Tag Archives: GAO

Apollo Group Donates Big To Brown

University of Phoenix Image Provided by WikipediaA recent blog post in California Watch entitled Why for profit colleges gave big to Brown reports that Apollo Group, the Arizona based parent company of the University of Phoenix, gave more to Brown than to any other state office seeker in the country because of the potential profits in California and fear of strict regulation under the new governor.  So now, basically, Brown owes Apollo Group a favor meaning that California is less likely to pass enhanced regulations safeguarding students from the sales tactics used by Apollo Group.

Quoted from the University Echo Online, is the following on an investigation of 15 for-profit universities:

  • The United States Government Accountability Office Report said it investigated 15 for-profit universities to evaluate their practices and tuition rates.
  • The GAO found that four universities pushed applicants to falsify documents and all 15 lied to or misled recruits.
  • The report said violations ranged from financial affairs to improper advisement.
  • The GAO reported that one school told an undercover applicant not to report $250,000 in savings to earn more financial aid.
  • Another recruiter told an applicant that no one would ask for repayment on a student loan, reported the GAO.
  • According to the report, advisors commonly shared exaggerated post-graduation career salaries with students, understated tuition to them and school officials reported false graduation rates to education authorities.
  • Senator Tom Harkin, a democrat from Iowa, led the effort to investigate for-profit universities in a hearing committee to discuss his "Debt without a Diploma" report.

With California’s education system ranking in at 49 out of 50, Brown has ensured that not only will California students be educationally disadvantaged, but economically disadvantaged as well.  Gov. Brown is off to an excellent term he hasn’t even begun.

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