Tampa, FL – New Horizons Computer Learning Centers franchises in Tampa and Orlando, Florida, along with their owner, have reached a settlement agreement for $1,350,000 to resolve allegations of overcharging the Department of Veterans Affairs (VA). The allegations involve the schools’ failure to report tuition waivers and scholarships provided to students supported by VA benefits and falsely certifying compliance with regulations prohibiting incentive-based compensation tied to student enrollment.
The Post-9/11 Veterans Education Assistance Act of 2008, commonly known as the GI Bill, is designed to provide financial support to service members, veterans, and their eligible dependents seeking education or training programs. The benefits available under the GI Bill are scaled based on the length of military service. A critical aspect of the GI Bill is the requirement for educational institutions to report any tuition waivers offered to students receiving less than 100-percent assistance. These waivers must be disclosed to the VA to ensure the student’s portion of tuition is adjusted accordingly. Furthermore, Title 38 of the U.S. Code explicitly prohibits schools participating in the GI Bill program from offering commission, bonuses, or any form of incentive payment that is directly or indirectly linked to securing student enrollments. This provision aims to protect the integrity of the program and prevent aggressive or unethical recruitment practices.
According to the allegations presented by the United States government, between 2017 and 2021, LTJ Group V, LLC, and Innovak of Florida, Inc., operating as New Horizons Computer Learning Centers in Tampa and Orlando, allegedly did not report tuition waivers for students receiving partial assistance under the GI Bill. In addition, they are accused of falsely certifying compliance with Title 38 while reportedly providing commissions, bonuses, and other incentive payments to enrollment representatives. These actions, if proven, would constitute a violation of the regulations designed to protect veterans and the financial stability of the GI Bill program.
This settlement resolves the case United States v. Robert J. Remington, et al., Case No. 8:24-cv-511-TPB-UAM. It is important to note that the claims addressed by this settlement are allegations, and no formal determination of liability has been made. The agreement allows both parties to move forward without protracted litigation, while ensuring a financial resolution for the alleged overcharges.
“The Post-9/11 GI Bill stands as a testament to our nation’s recognition of the bravery and sacrifice of veterans, offering them a pathway to acquire the education and training necessary for successful post-military careers,” stated United States Attorney Roger Handberg. “My office remains dedicated to collaborating with the VA to uphold GI Bill requirements and to diligently safeguard the program’s financial resources.”
“Today’s settlement underscores the VA Office of Inspector General’s unwavering commitment to aggressively pursue individuals and educational institutions that seek to exploit veterans’ education benefits,” commented Special Agent in Charge David Spilker of the Department of Veterans Affairs Office of Inspector General’s Southeast Field Office.
“The VA OIG will continue its collaborative efforts with our law enforcement partners to protect the integrity of the VA’s education benefits program, ensuring these vital resources are available for those who have served our nation.”
This resolution is the result of a collaborative effort between the United States Attorney’s Office for the Middle District of Florida and the Department of Veterans Affairs – Office of Inspector General. Senior Litigation Counsel Lindsay S. Griffin and Assistant United States Attorney Mamie V. Wise were instrumental in the investigation and prosecution of this case, highlighting the dedication of these offices to protecting veterans’ benefits and ensuring fair practices within educational programs utilizing GI Bill funds.