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U.S. Government to Join in Whistle-Blower Lawsuit Against For-Profit College

May 2, 2011, 3:00 pm

In a rare move, the U.S. Department of Justice will join in a whistle-blower lawsuit brought by a former employee of a college owned by the Education Management Corporation, which is accused of illegally obtaining federal student aid by paying its admissions recruiters commissions based on the number of students they enrolled. The company, which operates Argosy University, South University, Brown Mackie Colleges, and the Art Institutes, also disclosed on Monday that it expected several states to join the lawsuit as well. According to Bloomberg News, the suit, which is still under court seal in Pittsburgh, is different from another whistle-blower suit filed against the company by a former South University employee.

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  • deanette

    I’ll get the book but if it’s not as good as you promise, you might have to buy back my copy.

  • http://www.facebook.com/profile.php?id=100000782861571 Sandra Lee

    Congratulations, Andre! Looking forward to the read, and to seeing you soon. :-)

  • kaitlinwalsh

    I’d probably want the app to be able to be able to tell me where I could find a printer. Everyone seems to need a printer while at a conference, for everything from printing a copy of your presentation to printing off plane tickets from online checkin on the way home.

  • http://alexreid.typepad.com digitaldigs

    I already have apps/sites that I use for exercise (daily mile), dining (urban spoon, yelp), finding my way around (gmaps), and of course social networking. I wouldn’t be inclined to abandon those apps just for the conference. However, a conference site might find a way to integrate such apps, or at least allow people to share their data if they elected. For example, a custom google map with information about restaurants and other places of interest.

    Perhaps a Ning or drupal-like site where attendees could create user pages would be useful. Presentations could be uploaded, and so on. Of course that would create additional responsibilities for conferences, including potentially archiving all that data. Instead, I would go for some kind of minimal user profile where attendees could share their data from other sites.

    I would be interested in a mobile version of the conference sessions that would allow me to select and share the sessions I planned to attend. An attached comment forum could also be cool, particularly if one could also push comments to twitter or facebook, like one can with Disqus.

  • http://about.me/dittman dittman

    While I like Lanyard, I’ve been using Storify for a month or so and think that it (once it’s a little more widely used) will be a perfect tool for telling the story of the conference. I’d also like to see conference organizers (especially those at smaller conferences) more actively promote tools like the ones under discussion.

  • http://yendi.livejournal.com Adam Lipkin

    Did anyone mention Conventionist? Academic conferences are, structurally, not much different from genre conventions, and that app pretty much has most of the really useful features.

  • http://www.facebook.com/profile.php?id=1369530868 Leah MacVie

    I’ve been looking at: http://sched.org/ It seems pretty reasonably priced and fairly easy to use.

  • disembedded

    Good!

  • mikpap

    Politics at its best.

  • bhwilcox

    Getting the government on your side when you are facing a tough fight in court is a time honored technique in American business, and Kaplan and the for profit industry is no stranger to it. The usual approach is to equate the threat to Kaplan or the for profit industry with injury to society ,(i.e. Americans are uneducated and need college degrees), then exaggerate the magnitude of the problem beyond recognition ,( i.e. If we don’t educate every american we will loose control as a world power) and then claim Kaplan has the answer in online education paid for by student loans. This rhetorical strategy makes it seem as if America is hanging on by a thread to its status as world economic power . All will be lost if it is not already , unless legislation is enacted to protect this altruistic industry and provide a college degree to everyone in America at tax payer expense.

    The real problem ignored by the DOE is the conflict of interest between Kaplan, the for profit industry, elected officials, and the taxpayers. when the for profit industry is in trouble it has every incentive to use the political process to improve its chances of survival. Elected officials who see an opportunity to extract political contributions and other favors often are eager to help. Regulators at the DOE and accrediting bodies like the HLC are also willing participants insuring survival of the industry because their current positions and future ability to market themselves to the private sector are enhanced in this process. Elected officials and regulators know that there is a good chance the problem will get worse, but they don’t care . By the time the industries problems become to visible to be ignored and the student loan debt crisis hits they will be long gone and a new generation of elected officials and regulators in place. And for this new generation the “crisis” will present additional opportunities to search for scape goats like Ben Wilcox and rescue the industry. These efforts are then used to convince tax payers who are left to pay the bill, that the government is on their side and something is being done to bring the guilty like Kaplan University to justice.

    The message is clear , don’t be a whistleblower, if you do the FBI will come and silence you. We must put an end to FBI and political repression in this county. For too long the FBI and big business have used their power and influence to silence people who expose the crimes of big business.

    The for profit education industry in the United States is a highly sophisticated, diversified, activity that annually drains billions of dollars from Americas economy by unlawful conduct.

    The question is, should the U.S. taxpayer continue to subsidize the for profit education industry and government backed student loans when so much fraud goes unchecked by the courts?

    The case against me was nothing more than retaliation by Kaplan University against a whistleblower that caught them defrauding their students and the tax payers out of over a billion dollars in a student loan scam.

    The main lesson here is the need to be vigilant to guard against the arbitrary exercise of power by the government against whistleblowers when they threaten the economic establishment of big business.

    I just pray that the lord Jesus Christ will allow this to encourage Judge Patricia Seitz in Miami to use the evidence I produced to dispense justice for the US tax payers and students who have been defrauded out of hundreds of millions of dollars by Kaplan College and The Washington Post criminal enterprise.

    I will continue to cooperate with the OIG and Department of Justice to recover the millions stolen by Kaplan University from its students and the US tax payers.

    Ben Wilcox J.D.
    Former Vice President for Academics
    Argosy University Honolulu Hawaii
    Former Dean of Faculty
    Career Education Corporation
    Chicago Illinois
    Former Dean of Extended campuses
    Kaplan University
    Fort Lauderdale Florida

  • canary

    Mr. Wilcox,

    I have never voluntarily dealt with Kaplan in any capacity. They may want my money, but they cannot initiate force against me to get it. The government, on the other hand, can and has threatened force to collect my tax dollars and then apparently given a portion of that to Kaplan.

    Who again, is doing the stealing here?

    Don’t get me wrong, big business, of any stripe, tries to pull shenanigans daily that the free market will not tolerate. Unfortunately for us, they have a willing accomplice in government.

  • willynilly

    Suggestion To The Business Community: Increase immediately, the production of loud whistles. Very shortly there will be a huge run on the sale of these items, when more employees or former employees of our Sham For-Profit Educational System see that it is safe to both blow a whistle and save students from unscrupulous profiteers at the same time..