ACICS came under heavy scrutiny by regulators for its lax accreditation standards and failure to flag deficient programs at several institutions, including Fairfax University, which was "blasted [for] the quality and rigor of its online education program" by state regulators in 2019 and nearly closed down.

[4] In March 2019, the State Council of Higher Education for Virginia threatened to revoke VIU's license to operate in the Commonwealth of Virginia after a 2018 audit found defects in the academic rigor and quality of VIU's online courses, run under Alwani's predecessor, publishing a report that Inside Higher Ed called "scathing".

[5][6] The audit cited several concerns including widespread instances of plagiarism and its admissions policy that allowed international students who demonstrated "abysmally poor" English language skills to attend the university.

[7] In June 2019, the State Council reached an agreement with VIU to allow the college to continue operating on the condition that they pause its distance education for at least three years.

[9] In 2024, FXUA announced that they would cease operations at the end of the year, citing that the university faced significant challenges due to a complex regulatory environment and a limited timeframe available to secure new accreditation.