Senators worry for-profit schools cheat vetsBy Rick Maze - Staff writer
Posted : Wednesday Aug 4, 2010 18:00:41 EDT
A congressional report about possible abuses of federal financial aid by for-profit colleges and universities has prompted two key senators to ask whether service members and veterans are really getting a quality education when they use GI Bill education benefits and military tuition assistance.The request for a review comes from Sens. Jim Webb, D-Va., the chief architect of the Post-9/11 GI Bill, and Dick Durbin, D-Ill., the Senate’s assistant Democratic leader.
A report by the Government Accountability Office, the investigative arm of Congress, found enrollment at for-profit colleges and universities has grown by 225 percent in the last decade — partly because the schools give extra attention to signing up service members and veterans, and offer perks like flexible schedules and distance learning that make them attractive to current and former service members.
An undercover investigation by the congressional investigators found fraudulent and deceptive marketing tactics at all 15 schools visited by GAO auditors.
“Our covert testing at 15 for-profit colleges found that four colleges encouraged fraudulent practices, such as encouraging students to submit false information about their financial status. In addition, all 15 colleges made some type of deceptive or otherwise questionable statement to undercover applicants, such as misrepresenting the applicant’s likely salary after graduation and not providing clear information about the college’s graduation rate,” GAO’s Gregory Kutz said in Wednesday testimony before the Senate Health, Education, Labor and Pensions Committee.