The U.S. Department of Veterans Affairs suspended DeVry University’s participation in a voluntary Obama administration program aimed at highlighting colleges that are friendly to veterans.
The VA suspended DeVry as an institution meeting the “principles of excellence” outlined in a 2012 executive order. The agency cited the Federal Trade Commission’s lawsuit in January that accused DeVry of misleading students about their employment prospects.
The action does not affect DeVry’s ability to continue to accept students with veterans’ educational benefits like the Post-9/11 GI Bill. But the VA noted that it is “conducting compliance reviews at all DeVry campuses to measure compliance with federal regulations.” And the agency also posted a warning flag on DeVry campuses listed in its online college comparison tool.
A DeVry spokesman told The Washington Post that the company was “extremely disappointed” by the VA’s actions. The company is fighting the FTC’s lawsuit as well as the related sanction imposed by the Education Department.