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CT AG Settles with Stone Academy for $5M Over Deceptive Nursing Programs

Stone AcademyFebruary 27, 2025Connecticut Attorney General

Penalty Amount

$5,000,000

Summary

Connecticut Attorney General William Tong announced a $5 million settlement with Stone Academy and its owners for unfair and deceptive conduct. The defunct for-profit nursing school misrepresented its programs and failed to provide promised education, abruptly closing in February 2023. The settlement provides cash compensation to harmed students and bars the owners from higher education employment.

Remedy

The settlement includes a $5 million cash payment for student compensation, with $150,000 allocated for exit exam preparation. Stone Academy's former owners must bar Joseph Bierbaum from higher education employment for five years and notify the Attorney General if they seek to operate new for-profit schools in Connecticut. Additional measures include remedial programs and partnerships for students to complete their education, and the Department of Public Health will end licensure investigations based solely on Stone attendance.

Monetary PenaltyConsumer RefundsBanReporting Requirements

Contract Impact

In-house legal teams should review contracts with educational service providers to ensure that all representations about program quality, duration, resources (e.g., textbooks, clinical training), and outcomes (e.g., licensure preparation) are accurate and supported by contractual obligations. Include specific performance metrics, refund mechanisms for unmet services, and termination rights. Also, consider indemnification for misrepresentation and require vendors to maintain necessary accreditation and qualified staff.

Contract Search Terms

educational program guaranteesrefund policymisrepresentation clausesservice quality standardsinstructor qualificationsclinical training requirementsprogram accreditationstudent compensationtermination for causelicensure preparation

Violation Types

Entity Details

Entity

Stone Academy

Industry

Education

Official Sources

Source Evidence

Entity Name
"Stone Academy"
Fine Amount
"$5 million settlement"
Summary
"unfair and deceptive conduct at the defunct for-profit nursing school"

Related Enforcement Actions

CT

Stone Academy

$5.0M

Connecticut Attorney General William Tong announced a $5 million preliminary settlement with Stone Academy and its owners for unfair and deceptive conduct. The for-profit nursing school failed to deliver promised education, lacking textbooks, experienced teachers, and clinical training, and abruptly closed in February 2023. The settlement provides cash payments to harmed students, bars the owner from higher education employment for five years, and includes measures to help students complete their education.

CT

Stone Academy

Connecticut Attorney General William Tong expanded the complaint against Stone Academy, alleging its owners siphoned millions for personal luxury while students were denied promised education and clinical training. Revenues surged during the pandemic, but exam pass rates fell and students lacked textbooks and qualified teachers. The AG seeks civil penalties, restitution, and a receiver to protect assets for student relief.

CT

Stone Academy

Attorney General William Tong refuted Stone Academy's attempts to blame regulators for its abrupt closure, detailing the school's own misconduct and harm to students. He is leading an investigation into potential violations of the Connecticut Unfair Trade Practices Act and demands full financial disclosure and resources from Stone to assist affected students.

CT

Stone Academy

Connecticut Attorney General William Tong sought a court order to compel the owners of Stone Academy, a for-profit nursing school, to comply with civil investigative demands following the school's abrupt closure. The investigation examines potential violations of the Connecticut Unfair Trade Practices Act, including issues with clinical instruction hours, faculty qualifications, and student transcript accuracy, which left students' education plans in limbo.

CT

U.S. Food and Drug Administration (FDA)

On May 11, 2026, Connecticut Attorney General William Tong led a bipartisan coalition of 21 attorneys general in submitting a comment letter to the U.S. Food and Drug Administration (FDA) urging the agency to abandon draft guidance that would ease approvals for flavored e-cigarette products. The coalition argues the guidance ignores evidence that flavored e-cigarettes disproportionately drive youth addiction and that FDA has failed to enforce existing authorization requirements for e-cigarette products. The letter references past tobacco and e-cigarette enforcement actions, including the 1998 tobacco master settlement agreement and the 2022 $438.5 million settlement with JUUL Labs.

CT

Bad actor platforms

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