I guess Hskmdic, Rocky, and OldManDave have answered your questions, but to sum up what they have said:
a) NO STUDENTS HAVE BEEN DISMISSED - ignore the lawyer. He's just greedy, ill-informed, and propagating hysteria on the part of those who read these message boards and think "Oh goodness! Students are being kicked out of KCOM!"
b) NO STUDENTS HAVE BEEN DISMISSED BECAUES OF THIS "SITUATION"
c) NO STUDENTS HAVE BEEN DISMISSED BECAUES OF THIS "SITUATION"
Clear enough? CLear enough to you, too, Mr Lawyer Seth?