Upstate university fined $2.5 million after whistleblower’s tip to feds. Exposing Misconduct.

Upstate university fined $2.5 million after whistleblower’s tip to feds

February 14, 2019

An Upstate university has been ordered to pay $2.5 million after a whistle blower reported it violated a federal ban on incentive-based recruitment, the Justice Department announced Wednesday.

The settlement resolves allegations that from 2014 to 2016, North Greenville University hired Joined Inc., a company partially owned by the university, to recruit students and compensated Joined based on the number of students who enrolled in NGU’s programs.

The allegations were made in a lawsuit filed under whistleblower provisions of the False Claims Act. The act allows private parties to sue on behalf of the government. Maurice Shoe, co-owner of Joined, was the whistleblower in the case. As part of Wednesday’s resolution, Shoe will receive $375,000.

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