London Metropolitan University has announced it is to launch legal action against the UK Border Agency's (UKBA) decision to revoke its licence to sponsor international students, vowing to "defend its reputation".
The Government revoked London Met's highly-trusted status for sponsoring international students last week after it found more than a quarter of a sample of students studying at the university did not have permission to stay in the UK.
Immigration minister Damian Green said a "significant proportion" did not have good English and there was no proof that half of those sampled were turning up to lectures.
London Met said in a statement: "Working with its advisers, the university has conducted a thorough review of UKBA's 'evidence', and in the strongest possible terms challenges the outcome.
"London Met appreciates that as the first UK University to be placed in this position it has a duty to the sector to try and bring an end to the damage arising from UKBA's decision."
The institution said that there was "no evidence of systemic failings" at the university, and that the evidence it had given to UKBA shows it was taking every reasonable measure to be compliant with their rules.
It also said it had been conducting checks on its international students, specifically in relation to English language and their educational ability and to check that they are legally entitled to do study at the institution.
Up to 2,600 foreign students have been affected by the decision and have until December 1 to either find an alternative course or arrange to leave the UK.