Class-action lawsuit filed by former GCU doctoral students for deceitful marketing
PHOENIX - A class-action lawsuit was filed today against the for-profit arm of Grand Canyon University, alleging marketing for doctoral degrees was a, "racketeering scheme to induce students."
Grand Canyon Education Inc., or GCE, is the for-profit marketing company of the university.
Attorneys for two doctoral students say GCE lied about degree costs, using marketing materials and recruitment practices that hid the true price.
The plaintiffs claim the allegations were so sophisticated that the company used GCU more like a "RICO enterprise."
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For example, the university estimated degrees cost $39,000 for 60 credit hours.
Students in the case say they were charged thousands in extra fees and "continuation courses."
FOX 10 reached out to GCU for comment, and their Chief Marketing Officer sent us this statement.
The Department of Education hit GCU last year with a $37-million fine for the practice.
Grand Canyon University immediately appealed the fine.
Back in March, FOX 10 reported findings from a state audit on the matter, which found no wrongdoing by GCU.
University President Brian Mueller said at the time that the school would not be paying the fine.