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E&Y, College Co. Escape Whistleblower Suit Over Billions In Aid

Law360, Los Angeles (March 18, 2013, 10:39 PM EDT) -- A California federal judge on Friday quashed an employee whistleblower suit that claimed Ernst & Young LLP and Corinthian Colleges Inc. had defrauded the federal government of billions in education funds, ruling that a public disclosure bar prevented the court from considering claims about college recruiter incentive payments.

Ex-employees Nyoka Lee and Talala Mshuja had claimed the for-profit college's recruiter practices should have prevented it from obtaining, with the help of accountant Ernst & Young, up to a half-billion dollars annually in Higher Education Act funds....
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