School denied me a full-time job opportunity

I am an international student who graduated this year from a highly ranked private business school. My school forced me to decline full-time job offer from an employer and accept an internship (that paid minimum wages) to maintain school’s relationship with another employer. I believe what my school did to me was unjust and has caused me huge financial loss. As I am international student I am not familiar with US laws and would appreciate any help in understanding if I have any case to recover my two years of lost income and my MBA fees from the school. Following are details:

Despite this tough job market I secured a full-time job offer from an institute tied to the school. This job was well paid and would have sponsored my visa. Offer was committed to me verbally by the chairmen of the institute after my final round interview. Because the offer was made from an institute tied to the school, chairman of the institute informed career services of the school about their decision to extend job offer to me. At this time career services blocked my offer stating that I had already accepted an internship offer for another company. Problem is that internship offer was not yet extended to me and I had final round of interview pending. After I showed the email to career services that stated the fact about pending interview, first they agreed with me and stated that I can accept the full-time job offer. At that point I called and informed the institute I can join them. Soon after I got another call from the career services that if I decline internship offer (that paid me minimum hour wages) it will impact relationship of school with the employer and they cannot let that happen. They asked me to make sacrifice for school and asked institute to withdraw offer made to me. Because I am international student, I cannot be unemployed in USA and hence was forced to join this internship.  Now I am six month out of my graduation and I still do not have job. I will, in most likely hood, have to go back to my home country and do what I was doing before MBA.

Something doesn't make sense and its dirty pool if it went off as you post--but pulling strings to get an offer pulled and induce you to take a different offer may not be illegal as such.

Now if you were a graduate of a leading MBA program I'd be suprised that you let them pull such a game even if you H-1 was the card in play!

Something doesn't right right--and I'm suprised a truly leading school would get into any such game.

But then again I went to a B school thats at top of many a list and I'd not bet the whole ranch against games--given that top schools play games as to admissions and overt price fixing as to aid packages they may play games as to exits.

The games I'm more familar with were designed to help students get better jobs--not lesser jobs!  And I know of some strong arm games to help students get better jobs.

"They asked me to make sacrifice for school and asked institute to withdraw offer made to me. "

You could have declined.

Thanks for the reply. I know this sound incredibly stupid thing to do for a school but the career services officer made a call that it is more important for them to establish relationship with this company for future batch of students. They told me that I can accept the full-time job and I did decline the internship offer. But representative (of other company that had offered me internship) called them and reminded the school that this will have negative impact on school’s relationship with the company. This changed the thought process of the career services. I think this was one of the moments when there was conflict of interest in their job responsibilities. It all happened in period of 24 hrs

Because full-time offer made to me was from an institute within the umbrella of our school, career services could convince institute to withdraw full-time offer in interest of the school. I had two options: Decline internship offer also and stay jobless (from visa perspective) or to accept internship. I chose the second option so that I can fulfill visa requirement and build some experience.

Thanks for the reply LynnM. 

Because full-time offer made to me was from an institute within the umbrella of our school, career services could convince institute to withdraw full-time offer in interest of the school. I had two options: Decline internship offer also and stay jobless (from visa perspective) or to accept internship. I chose the second option so that I can fulfill visa requirement and build some experience. But this does not change the fact that school did not let accept the job offer that I earned. I am not sure if this is just wrong or if this is illegal. Thats why I am seeking advice of expert like you.

Run it past a lawyer and see what they say.  It sounds like a typical Georgia Good Old Boy political conflict of interest.  The old "you scratch our back and we will scratch yours" game.  Whether you could win a legal case against the school is a whole different issue. 

Have you been back to the Career Services office and challenged them on this?  Have they provided any more job services to you?  Perhaps if you became quite assertive about this they might be proactive about finding you a position now.