Yeah I've heard that before, and I think it's definitely a bi-product that some unis enjoy.
The main reason, though, is marketing. They think that students want to BIT and not BSc majoring in IT; BPsych and not a BSc/BA in psych; BMedia and not a BA in media; etc etc.
Same thought here buddy. I need to write up a comprehensive lise of questions and make a few phone calls soon. Applications opening in Aug.
And thanks.