- Report: #549583
Complaint Review: ComputerTraining.edu - Internet
Reported By:
Ex-Employee Hunt Valley -
, Maryland, United States of America
Submitted:
Updated:
-
Author Not Confirmed
Why?
ComputerTraining.edu
Internet, United States of America
Phone:
Web:
ComputerTraining.edu
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ComputerTraining.edu Forced to Close by BB&T Internet
On Christmas Eve, ComputerTraining.edu is shut down by BB&T and forced to close all schools and corporate offices with no forewarning or notice to students, employees, management or shareholders.
After seventeen years in business, on Christmas Eve December 24th, 2009, ComputerTraining.edu was sent an email notifying them that their primary financier, BB&T bank, had frozen their line of credit, bank accounts and was seizing all assets immediately. They also instructed ComputerTraining.edu to lock down all locations and not allow employees access to collect personal belongings. This request stunned the ComputerTraining.edu management team who refused to comply. All employees were allowed access and terminations were made face to face.
Regardless of the fact that there were sufficient funds to do so, BB&T decided not to pay ComputerTraining.edu employees or keep training centers open to allow enrolled students to complete their schooling. Several attempts have been made by ComputerTraining.edu management to remedy the situation without success.
ComputerTraining.edu is a Nationally Accredited Institution and has placed thousands of graduates into IT careers over the years. Graduation and placement rates were among the highest in the industry. Current students should contact their state's board of education as soon as possible to work through refunds and remedies. ComputerTraining.edu has posted surety bonds and restricted cash deposits with the states which will be used to help students transfer to another school or obtain refunds.
ComputerTraining.edu is working together with Sallie Mae and all State Agencies to ensure that BB&T does the right thing and teaches out the classes and/or guarantees all refunds. Students have lost their education, employees have lost their jobs and shareholders have been bankrupted. None of this was necessary and could have been avoided had BB&T taught out the classes the way that management recommended and had done in the past.
4 Updates & Rebuttals
John
Memphis,Tennessee,
U.S.A.
BB&T Was Right
#2Consumer Suggestion
Thu, January 14, 2010
This bank actually did the right thing. They pulled a credit line and seized assets when they realized the loan would not be repaid. All banks operate like this. The real issue is WHY they thought the loan was going south. I suspect loan payments were either late or missing. Dave Rau had to have known well beforehand this was going to happen. This almost sounds like a weird pyramid scheme where Dave was hoping against hope to get more students to pay to prop up his lifestyle. Sallie Mae started smelling a rat and pulled out. Once that cash flow dried up all was lost.
BB&T had no obligation to cover the remaining training. Dave Rau and his team had that responsibility.
Former Employee
United States of AmericaWay to blame BB&T for your failures
#3UPDATE EX-employee responds
Wed, January 06, 2010
Are you kidding me? Way to place the blame on BB&T. You KNEW you what you were doing when you filed the bankruptcy. You KNEW the terms of the loan through BB&T. You made the decision to file for bankruptcy, so what did you think was going to happen?
Oh wait, did you not read the terms of the loan? Yes, you did. And you KNEW and now you are trying to cover yourself by blaming BB&T for your mess that you created.
Also, schools are REQUIRED by law to notify students at least 30 days prior to shutting down. Who are you going to blame for that?
This is just like the executives at ComputerTraining.com; always placing the blame on someone else.
Disgusting.
I am so glad you are being investigated.
formeremployee
hunt valley,Maryland,
USA
Why did you run if you have nothing to hide?
#4UPDATE EX-employee responds
Wed, January 06, 2010
If you have nothing to hide then why did you run from the camera Chuck?
(For the record it's Chuck Lang who is the "representative" who "simply ran away after spotting our camera".)
Here's another news story:
http://www.youtube.com/watch?v=u-5EV_iLosQ
John
Memphis,Tennessee,
U.S.A.
Website Up...Sorta
#5Consumer Suggestion
Wed, January 06, 2010
The website is back up but only for the purpose of posting an unsigned excuse letter. They are blaming BB&T bank for all the problems. Correct me if Im wrong but a bank will pull your credit line and seize your assets if they believe the loan will not be repaid. The bank acted appropriately especially in todays credit climate. I suspect that the campus furnishings and equipment were pledged for collateral for the loan thus the reason for BB&T wanting the campuses secured. Im amazed the students werent pledged for collateral as well.
I have yet to hear that CT has formally declared Chapter 7 (total liquidation). Once this is done the employees have a decent shot at getting paid but probably not for several months to a year. Students will be treated as unsecured creditors. The court appointed trustee may be able to find a buyer for the various campuses and the new owner(s) may grant some consideration to the current students.
Another thing the trustee will do is go after anyone who owes on loans to CT. Guaranteed. They may sell off the loans to a third party. All possible assets must be collected. Sorry. Its this money that goes to paying employees and secured creditors.
Now as for these corporate titles Ive found a website where David Rau is shown as president of CT but the date is uncertain. I somehow suspect he was president until things started getting icky, then he made Chuck the new president.
