CHANDLER, Ariz., July 1, 2021 /PRNewswire/ -- Zovio, Inc.
(Nasdaq: ZVO) an education technology services company
that partners with higher education institutions, announced
today it has agreed to resolve an inquiry by the Massachusetts Attorney General's Office
through an Assurance of Discontinuance ("AOD"). Zovio
cooperated fully with the Attorney General's inquiry, which focused
on alleged violations of the Massachusetts consumer protection laws.
Following a seven-year investigation, of its former Ashford
University, the AOD alleges that 1) Ashford unfairly imposed a
one-time student technology fee that wasn't refunded to students
who withdrew after six weeks of enrollment and 2) failed to
disclose certain information, which if provided to students, may
have influenced the prospective students not to choose to
enroll.
In 2014, Ashford University made the
decision, to cease online operations in Massachusetts and not recruit or enroll new
students in the State. Zovio and Ashford
University deny the allegations made in the AOD and stand
behind its commitment, adherence and compliance with all consumer
protection laws. Most importantly, the AOD does not constitute an
admission or finding of wrongdoing by Zovio nor any non-compliance
with any state or federal law, rule or regulation.
The AOD requires Zovio to pay $295,120 to the Attorney General and cease to
collect previously written off balances owe to Ashford University by students who enrolled in
Ashford and were Massachusetts
residents between 2011 – 2014.
Vickie Schray, Zovio's Chief
External Affairs Officer, said: "Zovio is pleased to put this
matter behind us. While there was no wrongdoing, we made the
decision to resolve the investigation to end the protracted legal
matter and stop the dated accusations that harm our proud alumni
and partners allowing us to focus on helping today's students
succeed."
About Zovio
Zovio (Nasdaq: ZVO) is an education
technology services company that partners with higher education
institutions and employers to deliver innovative, personalized
solutions to help learners and leaders achieve their aspirations.
The Zovio network, including Fullstack Academy and TutorMe,
leverages its core strengths to solve priority market needs through
education technology services. Using proprietary advanced data
analytics, Zovio identifies the most meaningful ways to enhance the
learner experience and deliver strong outcomes for higher education
institutions, employers, and learners. Zovio's purpose is to help
everyone be in a class of their own. For more information,
visit www.zovio.com.
Contact:
Alanna Vitucci
alanna.vitucci@zovio.com
858.668.2586 x11636
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SOURCE Zovio
