For-Profit-Colleges

Trump Appoints Nicholas Kent, For-Profit College Insider, as Education Under Secretary

| Importance: 8/10

Nicholas Kent, formerly a policy officer at for-profit college association CECU, was sworn in as Under Secretary of Education, signaling potential deregulation and reduced oversight of higher education institutions. The Senate confirmed his nomination with a narrow 50-45 vote, amid concerns about …

Donald Trump Nicholas Kent Trump Administration corruption regulatory-capture education trump-administration for-profit-colleges
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University of Phoenix Enrollment Collapses 80% After Fraud Investigations - $191M FTC Settlement

| Importance: 7/10

The University of Phoenix’s enrollment collapsed from a peak of 470,000 students in 2010 to approximately 95,000 by fall 2018—an 80% decline—as federal and state investigations exposed systematic fraud including deceptive advertising that falsely promised job opportunities with major companies …

University of Phoenix Apollo Education Group Federal Trade Commission for-profit-colleges fraud student-debt university-of-phoenix
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Betsy DeVos Blocks Debt Relief for 200,000 Defrauded For-Profit College Students Despite Career Staff Recommendations

| Importance: 9/10

Education Secretary Betsy DeVos systematically blocked debt relief for over 200,000 students defrauded by for-profit colleges, overruling internal Education Department career staff who had recommended full loan forgiveness. Internal memos from the department’s Borrower Defense Unit dated …

Betsy DeVos U.S. Department of Education Corinthian Colleges ITT Technical Institute regulatory-capture predatory-lending education student-debt consumer-protection +1 more
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DeVos Freezes Borrower Defense Rule Protecting Defrauded Students - States Sue for Unlawful Delay

| Importance: 8/10

Education Secretary Betsy DeVos announced on June 14, 2017, that she would delay implementation of Obama-era “borrower defense to repayment” regulations scheduled to take effect on July 1, 2017—rules designed to help students defrauded by predatory colleges like Corinthian and ITT Tech …

Betsy DeVos Maura Healey regulatory-capture student-debt betsy-devos for-profit-colleges
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Corinthian Colleges Files Bankruptcy After Federal Crackdown on For-Profit College Fraud

| Importance: 9/10

Corinthian Colleges, one of the nation’s largest for-profit college chains with over 100 campuses, filed for bankruptcy after federal and state regulators exposed systematic fraud against students. The company aggressively recruited low-income students with false promises of high job placement …

Corinthian Colleges U.S. Department of Education Consumer Financial Protection Bureau (CFPB) Association of Private Sector Colleges and Universities (APSCU) predatory-lending education student-debt corporate-fraud regulatory-capture +1 more
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Federal Government Cuts Off Corinthian Colleges - 72,000 Students Trapped by Fraud

| Importance: 8/10

The U.S. Department of Education imposed a 21-day hold on all federal aid flowing to Corinthian Colleges on June 12, 2014, after the for-profit chain—operating as Everest College, WyoTech, and Heald College—refused to provide documentation substantiating falsified job placement rates. The action …

Department of Education Corinthian Colleges Arne Duncan for-profit-colleges student-debt fraud corinthian-colleges
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Senate Harkin Report Documents Massive Fraud and Abuse in For-Profit College Industry

| Importance: 8/10

On July 30, 2012, the Senate Health, Education, Labor, and Pensions (HELP) Committee released the Harkin Report, a devastating two-year investigation documenting systematic fraud, abuse, and taxpayer exploitation in the for-profit college industry. The 2,000-page report, based on subpoenaed …

Senator Tom Harkin Senate HELP Committee University of Phoenix Corinthian Colleges ITT Tech +3 more education for-profit-colleges fraud student-debt regulatory-failure +1 more
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GAO Investigation Exposes Systemic For-Profit College Fraud - Industry Takes 25% of Federal Aid

| Importance: 8/10

A Government Accountability Office investigation released on August 4, 2010, exposed systemic fraud and deceptive practices across the for-profit college industry, revealing that while these institutions enrolled only 10-12% of all higher education students, they received 25% of all federal …

Government Accountability Office (GAO) Tom Harkin for-profit-colleges student-debt fraud regulatory-capture
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Higher Education Act Reauthorization Loosens Regulations, Enables For-Profit College Explosion

| Importance: 7/10

On October 7, 1998, President Bill Clinton signed the Higher Education Amendments of 1998, a reauthorization of the Higher Education Act that loosened regulations on for-profit colleges and set the stage for the industry’s explosive growth over the following decade. The legislation represented …

President Bill Clinton Congress Apollo Group (University of Phoenix) Career Education Corporation Higher education lobbyists education for-profit-colleges student-debt regulatory-capture deregulation
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