Interboro Institute, a for-profit college in New York City that had been scrutinized and subjected to limits on enrollment by the New York State Board of Regents, will close on Friday, the end of its fall semester.
The company that owns Interboro said it would close the college after it realized that most of its students would no longer qualify for state or federal student aid under the tougher academic standards instituted this fall by the regents.
The company, the EVCI Career Colleges Holding Corporation, said in an announcement on Monday that it had failed to raise capital for Interboro that “would allow the college to transition its educational programs to a model that could succeed” under the changed policies. The company said students now attending Interboro would be allowed to finish their degree programs at another of its colleges, Technical Career Institutes.
Interboro specialized in recruiting students who had not graduated from high school but who could receive federal and state student aid by demonstrating that they had “an ability to benefit” from higher education.
In September the regents enacted new rules for testing students on whether they could benefit. Interboro found that only one-third of the applicants who had passed its old test could pass a new, harder test. As of January 2008, the old test can no longer be used to qualify students for New York State’s student-aid grants.
Earlier this year, state and federal authorities ordered Interboro to repay millions in student-aid funds after finding that some of the money had gone to students who were ineligible. —Goldie Blumenstyk