The Sudden Closure of IEU Malta and Its Ripple Effects on International Students

The closure of the International European University (IEU) Malta campus in August 2025 sent shockwaves through the higher education landscape in Europe, leaving around 80 international students in limbo. Operating from Gżira since 2023 on a temporary license granted amid the Ukraine war, IEU promised affordable degrees in fields like medicine, business administration, and IT to students from over 90 countries. However, an external quality assurance audit revealed severe shortcomings, leading the Malta Further and Higher Education Authority (MFHEA) to revoke the license. This decision triggered the immediate cancellation of student residence permits by Identità Malta, the immigration authority, forcing affected individuals to depart the country within 30 days or face deportation.

Students, many of whom had invested life savings—ranging from €5,000 to €15,000 in tuition alone—found themselves locked out of the campus, unable to access passports, transcripts, or academic records. The ordeal highlighted vulnerabilities in Malta's burgeoning international education sector, which has grown rapidly by attracting non-EU students with low-cost programs. As Malta positions itself as an education hub in the Mediterranean, this incident raises critical questions about regulatory oversight and student protections.

Background on International European University and Its Malta Venture

Founded in 2019 in Ukraine, IEU expanded amid geopolitical instability, establishing a Poland campus that closed following fraud investigations by Polish authorities for offering unrecognized degrees. The Malta campus received a temporary operating license in 2023, allowing it to recruit international students under the condition of in-person delivery and compliance with quality standards. Ukrainian national Alla Navolokina served as the sole shareholder and director of IEU Malta Ltd.

The institution marketed itself as a bridge for non-EU students seeking European-recognized qualifications, boasting partnerships for clinical placements in medicine programs, such as at Mater Dei Hospital. However, complaints surfaced early: students reported paying upfront fees only for visa rejections, unfulfilled refund promises, and degrees lacking EU recognition. Despite these red flags, MFHEA renewed the license in 2024, conditional on audits—a decision now criticized as lax.

Audit Revelations: Why MFHEA Revoked the License

The pivotal November 2024 external quality assurance audit exposed IEU's non-compliance with 8 of 11 MFHEA standards. Governance was fragmented between Malta and Kyiv campuses, with unclear leadership roles and poor policy implementation. Quality management lacked resources and integration, while teaching staff recruitment was informal, with insufficient performance evaluations.

Academic programs suffered from haphazard reviews, non-standardized assessments (e.g., revisions instead of re-sits, no external moderation), and breaches of in-person delivery mandates—many students studied online from Ukraine. Student support was inadequate: poor website navigation, unclear admission info, limited psychological services amid war trauma, and low retention rates. Research and international cooperation were underdeveloped, with ethical gaps and unverified placements abroad (e.g., medical training in Malaysia and Egypt).

Facilities met basic standards but needed upgrades for equity across campuses. The MFHEA board cited these systemic failures, particularly license condition breaches, as grounds for non-renewal on August 14, 2025. IEU had 20 days to appeal, but outcomes remain unresolved as of early 2026.

Student Plight: Heartbreak, Financial Ruin, and Uncertain Futures

Affected students, predominantly from Pakistan, Nigeria, Turkey, Bangladesh, and Cameroon, described devastation. Pakistani medical student Anas Khan lamented, “I feel so broken... my parents spent a lot of money.” Saif Ahmed, pursuing a master's in business management, sold property for €15,000, pleading, “Please do something... we are not doing any illegal activity.” Nigerian Magne Rosalie called four years wasted, while Turkish Emir Mazlum Ucar highlighted disrupted hospital training.

Practical challenges included campus lockouts preventing document retrieval, no certified transcripts for transfers, and inability to afford alternatives like the University of Malta (€26,000/year for non-EU medicine). Many faced depression, with psychological support overwhelmed. As of 2026, some transferred via scholarships from institutions like Knights College or Cross College Malta, but most returned home, careers derailed.

• Financial losses: €5,000–€15,000 per student in tuition alone.
• Visa limbo: 3-day appeal window, 30-day departure deadline.
• Educational disruption: 1–5 years of study invalidated.

Government and Stakeholder Responses: Calls for Accountability

Identità revoked permits citing invalid educational status, emphasizing student visas require recognized institutions. The General Workers' Union (GWU) intervened, negotiating extensions and document access. The Medical Association of Malta (MAM) demanded a public inquiry into licensing lapses, questioning how IEU operated without accreditation or facilities for medical programs. MFHEA faced backlash for ignoring complaints since 2023.

IEU promised appeals, transcripts, and online/Ukraine options, but directors vanished post-revocation. Education Minister Clifton Grima noted MFHEA's attentiveness but deferred refunds to civil courts. Cross College Malta and Knights College offered scholarships, providing pathways for some.

In Europe, the case underscores risks of lax private higher ed regulation, echoing Poland's probe and warnings for student recruitment scams.

Implications for Malta's Higher Education Landscape

Malta's international student numbers surged 27% to 8,252 by late 2025, driven by affordable English-taught programs. IEU's collapse damages this reputation, prompting tighter scrutiny. The University of Malta, hosting 1,700 internationals from 100+ countries, contrasts as a stable benchmark.

Broader EU context: Rising sham institutions exploit visa pathways, prompting calls for harmonized accreditation. Malta's MFHEA rejection from EQAR (European Quality Assurance Register) in 2025 amplified vulnerabilities.

Lessons Learned and Safeguards for Future Students

Prospective students must verify licenses via MFHEA's registry and EQAR compliance. Seek accredited programs with transparent refunds and placement verification. Malta's reforms include stricter audits and student protections.

• Check MFHEA registry for licensed providers.
• Prioritize established institutions like University of Malta.
• Use agents vetted by Education Malta.

Future Outlook: Rebuilding Trust in European Higher Education

By 2026, Malta advances regulatory reforms post-IEU, emphasizing quality. Affected students rebuild via transfers or home-country credits, but scars remain. This saga reinforces due diligence in international study choices, ensuring dreams aren't shattered by oversight gaps.

Photo by Alex Simpson on Unsplash