Document:

Citizens for Responsibility and Ethics in Washington, 3/1/11

Summary:

CREW wrote Duncan to follow-up their January 19, 2011 request for an investigation into the role played by hedge fund managers and other outside interest in the formulation of regulations. CREW included a large number of emails provided by the Department in response to a FOIA request. These emails include evidence of collusion between senior Department officials and short sellers including a planned leak of the proposed gainful employment regulations in July 2010.

Posted
AuthorKeith Blakeman

Document:

Citizens for Responsibility and Ethics in Washington, 3/1/11

Summary:

CREW's letter to Robert Khuzami of the Security and Exchange Commission's Division of Enforcement builds on their February 9, 2011 request for an investigation into "whether certain hedge fund managers have been illegally manipulating the market price of stock in the for-profit education industry."

This letter includes a large number of email messages between short sellers and the Department of Education provided by the Department as part of a FOIA request.

Posted
AuthorKeith Blakeman

Document:

Association of Private Sector Colleges and Universities, 2/25/11

Summary:

Legal request for a summary judgement stopping the proposed regulations in three areas: incentive compensation, misrepresentation, and state authorization. The motion states, "In defiance of the law, the Department has unjustifiably and unreasonably abandoned the current regulatory scheme and contravened the express terms of the statute enacted by Congress." The document is a well-argued presentation of opposition to the regulations.

Posted
AuthorKeith Blakeman
CategoriesLegal Actions

Document:

Coalition for Educational Success, February 2011

Summary:

Link to the site where the Coaltion posted documents it received from the Department of Education pursuant to two FOIA requests. The documents focus on the development of the gainful employment regulations and reveal the participation of short-sellers in the process from the beginning.

The Coalition announced they were releasing the documents on February 23, 2011.

Posted
AuthorKeith Blakeman

Document:

Bridegpoint Education, Inc., 2/9/11

Summary:

In an SEC filing, Bridgepoint revealed that the Iowa Attorney General's office notified Ashford University of its "investigation ofwhether certain of the university’s business practices comply with Iowa consumer laws. Pursuant to the CID, the AttorneyGeneral has requested documents and detailed information for the time period January 1, 2008 to present."

 

Posted
AuthorKeith Blakeman
CategoriesLegal Actions

Document:

Citizens for Responsibility and Ethics in Washington, 2/9/11

Summary:

This letter to Robert Khuzami, Director of the Division of Enforcment at the Securities and Exchange Commission asks for an investigation "into the short-selling activities of hedge fund managers to determine if they have been illegally manipulating the market price of stock in the for-profit education industry." CREW bases its request on evidence collected from the public record (mainly the HELP Committee hearings) and documents obtained under the FOIA from the Department of Education. CREW forwarded several of the documents they obtained as exibits to this letter.

Posted
AuthorKeith Blakeman

Document:

Coalition for Educational Success, February 2011

Summary:

The lawsuit argues "As a result of the GAO’s intentionally biased and negligently conducted investigation, the GAO’s August and Revised Reports contained inaccurate, incomplete and out of-context information, and drew unsubstantiated, erroneous and unfair conclusions – all of which were to the detriment of the career colleges." 

 

Posted
AuthorKeith Blakeman
CategoriesLegal Actions

Document:

Association of Private Sector Colleges and Universities, 1/21/11

Summary:

"This lawsuit challenges three of the Department's regulations that are particularly harmful to students, school employees and schools and that are well beyond the Department's regulatory authority under the Higher Education Act ('HEA') and, in some cases, the Constitution." These regulations include: compensation, misrepresentation, and state authorization. The APSCU sent a letter requesting a voluntary stay of the regulations scheduled to take effect July 1, 2011 or requesting an injunction.

The APSCU issued a press release explaining the action on January 21st.

Posted
AuthorKeith Blakeman

Document:

Coalition for Educational Success, Jenner & Block, 1/18/11

Summary:

Letter to the Department of Justice refusing to forfeit the right to receive documents from the Department of Education. This is the latest battle in the FOIA request to which the Department of Education was required to respond on November 26, 2010. The Department has not responded to date.

Posted
AuthorKeith Blakeman

Document:

Citizens for Responsibility and Ethics in Washington, 1/19/11

Summary:

Blog post by Watchdog group CREW announcing their letter to Education Secretary Arne Duncan demanding an investigation into the role played by "hedge fund managers and outside interest groups" in the formulation of recent regulations targeting the for-profit sector. "CREW sought emails and other records regarding interactions between Education officials and Wall Street investors." CREW sued for the documents after Education refused to share and these documents form the basis of their allegations.

Posted
AuthorKeith Blakeman

Document:

Chicago Tribune, 1/10/11

Summary:

The Coalition of Educational Success, an organization that includes career colleges as members sued the US Department of Education over the use of a GAO report released in August 2010 and updated November 30, 2010. "Suspecting that errors and biases still permeate the revised report, the coalition sued the DOE in U.S. District Court in Washington, accusing the department of 'wrongfully withholding records by failing to respond to a Freedom of Information Act request.' The original FOIA request, filed Oct. 15, sought documents, including tapes, videos and notes related to the GAO report, according to the lawsuit."

Posted
AuthorKeith Blakeman

Document:

Department of Education, Office of Inspector General, December 2010

Summary:

This Final Inspection Report concludes the OIG investigation of "whether the Department violated 18 U.S.C. § 1913 (Section 1913) by improperly using appropriated funds for lobbying activities related to pending amendments to the Higher Education Act of 1965." The report cleared the Department based on guidance on the regulations from the Department of Justice and the Government Accountability Office.

Posted
AuthorKeith Blakeman

Document:

KENS5.com, 12/31/10

Summary:

Link to local news coverage of action by the Texas Workforce Commission that placed Westwood College on probation in that state and fined the institution $41,000. Everest agreed to comply with the probationary conditions. "The agreement cited marketing and recruiting-related violations, failure to comply with applicable Texas law, and failure to inform TWC of significant business developments such as legal action against the school and change of ownership."

Posted
AuthorKeith Blakeman