ComputerTraining.edu Forced to Close by BB&T Internet

This bank actually did the right thing. They pulled a credit line and seized assets when they realized the loan would not be repaid. All banks operate like this. The real issue is WHY they thought the loan was going south. I suspect loan payments were either late or missing. Dave Rau had to have known well beforehand this was going to happen. This almost sounds like a weird pyramid scheme where Dave was hoping against hope to get more students to pay to prop up his lifestyle. Sallie Mae started smelling a rat and pulled out. Once that cash flow dried up all was lost.

BB&T had no obligation to cover the remaining training. Dave Rau and his team had that responsibility.

Are you kidding me?  Way to place the blame on BB&T.  You KNEW you what you were doing when you filed the bankruptcy.  You KNEW the terms of the loan through BB&T.  You made the decision to file for bankruptcy, so what did you think was going to happen?

Oh wait, did you not read the terms of the loan?  Yes, you did.  And you KNEW and now you are trying to cover yourself by blaming BB&T for your mess that you created.

Also, schools are REQUIRED by law to notify students at least 30 days prior to shutting down.  Who are you going to blame for that?

This is just like the executives at ComputerTraining.com; always placing the blame on someone else. 

Disgusting. 

I am so glad you are being investigated. 

If you have nothing to hide then why did you run from the camera Chuck?

http://www.abc2news.com/news/local/story/Computer-Training-Company-Abruptly-Closes/gIGpsoQdlU-VjepY1uL5lA.cspx

(For the record it's Chuck Lang who is the "representative"  who "simply ran away after spotting our camera".)

Here's another news story:

http://www.youtube.com/watch?v=u-5EV_iLosQ

The website is back up but only for the purpose of posting an unsigned excuse letter. They are blaming BB&T bank for all the problems. Correct me if Im wrong but a bank will pull your credit line and seize your assets if they believe the loan will not be repaid. The bank acted appropriately especially in todays credit climate. I suspect that the campus furnishings and equipment were pledged for collateral for the loan thus the reason for BB&T wanting the campuses secured. Im amazed the students werent pledged for collateral as well.

I have yet to hear that CT has formally declared Chapter 7 (total liquidation). Once this is done the employees have a decent shot at getting paid but probably not for several months to a year. Students will be treated as unsecured creditors. The court appointed trustee may be able to find a buyer for the various campuses and the new owner(s) may grant some consideration to the current students.

Another thing the trustee will do is go after anyone who owes on loans to CT. Guaranteed. They may sell off the loans to a third party. All possible assets must be collected. Sorry. Its this money that goes to paying employees and secured creditors.

Now as for these corporate titles Ive found a website where David Rau is shown as president of CT but the date is uncertain. I somehow suspect he was president until things started getting icky, then he made Chuck the new president.