ITT Technical Institute

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2016

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Here's some fresh inside news about ITT as of August 25, 2016.

On August 25, 2016, ITT Educational Services, Inc. received a letter from the U.S. Department of Education citing the August 17, 2016 letter... from the Accrediting Council for Independent Colleges and Schools (“ACICS”) ... ACICS has indicated [ITT] has not yet demonstrated full compliance with, and related concerns of ACICS. The [U.S. Department of Education] Letter states that [ITT] has failed to meet the requirements established by ACICS, as required by [ITT]’s Program Participation Agreement with the [U.S. Department of Education and] is imposing the following conditions on [ITT's] continued participation in funding under the federal student financial aid programs under Title IV (the “Title IV Program”):
  • the surety provided by [ITT ]to [U.S. Department of Education] must be increased from the current $94.4 million to $247.3 million...

  • the additional amount of $152.9 million (the “Additional Surety”) must be provided to the [U.S. Department of Education] within 30 days from the date of the [U.S. Department of Education] Letter;

  • the ITT Technical Institutes are restricted from enrolling or beginning classes for any new students who may receive Title IV Program funds;

  • the ITT Technical Institutes must provide all students with a notice disclosing the ACICS show-cause directives, including the fact that ACICS accreditation standards state that the “Council determines that [the] institution is not in compliance with the Accreditation Criteria, and is unlikely to become in compliance”;

  • [ITT]...may not pay, or agree to pay, any bonuses, severance payments, raises or retention payments to any of its management or directors, nor may it pay special dividends or make any expenditures out of the ordinary course of business and consistent with prior practices, without approval from the ED;

Of note: on August 23 ITT had a news release about employees volunteering time to help Dress for Success perpare for its annual fundraiser.

No press release about the above letter from the U.S. Department of Education.... yet.

Accreditor for ITT now in trouble

Twelve state attorneys general earlier this month [April, 2016] called on the department to deny federal recognition of ACICS, citing “extreme” failures in the accreditor’s evaluation of for-profit colleges, including Corinthian, Westwood College, the Education Management Company’s Art Institutes and Brown Mackie College, ITT Tech, and Career Education Corporation’s Sanford Brown campuses.

(excerpt from: https://www.insidehighered.com/news/2016/04/19/head-embattled-profit-college-accrediting-agency-resigns)

Employers Have Yet To Speak Out To This Web Site

Months ago I put out a request for Employers to post their views on ITT degrees / graduates.
I have yet to hear from a single one.

ITT posted this at the beginning of this year:

Students at the ITT Technical Institutes throughout the United States had the opportunity to visit and meet with approximately 2,900 employers, elected officials and other dignitaries on campus in 2015.

"Our campuses are often hubs for employer activities and STEM-related (science, technology, engineering, mathematics) initiatives that allow students to discover all that ITT Tech has to offer," said Gene Feichtner, president and chief operating officer of ITT Educational Services, Inc.

ITT Tech campuses in 2015 hosted:
  • 2,658 national, regional and local employers
  • 2,719 visitors attending an employer, professional or community event
  • 3,744 high school students and administrators for STEM presentations
  • 866 graduates who returned to campuses as guest speakers or for alumni events
  • 232 elected officials or their staff
And yet it seems no employer is willing to speak up on their behalf to this web site.

Students say: I was told by numerous employers the degree I have is worthless to them.

The above full document from ITT may be read here:
http://www.ittesi.com/2016-01-20-ITT-Technical-Institutes-2015-By-The-Numbers

ITT reports their enrollment is on the decline!

New student enrollment in the second quarter of 2015 decreased 18.6% to 12,638 compared to 15,523 in the same period in 2014. Total student enrollment decreased 13.7% to 47,874 as of June 30, 2015 compared to 55,485 as of June 30, 2014.
See their full report here:

http://www.ittesi.com/2015-07-30-ITT-Educational-Services-Inc-Reports-2015-Second-Quarter-Results-And-Announces-Executive-Leadership-Developments

ITT's notification to students...

On their "consumer Information" page http://programinfo.itt-tech.edu/consumerinfo/ they state:
Important Consumer Information
Credits earned are unlikely to transfer.
ITT Technical Institute does not represent, promise or guarantee that a student or graduate will obtain employment.


At the very bottom of their page it reads:
ITT is a registered mark of and is used under license granted by ITT Manufacturing Enterprises, LLC
Who are they? Here's some information from Bloomberg Business: http://www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=26377360

Special Message to Veterans

Carrie Wofford (a staffer in the Harkin Commission that exposed for-profit colleges' worst offenders), has asked ... all veterans (and their supporters) who were scammed by ITT Tech to report their complaints to the Veteran's Administration.

According to Ms. Wofford,"We've got to get everyone to file complaints with the VA. The Veterans Administration has already cut off 3 schools from GI Bill benefits. But they need to hear from lots of vets to cut off more. Protect your buddies. The VA is taking action against schools that rip off vets."

File here: http://www.benefits.va.gov/gibill/feedback.asp

Let the games begin!

May 12th, 2015 - SEC Announces Fraud Charges against ITT !!!

Read the announcement here: http://www.sec.gov/news/pressrelease/2015-86.html

Read the formal SEC complaint here (filed May 12, 2015):
http://www.sec.gov/litigation/complaints/2015/comp-pr2015-86.pdf

Their stock plummeted from a daily high $4.15 to below $3 after the announcement.

Back in 2009 their stock was at a high of over $130 but has declined ever since.

Read ITT's reply stating they will fight the SEC's Unfounded Charges here:
http://www.ittesi.com/2015-05-12-ITT-ESI-Will-Fight-The-SECs-Unfounded-Charges

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If you're thinking of attending ITT, read the reviews here first and think again!

BBB Statistics: 129 complaints filed through the Better Business Bureau.
BBB Accreditation revoked due to failing to honor its accreditation agreement with the BBB.



EMPLOYEES

I am a former instructor at an ITT in Texas. This place is not a real school. Instructors are encouraged to lie about student's academic performance and attendance, when you don't and I wouldn't, problems occur.

I am an adjunct instructor at ITT Tech in Omaha, NE teaching my first course for them. I DO NOT PLAN TO RETURN! The instructional materials given to me were inadequate and the pacing is not realistic for the type of student that is enrolled there.

POTENTIAL EMPLOYERS OF ITT-TECH GRADS

...if you showed me a piece of red construction-paper, with your name written on it in yellow crayon, it would have more credibility, longevity, and educational integrity, than your ITT Technical Institute diploma.

GOVERNMENT REPORT

Not only does ITT cost more than their public school counterparts, it is also significantly more expensive than comparable for-profit colleges. For example, the cost of an Associate degree at ITT’s Clive, IA campus is $47,928. The same degree at Kaplan University in Des Moines, IA is $30,654, and the degree costs $10,290 at the Des Moines Area Community College. ITT’s Clive campus had a 54.7 percent withdrawal rate for students enrolling between 2008 and 2009.

Consumer Financial Protection Bureau files a claim against ITT!

Check with your local Attorney General to see if they are working on any legal action against ITT.

4 counts:

Read the full document here and ITT's reply here ... why do they use such small print?

Also on this site: ITTs "Pain Funnel" illustrates four levels of pain with questions corresponding to each level. ... the "Pain Funnel" presents a number of questions that the recruiter can ask that are progressively more hurtful.

See the new section featuring current and former employees speaking out!

Read these reviews. Write your own.

Some highlights:

STUDENTS

Awesome website! I wish I would have known what an awful place ITT is.

ITT used deceptive recruitment practices to lure students into enrolling (particularly low-income students and veterans) to receive their federal financial aid. These students then receive none of the valuable career skills for which they enrolled in the program and they leave with enormous amounts of debt.

Do not teach at ITT!

ITT INTERNAL MEMO

The company's "Pain Funnel" illustrates four levels of pain with questions the recruiter can ask which are corresponding to each level.

Read more and add your own comments below!

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