Another private provider of skills training is in trouble for failing to meet industry standards.
The national vocational education and training regulator has told Melbourne-based Phoenix Institute its registration will be cancelled, following complaints from students.
The ruling from the Australian Skills Quality Authority comes after several months of comprehensive scrutiny of Phoenix, a provider of courses on health and wellbeing.
"The scrutiny uncovered significant non-compliance with the VET quality framework, which all registered training providers are required to satisfy," an ASQA spokesman said, without providing further details.
The regulator has asked the company to respond to its notice within 20 days.
Phoenix was bought for $2.25 million in January by Australian Careers Network, which listed on the share market in December 2014.
ACN shares have more than doubled in value in that time, but are now in trading halt until the company releases a response to the regulator's decision, which is expected by October 15.
Investor sentiment in the private education and training sector had already been dented by the Victorian government's decision in 2014 to strip its funding for education group Vocation, following findings of substandard practices in two of its businesses.
Vocation has since lost more than 90 per cent of its market value, undergone a change of management and implemented a massive restructure.
