$280 Million Verdict Against Apollo Group Tossed

PHOENIX (AP) — A federal judge has overturned a $280 million verdict against the for-profit company that owns the University of Phoenix.

Apollo Group Inc. was ordered to pay shareholders that amount in January after a jury decided it fraudulently misled investors about its student recruitment policies.

By doing so, jurors said, Apollo violated federal securities laws.

But in an 11-page ruling, U.S. District Judge James Teilborg decided that the evidence at trial was insufficient to support the jury's ruling.

Associated Press via Google News