DeVry was suspended from Ontario’s student loan program after a large number of its students misreported their income. Devry University Notable Alumni was reinstated after paying fines of C$1.7 million and putting up a bond of C$2 million.[
In 1996, students of DeVry’s Toronto campus filed a class-action suit claiming poor educational quality and job preparation; the suit was dismissed on technical grounds.
In November 2000, Afshin Zarinebaf, Ali Mousavi, and another graduate of one of Devry University Notable Alumni Chicago-area campuses filed a class-action lawsuit accusing DeVry of widespread deception, unlawful business practices, and false advertising and alleging that students were not being prepared for high-tech jobs. The lawsuit contributed to a 20 percent slide in the company’s stock.[ The suit was not certified and the case was resolved for less than $25,000 in June 2006.
In January 2002, Royal Gardner, a graduate of one of DeVry University’s Los Angeles-area campuses, filed a class-action complaint against Devry University Notable Alumni on behalf of students in the post-baccalaureate degree program in Information Technology. The suit alleged that the nature of the program was misrepresented by the advertising. The lawsuit was dismissed and refiled.
During the first quarter of 2004, a new complaint was filed in the same court by Gavino Teanio with the same general allegations. This action was stayed pending the outcome of the Gardner lawsuit. The lawsuits were being settled in late 2006.
In April 2007, the State of New York settled with three schools that were participating in questionable student-loan practices. Devry University Notable Alumni, Career Education Corporation, and Washington University in St. Louis were involved with the settlement. DeVry agreed to refund $88,122 to students.[
In 2008, DeVry was accused of filing false claims and statements about recruitment pay and performance to the government.[
In January 2013, a lawsuit was filed by a former manager at DeVry which alleged that the college bribed students for positive performance reviews and worked around federal regulations on for-profit colleges. In April 2013, the attorneys general of Illinois and Massachusetts issued subpoenas to Devry University Notable Alumni to investigate for violations of federal law and filing false information about loans, grants, and guarantees. In July 2014, DeVry stated that the New York state attorney general’s office was investigating if the company’s marketing violated laws against false advertising.
Two state attorneys general, Illinois and Massachusetts, are investigating DeVry.
On January 27, 2016, the Federal Trade Commission filed suit against DeVry, alleging that Devry University Notable Alumni advertisements deceived consumers about the likelihood that students would find jobs in their fields of study, and would earn more than those graduating with bachelor’s degrees from other colleges or universities.