NZQA deputy chief executive Dr Grant Klinkum said the resit affected the international students enrolled in IANZ's national diploma in business as their assessment practices were unsatisfactory.
"The 380 students enrolled in this programme will be supported through a re-assessment process to confirm they have achieved the marks and credits they have already been awarded so that they are prepared for ongoing study.
"NZQA is working with the new owners, IANZ, and Immigration New Zealand to make sure students are looked after and know what their options are."
The academy, which offers courses in business and management, is selling its business to another private training establishment EDENZ Colleges 2016 Ltd.
NZQA states that they are highly confident EDENZ is capable. They have approval to deliver programmes that are suitable for IANZ's 650 students.
Klinkum said if the sale didn't take place one option would have been to shut the institution down.
More details are available on the NZQA website at www.nzqa.govt.nz.