Handling of stalled student debt relief claims threatens proposed settlement
The collapse of for-profit chains Corinthian Colleges and Carmel-based ITT Technical Institutes ushered in a flood of claims that are still being resolved.
ITT Technical Institute
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Former ITT Tech students in Indiana to get $10M in debt relief
More than 1,300 students who were enrolled at now-closed ITT Technical Institute campuses in Indiana are eligible for student loan forgiveness as part of a $330 million national settlement affecting as many as 35,000 former ITT students.
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Indy credit union pays a price to put ITT nightmare to rest
Elements Financial, formerly the Eli Lilly Federal Credit Union, is among seven credit unions that collectively agreed to pay $7.5 million to settle a lawsuit brought by ITT Educational Services' bankruptcy trustee.
Former ITT Tech building to be reborn as church, co-working space
A Carmel-based church plans to close on its $1.8 million purchase of the building near Interstate 465 and Michigan Road on November 5.
SEC’s $300,000 ITT settlement leaves trail of questions
The modest settlements might suggest the SEC concluded its case wasn't that strong or that it would be difficult to explain to a jury.
Former ITT Educational execs to pay $300,000 to settle SEC lawsuit
The deals with former ITT CEO Kevin Modany and Chief Financial Officer Kevin Fitzpatrick were reached days before trial and include more than financial settlements.
Indiana’s director protections complicate ITT lawsuit
A lawsuit filed by ITT Educational Services’ bankruptcy trustee seeks $250 million from the firm’s former CEO and board members, whom she alleges were disengaged as the business melted down.
Bankruptcy trustee files $250M suit against ITT Tech’s former CEO, directors
The lawsuit alleges that ITT Educational’s bankruptcy and the closure of its 130-school chain could have been avoided or minimized if the board of directors had fulfilled its duties instead of focusing on keeping former CEO Kevin Modany happy.
Hard-fought civil fraud case against ITT brass nears trial
Former CEO Kevin Modany and former Chief Financial Officer Daniel Fitzpatrick tried to settle the case last year, but SEC commissioners rejected the deal. Another settlement conference is scheduled for May.
ITT failure a calamity, but former execs say not fraud
The SEC broadly charges that two former ITT Educational Services executives concealed from investors the “extraordinary failure” of two off-balance-sheet student loan programs ITT helped set up in 2009 after the financial crisis shut down the market for traditional private education loans.
Study: Most student loan fraud claims involve for-profits
More than 7,300 claims of fraud came from students who attended the now-defunct Carmel-based ITT Technical Institute chain.
ITT brass settled with SEC, but commissioners nixed deal
The SEC in a blistering 56-page suit had charged that the pair concealed the company’s rapidly eroding financial condition and “routinely misled” the firm’s outside accounting firm, PwC. It’s not clear what the terms of the settlements were.
ITT trustee blasts firm’s former directors, seeks $50M
The trustee charges that Sam Odle and fellow outside directors should have ousted CEO Kevin Modany—a move that likely would have been well-received by the U.S. Department of Education and ITT’s accrediting agency.
ITT Tech nightmare escalates for Indianapolis credit union
The Eli Lilly Federal Credit lost a bundle on loans to ITT Technical Institute students a few years ago. Now the credit union, which adopted the Elements Financial moniker two years ago, may get hit with a lawsuit from the bankruptcy trustee for the now-defunct for-profit school operator.
Bankruptcy trustee appears poised to sue former ITT brass
Deborah Caruso has launched a no-holds-barred inquiry into the defunct company's business practices and is seeking documents and depositions from the accounting firms that audited its books.
2016 TOP STORIES: Under siege, ITT folds, fires 8,000
A longtime provider in the for-profit college education world shuttered this fall after years of pressure from federal regulators over its recruiting methods and students’ educational performance.
IPS board member, seeking re-election, faces criticism for ITT role
Samuel Odle, a former hospital executive who was elected to the IPS board in 2012, served on ITT’s board of directors since 2006. The for-profit higher education company closed in September in the wake of federal sanctions.
ITT is gone, but challenges facing for-profit schools live on
The question that dragged down ITT Educational Services—whether its expensive diplomas were leaving students awash in debt while failing to properly prepare them for gainful employment—will continue to hang over other players in the for-profit education industry.
ITT Tech won’t say whether it will file for bankruptcy protection
The company will begin the process of liquidating, which will include selling off its Carmel headquarters and other real estate.
ITT Tech to cease operations, cut nearly 8,000 employees
Carmel-based ITT Educational Services Inc. announced Tuesday morning that it will permanently “discontinue academic operations” at all ITT Technical Institutes campuses. The company blamed the closure on “inappropriate and unconstitutional” federal sanctions.
What did ITT in? Short-sighted thinking, critic says
Under CEO Kevin Modany's stewardship over the past decade, ITT Educational Services Inc. has seen its stock market value drop from $2.9 billion to $8 million.