looking forward to its renewed relationship with the Department of Education and other regulatory agencies. ‘GCU is a leader in innovation, transparency, and best practices in higher education and we look forward to working cooperatively with the Department in the future – just as we have with all regulatory agencies,’ Mueller continued in his statement.
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