Higher Education Services Corporation - Tuition Assistance Program

Metropolitan Career Institute

We originally disallowed all $4.3 million in Tuition Assistance Payment awards that were claimed by Metropolitan Career Institute for the 1988-89 academic year, because all the graduates in our sample of awards were incorrectly certified as eligible for the awards. We believe graduates are representative of all students enrolled at a school and therefore are the best indicator of the courses actually offered by the school. Our initial disallowance was contested by the Institute in the New York Supreme Court. The Supreme Court agreed with our disallowance. However, the Institute appealed the decision to the Appellate Division of the State Supreme Court, and the Appellate Division denied two components of our original disallowance. In accordance with the decision of the court, our disallowance has been revised to $1,839,808. 95-T-11