Career Education Corp. Settles Inquiry for $10 Million

Career Education Corp. has agreed to a $10.25 million settlement with New York's attorney general, Eric T. Schneiderman. The for-profit chain, which owns Colorado Technical University and Sanford Brown, had been the subject of an inquiry by Schneiderman over allegedly inflating its graduates' job placement rates. The settlement includes $9.25 in restitution to former students and a $1 million penalty to the state, according to a news release from the attorney general's office. The company has also agreed to "substantial changes" in how it calculates job placement rates.