The Federal Court has mandated Captain Cook College, its parent company, Site Group, along with its former CEO and COO, pay more than $30 million in penalties for systemic unconscionable conduct and making false or misleading representations to students that led them to chalk up more than $60m in debt.

These actions were related to online diploma courses under the VET FEE-HELP loan program. Captain Cook College, starting from 7 September 2015, removed consumer safeguards from its enrolment and withdrawal processes. This led to substantial debts for students who were not actively engaging with their courses. Approximately 5,500 students were affected, incurring VET FEE-HELP debts that totalled over $60 million. Notably, 86% of these students never logged into their online courses.

The Australian Government responded by waiving the VET FEE-HELP debts of the affected students and withholding certain payments from Captain Cook College. In total, Captain Cook College was penalised $20 million for engaging in systemic unconsciounable conduct, plus $750,000 for making false or misleading representations to students .

The Court also imposed penalties on Site Group International Limited, the parent company of Captain Cook College, amounting to $10 million. Additionally, Blake Wills, the former Chief Operating Officer, was fined $400,000 for his involvement in the unconscionable conduct. Wills has been disqualified from managing corporations for a period of three years.

This decision follows two unsuccessful appeals by Captain Cook College, Site Group, and Wills against the findings of systemic unconscionable conduct. The Court also issued a costs order in favour of the Australian Competition and Consumer Commission (ACCC).

In June 2020, Ian Cook, the former CEO of Captain Cook College, admitted to being knowingly involved in the unconscionable conduct. This admission resulted in a three-year disqualification from managing corporations and a $250,000 penalty.

Captain Cook College was established in 1998 and was acquired by Site Group in 2014. The college ceased substantive trading at the end of 2016. Site Group and several of its subsidiaries entered voluntary administration in March 2025.

The ACCC initiated proceedings against Captain Cook College, Site Group, Ian Cook, and Blake Wills in November 2018. In July 2021, the Federal Court found Captain Cook College guilty of engaging in unconscionable conduct and making false representations to students. The Full Federal Court upheld the majority of these findings in April 2023, and the High Court dismissed an appeal in August 2024.

The ACCC has previously secured judgments against other educational colleges for similar conduct. VET FEE-HELP was an Australian Government loan program designed for higher-level vocational education and training courses, which was replaced by VET Student Loans from 1 January 2017.

“Captain Cook College’s conduct not only cost taxpayers tens of millions of dollars, but it also caused distress to the thousands of consumers enrolled in their courses who for many years were told they had significant debts to the Government,” Gina Cass-Gottlieb, Chair of the ACCC, stated. “We are pleased with this outcome which sends a message to all businesses, including those seeking to obtain government funding, that they must comply with the laws which protect consumers. The judgment also shows the ACCC’s determination to pursue individuals in appropriate cases.”