Law Schools

Students Accuse Law School of Mismanagement, Racketeering

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Students at a private Kentucky law school have a chance to show their administrators what they’ve learned.

They’ve filed a federal suit against the 2-year-old American Justice School of Law, alleging abuse of office, conspiracy and racketeering, the Associated Press reports. Among other things, members of the school’s administration are accused in the suit of delaying distribution of student loans for living expenses so the money could be invested and earn interest.

The suit is being spearheaded by Tom Osborne, a lawyer who recently resigned his chairmanship of the school’s board. The suit is seeking $120 million in damages and a restraining order to prevent the Paducah-based school from filing for bankruptcy protection.

The school is not accredited by the ABA.

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