September 17, 2019

Warren Probes Private Equity Owners of For-Profit Colleges

Senator Elizabeth Warren (D-MA), joined by Rep. Mark Pocan (D-WI), has written to six U.S. private equity firms regarding their investments in for-profit colleges. In light of growing evidence that private equity-owned for-profit colleges are some of the worst actors in an industry rife with bad behavior, Warren and Pocan have asked the firms to
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September 10, 2019

Warren, Colleagues Ask Collapsed For-Profit ECA Not To Sell Student Debt to Collectors

Senator Elizabeth Warren (D-MA), Rep. Bobby Scott (R-VA), and other members of Congress have written to the collapsed for-profit college chain Education Corporation of America (ECA) and its court-appointed receiver asking that ECA not sell its outstanding student loan debt to a financial firm that would seek to collect payments from former students. The letter,
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September 9, 2019

Falwell, Trump’s Favorite College President, Pioneered the Scam Non-Profit College

When the head of fraudulent Trump University became President of the United States, he quickly anointed Jerry Falwell, Jr., as his favorite college president. The Liberty University head had endorsed Trump for the White House in January 2016. In return, at least according to Falwell, president-elect Trump offered to make Falwell his Secretary of Education.
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September 6, 2019

Trump-DeVos-Jones Rollbacks Allow Scam Artists to Rip Off Students & Taxpayers

One more thought on this week’s Capitol Forum report on abuses at Career Education Corp. under CEO Todd Nelson, last week’s FTC action against CEC, and treatment of for-profit colleges under Donald Trump and his education secretary, Betsy DeVos. Diane Auer Jones, the former CEC senior executive who is now DeVos’s top higher education aide,
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September 6, 2019

Report Highlights Decline In Quality at Troubled Career Education Corp.

A new report from the research firm Capitol Forum documents evidence that educational quality has declined significantly in recent years at the colleges operated by for-profit Career Education Corporation (CEC). The report relies on statistical analysis and also interviews with former CEC employees. When Todd Nelson became CEC’s CEO in 2015, the school already had
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September 3, 2019

Ex-Rep. Vin Weber Quits Lobby Firm over Ukraine; Still Faces ITT Tech Suit

Former congressman Vin Weber (R-MN) has quit his lobbying job at Mercury Public Affairs, saying the ongoing Ukraine influence-peddling probe, which has been examining the lobby work Weber did for Ukrainian interests, “has become a distraction” and he will “focus my time and energy on protecting my reputation.” That reputation, though, includes Weber’s long tenure
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September 3, 2019

Judge Says He Needs More Time to Decide CollegeAmerica Fraud Case

A Colorado state judge says he needs more time to rule in a fraud case that Colorado’s attorney general took to trial in late 2017 against the CollegeAmerica chain of career colleges. The case was brought by then-Colorado attorney general Cynthia Coffman, a Republican. CollegeAmerica called as its expert witness, to present evidence supporting the
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September 3, 2019

FTC Exposes Egregious Deceptions by, Then Slaps Wrist of, For-Profit College Where DeVos Aides Worked

We reported last month on the for-profit college operation Career Education Corporation’s (CEC) announcement it had reached a settlement with Federal Trade Commission staff of an investigation into deceptive practices by the company. Now the FTC has announced that it has approved that settlement.  Although the commission staff deserves credit for going after bad actor
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