November 27, 2012

For-Profit College Industry’s Phony Pitch to Obama: Now We’re BFFs!

The controversial for-profit college industry, threatened by the Obama’s Administration’s efforts to hold it accountable for a torrent of waste, fraud, and abuse at the expense of students and taxpayers, bet heavily on a Romney and GOP victory in 2012.  The industry, which gets $32 billion a year from taxpayers and whose biggest players get 86 percent of their revenues from federal funds, gave millions of that money to Republican candidates and Super PACs. This was on top of the tens of millions the industry has spent on lobbying, lawyering, and advertising to defeat the Obama reforms.

So, having bet …

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November 27, 2012

VIDEO: Rep. Shuler Said He Wouldn’t Become A Lobbyist; Now He Will

In July, then-Republic Report bloggers Lee Fang and Zaid Jilani taped an interview with Congressman Heath Shuler, Democrat of North Carolina. Shuler had announced he would retire from Congress at the end of the current session. Concerned about the revolving door culture and its corruption of our politics, our reporters asked Shuler whether he was planning to become a lobbyist after retiring. Shuler flatly told them no.

Yesterday, Duke Energy announced that it “has named Heath Shuler as senior vice president of federal affairs, effective Jan. 4, 2013…. Shuler will be based in Duke Energy’s Washington, D.C. office.” In other …

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November 15, 2012
Mitt Romney promised gifts worth billions of taxpayer dollars to for-profit colleges and banks.

Shocker: It Was Actually Romney Who Campaigned Bearing “Gifts”

Beneath the raw offensiveness of Mitt Romney’s statement to his donors that President Obama won by providing “gifts” to African-Americans, Latinos, and young people, is a layer of remarkable hypocrisy: It was actually Romney who was promising big giveaways of taxpayer money during the campaign. But instead of offering his gifts to actual people, Romney pledged to reward his favorite kinds of virtual people — corporations and banks.

I can offer two blatant examples, from the education field, where I do some work. Given Romney’s strong orientation toward crony capitalism – businesses that get rich off government programs – I’ll bet you …

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November 14, 2012
On the campaign trail, Mitt Romney praised overpriced for-profit colleges and promised to protect them from accountability. But he lost.

Without Romney To Shield Them, For-Profit Colleges Must Face Reality

Since last week’s election, the Fox News Channel has featured several corporate executives complaining about the results. But it’s likely that few are as upset as CEOs of the troubled for-profit college industry. This sector, which is deeply dependent on the federal government, bet heavily on a Republican victory.

Mitt Romney, who has a financial stake in the industry, went out of his way to praise for-profit colleges, and he pledged to undo Obama reforms aimed at holding these companies accountable for fraudulent practices and poor quality schools. Sparked by Romney’s apparent eagerness to let them off the …

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November 1, 2012
Todd Nelson, who has run both of America's two largest for-profit colleges, backs Mitt Romney.

Controversial For-Profit College Industry Using Your Tax Dollars To Support Romney Victory

Todd Nelson resigned as chief executive of Apollo Group, parent company of the University of Phoenix, in 2006, in the wake of two controversies that ended up in court.  In the first case, Apollo, the nation’s largest for-profit college business, paid $9.8 million in 2004 to settle a U.S. Department of Education complaint that it had engaged in systematic violations of rules regulating aggressive recruiting of students.  The second, less well known, was a case brought by the U.S. Equal Employment Opportunity Commission (EEOC), several months after Nelson left, charging that for years the University of Phoenix had discriminated against  employees …

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