Vatterott Educational Centers announced the immediate closure of all its campuses Monday, citing financial difficulties.
In a letter sent to students, the for-profit college based in Berkeley pointed to a U.S. Department of Education decision to limit Vatterott’s participation in federal financial aid programs.
The move doomed a pending sale of most of its campuses to another for-profit education company, Education Corporation of America, which officials said in January would have allowed the school to remain operational.
“Vatterott is unable to continue operation under these restrictions, and consequently, is unable to complete the aforementioned sale. The Department imposed these restrictions despite the presence of an interested buyer and our clear communication that such restrictions would result in the school’s closure,” the letter reads.