ILAC abruptly announced that it had filed for bankruptcy protection late on Friday, leaving over 1,300 students and dozens of staff and agent partners scrambling for answers.
While staff expressed surprise at the shock announcement, it is clear that the move by the Canadian government to limit PALs per institution and prioritise public sector colleges would have had a major impact on ILAC – see our timeline of ILAC’s expansion here.
The news, coming just days after fellow language learning giant EC English closed its doors, has been met with disbelief, confusion – and even anger.
Languages Canada has sprung into action to find affected students alternative programs as a result of ILAC’s imminent closure, which was put down to financial challenges caused by “significant regulatory changes”.
Former staffers took to LinkedIn in the wake of the news, expressing shock and sadness and insisting that they had no idea that bankruptcy was looming. Several have claimed that they were only made aware of the situation as it became public.
Meanwhile, agents have been left to pick up the pieces, trying to find answers and solutions for students despite waiting on further details themselves.
Commenting on the news, administrative and & CRM operations coordinator at Schweizerische Evangelische Allianz (SEA), Ella Levashova, posted that “so many questions will remain unanswered”. While she acknowledged that while it would be difficult for parents and students to believe that agents knew nothing about ILAC’s risk of bankruptcy, “we, as agents, knew nothing”.
“The company informed its agents only last night that it was insolvent. Until then, we had not been given information indicating that bankruptcy was imminent,” she posted on LinkedIn.
Cláudia Farina, CEO and owner of SIP Student International Programs, said the way the closure had been handled was “deeply disappointing”.
“Just this week, the group accepted new enrolments from our agency’s students – already aware of the financial situation that was looming – without alerting partner agencies so they could prepare. And now, the guidance given to affected students is to contact their agencies to figure out the next steps for their study plans,” she posted.
May this episode serve as a wake-up call for the entire industry: the protection of students and respect for partnerships must come before any corporate decision
Cláudia Farina, CEO and owner of SIP Student International Programs
She warned that turst built over many years “cannot simply be discarded”, stressing that students, families and agencies deserve “transparency, advance communication, and a responsible transition plan”.
“May this episode serve as a wake-up call for the entire industry: the protection of students and respect for partnerships must come before any corporate decision,” she said.
Inder Gill, the founder of Inder Gill’s Immigration & Edcuation Consultancy, said she was “profoundly saddened by the unexpected news… and remain at a loss for words”. “As agents, this situation has undoubtedly presented challenges for many of us,” she added.
Director general at the Panamanian agency U Mentor Education, Miguel Algandona, said ILAC’s sudden closure had created a “very difficult situation” for many international students.
“In our case, a student paid for four weeks of accommodation, but the provider has informed us that ILAC only paid for two weeks. We are now supporting her to ensure she can maintain her accommodation while the situation is resolved,” he claimed.
Meanwhile, former staffers have also expressed their shock at ILAC’s abrupt end after almost 30 years in business.
Oscar Blanco, who was head of international sales at ILAC when it closed, posted that “a huge part of my own life ended with [ILAC], after +11 years of pure dedication, love and commitment to this institution”.
“There is so much I want to say, but I feel it is important to start with one thing,” he added.
“No one from the ILAC team knew this was coming, the people who showed up every day, who cared about our students, our partners and each other, had no idea that this was about to happen,” he said.
It remains uncertain as to the next steps for students and agents with links to ILAC. However, ILAC has appointed to consultancy firm KPMG to handle its insolvency proceedings.
