Neutron CEO Tells Customers That Republic Report Stories Are False; Ex-Employees Disagree
While one for-profit college in Miami, called FastTrain, has just been sued by law enforcement for, among other things, allegedly hiring scantily-clad women to lure men to its admissions office (an allegation noted by Republic Report back in May 2012), another group of operators in Salt Lake City has been using a different scam — phony bait-and-switch websites —
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For-Profit College Marketer Thrived By Posting Fake Ads To Popular Job Sites
Neutron Interactive, a Salt Lake City-based business, regularly posted fake job listings on popular job websites including Monster.com and CareerBuilder.com for the purpose of tricking job-seekers into visiting its own websites, according to former Neutron employees. These Neutron Interactive websites, still operating today, also promise jobs, but in reality they usually offer none; their real purpose, say these former
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ECMC CEO Explains Deal To Buy Troubled Corinthian Campuses
Confirming rumors that have swirled for weeks, today ECMC Group announced it has reached an agreement to acquire 56 of the 107 campuses now owned by the crumbling, discredited Corinthian Colleges for-profit chain. A corporate filing from Corinthian says the purchase price is $24 million. I spoke with ECMC’s CEO Dave Hawn this morning to discuss. ECMC, a
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Still More Scam For-Profit College Websites – Linked to Dallas Mystery Man
I reported yesterday and this morning on scam websites that promise people help with jobs, food stamps, heat assistance, Medicaid — things that low-income and working Americans want — but the sites are really just fronts to get people’s phone numbers, so workers at a call center in Utah can pitch them on enrolling in
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More Scam Websites to Lure the Poor to For-Profit Colleges
Yesterday I reported on how a Utah-based company, Neutron Interactive, operated a website that promised jobs but was in reality a scam — it seemed to function mainly to send customer leads to at least one other company’s Salt Lake City call center, called EdSoup, whose only purpose, in turn, is to recruit people,
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Scam: Websites Promising Jobs And Medicaid Are Instead Bait for For-Profit College Telemarketers
A network of U.S. marketing companies run glossy websites promising jobs, health benefits, food stamps, and heating assistance, sites with names like localemploymentnetwork.org or medicaidinsurancebenefits.com. But according to former employees of a company connected to these operations, the real purpose of these sites is a classic bait-and-switch: to get low-income people, single mothers, veterans, and unemployed older people on the
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Entitled For-Profit Colleges File Meritless Suit to Block Obama Rule
On Thursday, November 6, the national trade association of for-profit colleges, APSCU, sued the Obama Administration in federal court in Washington DC to strike down the new 2014 “gainful employment” rule. The complaint repeats many of the claims from APSCU’s suit to strike down the 2011 gainful employment rule: that the U.S. Department of Education didn’t have the
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New gainful employment rule is weak, but predatory for-profit colleges remain on the ropes
The Obama Administration is releasing its “gainful employment” rule, aimed at curbing abuses by federally-funded career colleges, at 7 am Thursday. I can’t fully evaluate the rule without seeing its details. But I have obtained a press release and fact sheet provided by the Administration to the media and also spoken to Administration and other
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