Ontario blocks a few career colleges from OSAP for three additional years

TORONTO – Ontario’s colleges and universities minister has barred three career colleges from being able to offer publicly funded student financial assistance until at least 2030, after previously blocking them from the program just for this year.

An order in May from Nolan Quinn meant that six schools, including four Academy of Learning locations, could not access the Ontario Student Assistance Program for the 2026-27 academic year, which most of them are fighting in court.

Quinn’s decision followed government inspections that found evidence suggesting third parties were completing the coursework — sometimes entire courses in one day — and a few students who couldn’t name their school or program, officials allege in documents filed in court.

Three Academy of Learning locations, who share a parent company, updated their court complaint earlier this month to say that Quinn has now blocked them from OSAP for three more years following a “final” decision by his ministry.

Quinn’s office would not comment, but rules governing the sector say that if an institution is found to be in non-compliance with those rules, they will not be eligible for OSAP for three years.

The schools argue in their court application that Quinn’s decision was unreasonable and procedurally unfair. 

The ministry “imposed and relied upon new approval criteria and evidentiary standards without adequate prior notice, and relied upon adverse information and analyses that was not adequately disclosed,” the schools wrote.

Concerns about the use of OSAP at some career colleges are not limited to the six locations initially targeted by Quinn’s order. Career Colleges Ontario began raising concerns in 2023, and in February highlighted 14 campuses whose application patterns “include indicators consistent with possible suspicious activity,” they wrote to the government in a letter filed as part of the court case.

Quinn announced last week that the government called in auditors KPMG in August and based on “serious concerns” in their preliminary findings, the province has referred the matter to the Ontario Provincial Police.

The concerns include the involvement of immigration services firms and co-location between private career colleges and immigration recruitment or services firms, inadequate student validation and verification of course enrolment and outcomes, and unusually high concentrations of OSAP applications submitted from the same geographic locations, Quinn said.

He did not say if those issues apply to the three Academy of Learning locations he has now blocked from OSAP until 2029-30, though ministry inspectors expressed concerns about student validation and course enrolment verification at those schools, courts records show.

None of the findings and allegations have been proven in court. The Academy of Learning did not respond to a request for comment about the additional three-year OSAP ban, but has previously said students may not have responded to government verification attempts because they believed them to be scam calls, and other students may have had language difficulties.

As well, the schools had submitted corrective action plans in response to their failed inspections, showing dozens of actions taken to remedy problems identified by the province including two-factor authentication and investigation of unusual login activity, they noted.

The instances of unusually rapid completion of courses warrants review, the Academy acknowledged, but said some students download materials to study off-line. The schools have implemented additional monitoring of files before exam codes are issued, they said.

Data obtained by The Canadian Press through a freedom-of-information request shows that the Academy of Learning’s Bay Street location went from 996 students on OSAP in 2021-22 to 7,435 in 2024-25. In that year, students qualified for more than $108 million in provincial OSAP grants.

The Brampton East location went from about 74 students accessing OSAP in 2020-21 to 4,260 in 2024-25, for a total of more than $64 million in provincial OSAP grants in the latter year.

Those two schools, plus the North York location, which is a campus of the Brampton East location, accounted for one-fifth of the nearly $1 billion in provincial OSAP grants that went to all career colleges that year.

The Academy of Learning says high growth in applications was due to offering programs relevant to workforce needs.

In response to rising OSAP costs, Quinn earlier this year announced that career college students would no longer be able to access grants, and students at publicly funded colleges and universities would qualify for much lower grant amounts, with a higher proportion of loans.

When Quinn announced last week that he had referred concerns to the OPP, he also said that OSAP loan payments for students at all career colleges and private post-secondary institutions across the province are paused while the KPMG audit is ongoing.

This report by The Canadian Press was first published Oct. 14, 2026.