In July 2007, the California Attorney General threatened to file suit against Corinthian Colleges, corporate parent of National Institute of Technology, unless it settled allegations that it has misrepresented its placement statistics; the school had been under investigation by the state attorney general's office for over 18 months. According to a case filed in Los Angeles County Superior Court, Corinthian Colleges "engaged in a persistent pattern of unlawful conduct" by overstating the percentage of those who obtained employment from its courses, inflated information on starting salaries and made misleading or false statements about which programs it was authorized to offer and which were approved by the California Department of Education.
In July 2007, the California Attorney General threatened legal action against Corinthian Colleges, alleging that it had misrepresented its job placement statistics for National Institute of Technology. The investigation by the state attorney general's office had been ongoing for over 18 months.  The lawsuit alleged that Corinthian Colleges engaged in illegal practices related to employment rates, salary information, and program authorization.