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Home / New Zealand

Academies under cloud over student loan access

19 Jul, 2007 05:00 PM2 mins to read

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KEY POINTS:

Further investigations are under way into claims that private tertiary institutions are still promising access to student loans and allowances despite not being entitled to.

National MP Pansy Wong said yesterday that the Kingsland Institute of New Zealand, International College of Auckland and Oxford International Academy - three
of 13 providers under investigation - had advertised in June and July that they would arrange student loans and allowances for senior students who enrolled in their English classes free of charge.

Government policy had changed so that providers were not allowed to access student loans and allowances for new students from January 1, she said.

Ms Wong yesterday questioned Tertiary Education Minister Michael Cullen in Parliament on the issue.

Dr Cullen said there were circumstances where tertiary providers could legitimately access student loans and allowances, that is, if they came in before January 17 or were grandparented.

"From the nature of the advertisements neither of those circumstances would seem to apply and therefore the prospect arises perhaps of illegitimately backdating the start date for their programme of study or other manipulative means."

He said Government agencies were investigating the situation, and that Ms Wong was going to assist the Tertiary Education Commission and Studylink in arranging interviews on July 29 with students at institutions who had made complaints.

Further investigations were under way, Dr Cullen said.

In April, Ms Wong asked the Tertiary Education Commission to investigate claims that Auckland's St George Institute was paying cash incentives to students to enrol at the private training institute.

- NZPA

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