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Sunday, January 19, 2025

Five Point Enterprises LLC to Pay $2 Million for Submitting False Claims to VA - MyTexasDaily.com

AUSTIN, Texas — Five Point Enterprises LLC (5PE) has agreed to pay $2,049,159 to resolve allegations of submitting false claims to the Department of Veterans Affairs (VA) for educational assistance benefits under the Post-9/11 Veterans Educational Assistance Act of 2008, according to the Justice Department.

Until 2021, 5PE operated vocational schools across the country, offering non-college degree programs to students, including veterans, under a franchise agreement with New Horizons Inc. The government contends that between 2015 and 2020, 5PE knowingly enrolled Post-9/11 GI Bill-funded veterans in courses at 20 New Horizons franchises where 85% or more of the students were veterans or supported students, violating the "85/15 Rule." Additionally, 5PE allegedly failed to report tuition reductions provided to veterans, violating the "Last Payer Rule."

“The Post-9/11 GI Bill educational assistance benefits are part of our promise to the brave women and men who have served our country,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “Today’s settlement demonstrates our commitment to safeguarding the integrity of this important program.”

U.S. Attorney Jaime Esparza for the Western District of Texas emphasized the importance of protecting federal programs and the education benefits earned by military veterans and their families. “We and our partners stand ready to hold accountable those who take advantage of...



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