March 17, 2016
gorelick

Top Democratic Lawyer Pushed Pentagon To End U. of Phoenix Suspension

Lawyer Jamie Gorelick, who served in the Bill Clinton Administration as general counsel of the Department of Defense and later as Deputy Attorney General, this year successfully pressed the Pentagon on behalf of the nation’s biggest for-profit college, the University of Phoenix, to lift a suspension of the school for alleged recruiting abuses directed at U.S. military service members.

The University of Phoenix, which has been getting $2 billion to nearly $4 billion a year in taxpayer funds, has a troubling record of spending too little on instruction, charging high prices, and leaving many students worse off than when they …

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March 8, 2016
Mark Boisclair Photography, Inc.

Arizona: For-Profit College Paradise?

 

As government regulators and law enforcement agencies in Washington and around the country have come to recognize that some of the biggest for-profit colleges have been deceiving and abusing students, and as media reports have exposed these abuses, and as many students have started to look elsewhere for their educations, at least one State — Arizona — seems to remain firmly in the political clutches of for-profit schools.

Arizona is not just the site of the only NFL stadium who naming rights are purchased by a for-profit college. It’s also where for-profit colleges, backed by sympathetic legislators, …

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March 4, 2016
University-Of-Phoenix

Wall St Journal Again Posts Anti-Student Op-Ed Without Disclosing For-Profit College Ties

The Wall Street Journal today published an op-ed arguing against providing broad student loan debt relief for people who were deceived by their colleges. The co-authors of the article, Jorge Klor de Alva and Mark Schneider, contend that such relief will be expensive — potentially more than $1 billion for students of now-shuttered for-profit Corinthian Colleges alone. They note that the U.S. Department of Education is considering not only issuing new debt relief rules and beefing up enforcement efforts against school misconduct, but also pondering new rules to allow the Department to recoup discharged loan costs from …

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March 3, 2016
trump

Romney & Rubio Attack Trump University, But Both Are Tied to Predatory Colleges

Mitt Romney will charge in a speech today, according to excerpts released in advance, that Donald Trump’s “promises are as worthless as a degree from Trump University.” Romney’s attack follows Marco Rubio’s recent hits on Trump’s unlicensed for-profit business “school”; at the last GOP debate, Rubio charged, “There are people that borrowed $36,000 to go to Trump University, and they’re suing him now. And you know what they got? They got to take a picture with a cardboard cutout of Donald Trump.”

But it is a testament to the long-standing political influence of the for-profit college industry that both …

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January 26, 2016
USEACEOs

Energy Lobbyists Gather, Blame Obama and the Pope

Last week, on the day after the National Oceanic and Atmospheric Administration reported that 2015 was by far the hottest year on record, the energy industry’s chief lobbyists gathered in a downtown Washington ballroom to tell each other that the real problem was not global warming, but rather efforts by the Obama Administration — and Pope Francis — to contain global warming.

The remarks of these lobbyists suggested that many of them live on a different planet, where climate change is not an urgent challenge but rather is the obsession of ideological malcontents.

The meeting, held annually, is sponsored by the United States Energy Association, …

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January 6, 2016
Steve-Gunderson-President-CEO-APSCU

Ex-Congressman Solicits $80,000 From For-Profit Colleges for Court Paper Aimed At Shielding Fraud

The Republican ex-congressman who now works as the chief lobbyist for the troubled for-profit college industry has ushered in the new year with an email asking for-profit college owners to finance a legal brief aimed at limiting the legal risk of companies in fraud cases.  The amount that Steve Gunderson, CEO of the industry trade group APSCU, says he needs to pay for the single, short brief he proposes to file with the U.S. Supreme Court? $80,000.

The email, obtained by Republic Report, opens with a hearty “Happy New Year!” greeting but then gets down to business, with Gunderson describing what’s at …

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November 30, 2015
EDMC

Congress On Verge of Big Gift to For-Profit College EDMC

After settling multiple law enforcement investigations this month on absurdly favorable terms, troubled for-profit college company Education Management Corp. (EDMC) may be on the verge of getting a sweetheart deal from Congress — a deal that could compound the harms that the company already has caused to students and taxpayers.

A provision in the highway bill conference agreement would amend the federal Trust Indenture Act in a way that could benefit retroactively two corporations that are facing potential bankruptcy — the casino giant Caesars Entertainment Corp. and EDMC, which operates the Art Institutes, Argosy University, Brown Mackie College, and …

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November 25, 2015
perezmug

Strip Mall For-Profit College Owners Locked Up; Wall Street Owners Walk Away

On Tuesday, a federal jury in Miami convicted Alejandro Amor, the owner of shut-down FastTrain College, of theft and conspiracy. Amor gained notoriety when it was disclosed that FastTrain, a for-profit college, used strippers to recruit students, but the offense for which he now faces a long prison sentence was enrolling, and cashing federal financial aid checks for, some 1,300 students who were ineligible because they lacked a high school degree. Before FastTrain was shut down by an FBI raid in 2012, it received, over five years, about $35 million in federal taxpayer-funded Pell grants and student loans. Federal prosecutors have acted to seize …

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