The voluntary administrators of eight English language schools say that the schools will not reopen because of the financial situation.
Justin Walsh and Adam Nikitins of Ernst & Young say they are working with the federal department of education and state government departments to find arrangements for the 2300 international students.
The administrators were continuing to investigate the nine companies operating under the GEOS name and hope to provide a further update on Wednesday, Ernst & Young said in a statement on Monday.
“We’ve very quickly worked through the options to keep the schools open, but were unable to do so,” Mr Walsh said.
“That included speaking with the Japanese parent.”
GEOS, which had schools in Melbourne, Adelaide, Sydney, Cairns, Gold Coast, Perth and Brisbane, is the local subsidiary of the Tokyo-based language teaching company of the same name.
“Funds weren’t forthcoming” from GEOS, Mr Walsh said.
GEOS’s media relations manager was not immediately available for comment.
The students, from 20 different countries including Brazil, Colombia, South Korea and Turkey, and 390 employees were being informed at meetings on Monday afternoon.
“We’re working with federal government to minimise the impact on the students,” Mr Walsh said.