Connecticut School of Broadcasting files bankruptcy

  by Andy - March 11th, 2009 - 2:45 pm| Uncategorized | 4 comments

 

After 45 years, a broadcasting school abruptly shuts its doors. The Connecticut School of Broadcasting known as (CSB) filed for bankruptcy.

The shut down affects students, teachers and staff members at 26 locations in 16 states including Nashville.

Students who have paid thousands in tuition feel blind sided.  They didn’t get certificates or the training they need to secure jobs. They were promised studio access and demo tapes and help with placement. Now they are left with bills in the thousands.

The decision to close CSB came swiftly. Many learned via text messages and email. The sign on the door is short and sweet.

CSB SCHOOL OF BROADCASTING OFFICIALLY CLOSED UNTIL FUTHER NOTICED. DETAILS TO FOLLOW.

Teachers and staff who lost their jobs are still shell shocked.

Former Channel 2 Traffic Reporter, and now ex-campus director Chris Maze sent out this email:

All~

It is with great sadness that I convey the following news.  Effective at the close of business on Wednesday March 4, 2009, CSB School of Broadcasting is officially closed.  Our corporate office has instructed our doors be closed until further notice with details to follow.  As confusing and startling as this is to you, I am equally affected.  I wish I had more information to convey, but unfortunately I do not at this time.

On a personal note, this news grieves me on so many levels.  We have been a family since the beginning and the thought of not being here to see you thrive with your dreams and soar with your passions hurts me in ways you will never know.  For what it’s worth, being as uninformed as we all are, the only source I have to offer is the corporate phone number: 1-617-237-1673.

I know I speak for my staff when I say we wish you all the very best and we all believe in you. Please know that we keep you in our prayers.

All the best always,

Chris Maze
Campus Director
CSB® School of Broadcasting

The glass doors are locked. The offices are dark. When I show up there are several UPS post its. Officials from the State Board of Education have also been to the site and posted this note:

The Division Postsecondary School Authorization Staff regrets to inform you that, due to no fault of our own, the owner of CSB School of Broadcasting, GCP CT School of Acquisition LLC, has decided to close the institution effective, March 4, 2009. Their decision to close the institution is not in accordance with the Law and the Rule so the Tennessee Higher Education Commission. Therefore, Postsecondary Staff will be providing assistance to students who have been misplaced by this occurrence. For inquires, please call Postsecondary Staff at 615 741 5293.

Candace Austin is one of many people affected.

Austin is high energy. She is quick thinking and not afraid to belt out a song in the parking lot of where we interview her.

The 23 year old tells me that she signed up at CSB in November to initiate her dream to conquer the broadcast world.

“What is your dream?” I ask.

“To be a radio broadcaster,” she says without delay. “I want to be on the radio, and be a host of a show. My aspirations are to be on a magazine show, get the door open and explode from there.”

Explode from there.

CSB locking its doors put a bit of delay in her plans.

Austin says she got the news while at church.

“I got a text at church. Thank God. So I could pray about it.”

Austin says she obtained a loan for close to 9,000 dollars. She says as far as she knows, she is still on the hook for that money.

“I owe it. I am in debt. I am scared and young and trying to pay it off and buy a house one day.”

The Chicago native who says her nickname is Hollywood burns with a bright spirit despite the major set back.

“I am blessed,” she says with an infectious smile that lights up the parking lot. “So many people are laid off and don’t have jobs or insurance.”

She tells me that this is a speed bump in her dream, and this will only make her stronger.

But Austin does grow irritated when we talk about what CSB knew and when they knew it as it relates to financial disaster.

“CSB promised us a lifetime of opportunity, and we got maybe 10-weeks of Class. He could have given us notice. We started in November. They knew that. I feel like I got a smack in the face. Someone stared me in the face and said this is a great opportunity, and you know what, it wasn’t. I feel like I got swindled.”

Richard Rhoda is executive director of Tennessee higher education commission.

From his lofty perch on the 19th floor overlooking the state capitol, Rhoda tells me what the state is doing to help the students:

“This is a case of a private school that went under abruptly. It is a matter of salvaging what can be salvaged. It is unfortunate, but as far as we can tell, the school did everything they should notifying the students and notifying us.

The school went under financially. So we have an obligation for the students to get their records, so they will be saved. And past students as well, their transcripts and financial documents are in one place that is safe.”

I ask Rhoda what if anything can be done for students like Candace Austin.

He says there are two possibilities.

He says the school could reopen either full time or part time allowing the students to finish out their courses and get their certificates.

Or

He tells me that there is a fund set up in Tennessee for just this kind of emergency. The fund is not paid for by tax payers. It will repay students for any unused tuition. It might also reimburse lenders alleviating stress on students like Austin.

“In Tennessee we are fortunate. We have a provision to pay back students who attend a school like that,” Rhoda says.

The state Department of Higher Education, which regulates Connecticut’s career schools, is urging students to call its toll-free Hotline at 1-800-842-0229 or go to www.ctdhe.org to register for tuition refunds and learn about options for completing their studies.

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March 11th, 2009 Posted by Andy | Uncategorized | 4 comments

4 Comments

  1. - Comment by Jay in Nashville | March 11, 2009 @ 6:34 pm

    Mr Rhoda, Who funds this “reimbursement fund”? A clear cut answer would be most welcome.



  2. - Comment by Andy Cordan | March 12, 2009 @ 9:58 am

    Jay

    good question about who pays.

    The answer is:

    The Tuition Guarantee Fund pays.

    and it costs you the tax payer: NOTHING.

    Officials tell me that the State provides for this emergency under the tuition guarantee fund, which all institutions (proprietary institutions) pay into.

    As mentioned in the story: it canpay back unearned tuition to the student, or possibly repay a student loan.

    The state mandates that they finish their education if the school reopens.

    If the school does not re-open, then the state will pay them for their unearned credit.

    Current and Past students are urged to call the HOTLINE: 741 5293



  3. - Comment by Jay in Nashville | March 12, 2009 @ 11:39 am

    Andy, thank you for the answer.



  4. - Comment by mike | July 1, 2009 @ 5:29 pm

    The only problem now is that the states fund to pay back any lost tuition is holding out until the bankruptcy court has made its final say.I dont know about the rest of you but i sure could use my hard earned money back now.I cant seem to get an answer out of anyone about when i may be getting a refund.If anyone could help with that info i sure would appreciate it,thanks.



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