U.S. Justice Department Charges Student Recruiting Firm with Fraudulent Practices
The firm allegedly violated federal laws by using illegal incentives to recruit students for UK schools, leading to false claims for federal student aid.
- The DOJ has filed a False Claims Act complaint against Study Across the Pond LLC and its principal, John Borhaug, for illegal recruitment practices.
- The firm is accused of demanding commissions from UK schools, which were funded by federal student aid, violating the Incentive Compensation Ban.
- At least 28 UK institutions were allegedly involved in the scheme, which has been ongoing since at least 2015.
- The case, filed under whistleblower provisions, could allow private citizens to sue on behalf of the government and share in any recovery.
- Authorities emphasize the case as a defense of the integrity of educational and financial aid systems, protecting students from exploitative recruitment tactics.