 In March 1939, the Illinois state committee of the North Central Association, citing political interference and a lack of leadership, informed the school that it would be recommending that it lose accreditation, invalidating current and future student credits toward college admission.While preparing to defend itself against these charges, the board settled a lawsuit filed by fired superintendent Hrudka for the full amount of his remaining contract.An investigation by the North Central Association resulted in the school again being put on one year's notice to improve standards or risk losing accreditation.