The defunct for-profit Globe University has filed for chapter 11 bankruptcy protection, saying it owes many millions of dollars in connection with fraud actions taken against the school by the state of Minnesota, the Minneapolis Star Tribune reported. The petition filed in federal court on Wednesday by the former Woodbury, Minn.-based school comes two weeks after the Minnesota Supreme Court sided with former criminal justice students at Globe and its affiliated Minnesota School of Business (MSB) in ruling that anyone who attended the programs can receive a tuition refund. The filing lists Globe’s assets ranging from $100,000 to $500,000, with debts from $10 million to $50 million. The state’s claims are the largest by far among the creditors, but the U.S. Education Department also has a claim of roughly $850,000 in connection with student loans. The state attorney general’s office sued the schools five years ago, alleging they misled students by suggesting they would be able to work as police and probation officers. The students, among them a large number of veterans using GI Bill benefits, enrolled in the schools’ criminal justice program only to later discover that their degree failed to meet requirements for becoming police and probation officers in Minnesota.
