Brown Mackie College was founded in 1892 in
Salina, Kansas as the Kansas Wesleyan School of Business. In 1938, two of its former instructors, Perry E. Brown and
A. B. Mackie, incorporated the school as The Brown Mackie School of Business. The school was licensed by the
Kansas Board of Regents to grant associate degrees in 1986. Between the 1930s and 1990s the school in Salina, and other schools that would later carry the Brown Mackie name, were managed by several different organizations before being purchased by American Education Centers (AEC) in 1993. In 2003,
Education Management Corporation (EDMC) acquired eighteen schools from AEC, including the original Brown Mackie College, and rebranded them all under the Brown Mackie name the following year. In June 2016, EDMC announced plans to close all but four Brown Mackie campuses due to severe drops in enrollment following lawsuits that cost the college system millions, damaged its reputation, and puts its accreditation in jeopardy. Though the company denied these allegations, EDMC and the
Obama administration reached a $95.5 million settlement with the
Justice Department in 2015. This case reached a settlement in 2015 wherein EDMC agreed to reform recruiting practices, including disclosure of the transferability of Brown Mackie credits, more accurate representations of expected graduate outcomes, and more detailed information about taking out federal loans to help pay for a Brown Mackie education. More than 80,000 students were impacted by this settlement. In 2016, eleven former Brown Mackie nursing students in Tucson, Arizona, sued the school for
consumer fraud. The plaintiffs alleged that the poor training they received left them unable to be gainfully employed. Brown Mackie was barred from enrolling new nursing students for two years following the incident, though the college system was shut down before the program could resume. In 2022, Brown Mackie was one of 153 institutions included in student loan cancellation due to alleged fraud. The class action was brought by a group of more than 200,000 student borrowers, assisted by the Project on Predatory Student Lending, part of the Legal Services Center of
Harvard Law School. A settlement was approved in August 2022, stating that the schools on the list were included "substantial misconduct by the listed schools, whether credibly alleged or in some instances proven." In April 2023, the Supreme Court rejected a challenge to the settlement and allowed to proceed the debt cancellation due to alleged fraud. ==Academics==