Kohn, Kohn & Colapinto represented Ronald D. Irwin in his suit against Grand Canyon University for giving fraudulent incentives to college recruiters to enroll new students.
The case, Ronald D. Irwin v. Significant Education, Inc., et al., resulted in a $5,200,000 recovery for the United States, and Mr. Irwin was awarded 27% of the settlement amount for his role in recovering these funds.
The reach of the False Claims Act covers all federal educational grants including the federal student loan program. Kohn, Kohn & Colapinto has been at the forefront of researching and winning cases in which for-profit colleges and universities have violated the rules of the student loan programs to improperly recruit students to generate income through these loans, held several for-profit schools accountable, returned money to the government, and won large rewards for whistleblowers.
The False Claims Act is 31 USC § 3729-3733. The qui tam provisions of the False Claims Act allow persons and entities with evidence of fraud against federal programs or contracts to sue the wrongdoer on behalf of the United States government. In qui tam actions, the government has the right to intervene and join the action. If the government declines, the private plaintiff may proceed on his or her own.
Violators of the False Claims Act are liable for three times the dollar amount that the government is defrauded and civil penalties of $5,000 to $10,000 for each false claim. A qui tam plaintiff can receive between 15 and 30 percent of the total recovery from the defendant, whether through a favorable judgment or settlement. To be eligible to recover money under the Act, you must file a qui tam lawsuit. Merely informing the government about the violation is not enough. You only receive an award if, and after, the government recovers money from the defendant as a result of your suit.
If you have knowledge of Education Fraud and would like to know how Kohn, Kohn & Colapinto can help you with your case, please contact us by completing our Consultation Request Form.
For more information, see our resource page on the False Claims Act or visit the Kohn, Kohn & Colapinto Blog.