Law Offices of Howard G. Smith announces that it is investigating potential claims against Education Management Corporation ("Education Management Corp." or the "Company") (NASDAQ:EDMC) concerning possible breaches of fiduciary duty or other violations of law by the Company's board of directors. Education Management Corp. provides post-secondary education in North America through campus-based and online instructions, and offers undergraduate and graduate degrees and certain specialized non-degree diplomas in various disciplines. The Company offers education through the Art Institutes, Argosy University, the Brown Mackie Colleges and South University.
The investigation concerns allegations contained in a report issued August 4, 2010, by the U.S. Government Accountability Office (GAO) that found some for-profit colleges encouraged fraud and engaged in deceptive and questionable marketing and sales practices directed toward prospective students. GAO undercover investigators posed as prospective students and applied for admissions to fifteen for-profit colleges in six states and found that all fifteen colleges made deceptive or otherwise questionable statements to GAO undercover applicants, such as exaggerating the undercover applicants' potential salary after graduation and failing to provide clear information about a college's program duration, costs, or graduation rate, despite federal regulations requiring them to do so.
If you purchased shares of Education Management Corp. and still hold those shares, if you have information or would like to learn more about these claims, or if you wish to discuss these matters or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at http://www.howardsmithlaw.com.
Contacts:
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com
