Arthur Keiser, billionaire operator of three Florida-based career college chains, asserts in an article published this week, “There’s no evidence of misconduct” at his schools.
That claim, by one of the most powerful figures in the for-profit college industry, is demonstrably false.
In reality, there is extensive evidence of misconduct at schools owned or operated by Keiser.
Keiser University, the large career school for which Arthur Keiser serves as “Chancellor and CEO,” has settled investigations over alleged deceptive and predatory practices pursued by both the U.S. Department of Justice and Florida’s attorney general.
The Florida case, settled in 2012 by the state’s then-attorney general, Republican Pam Bondi, involved accusations by students that Keiser’s schools misled them regarding matters including costs of enrollment, accreditation, transferability of credits, and terms of student loans. Keiser’s schools admitted no wrongdoing, but agreed to provide some students with free job retraining and to comply with consumer protection provisions.
In the federal case, whistleblowers claimed that Keiser University violated the law prohibiting colleges from paying incentive compensation, or sales commissions, to admissions staff based on how many students they enrolled. The Justice Department intervened in the case and in 2015 settled with Keiser University, which again admitted no wrongdoing, for $335,000.
Also, in 2010, Keiser University fired three senior admissions...
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