How dodgy providers prompted govt reform

A rundown of the vocational education providers that prompted a federal government overhaul of the system.

Phoenix Institute

* Facing Federal Court proceedings from the ACCC accused of making false or misleading representations and engaging in unconscionable conduct

* A subsidiary of Australian Careers Network, which went into voluntary administration in March

* Was allegedly paid more than $100 million by the Commonwealth for enrolments between January and October 2015

Australian Institute of Professional Education

* Will face action in Federal Court for allegedly marketing courses to "some of the most vulnerable and disadvantaged groups in the Australian community"

* ACCC alleges AIPE enrolled 15,426 students between 2013 and 2015 for courses costing between $12,160 and $19,600

* Was allegedly paid $210.9 million by the Commonwealth for the enrolments

Empower Institute (Cornerstone Investment)

* Facing Federal Court proceedings accused of engaging in misleading or deceptive and unconscionable conduct when marketing courses to remote communities

*Enrolled more than 10,000 new students in diploma courses and was paid more than $90 million by the government between 2014 and 2015

Unique International College

* Will face Federal Court action for allegedly making false or misleading representations and engaging in misleading or deceptive and unconscionable conduct

* Unique enrolled more than 3,600 students in diploma courses and was paid about $57 million by the government in the 2014/15 financial year

* 2.4 per cent of those who signed up to the provider's courses went on the complete them, the ACCC claims


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Source: AAP


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