Washington, DC - After analyzing several years of job placement rates reported by Corinthian College's Wyotech and Everest programs, along with evidence provided by California Attorney General Kamala Harris, the U.S. Department of Education is announcing the results from the joint investigation which concluded the programs misrepresented their placement rates to enrolled and prospective students.
The findings from this investigation apply to Everest and Wyotech locations in California, as well as Everest University online programs based in Florida, and add to the existing findings concerning programs at Heald College – which were also a part of the joint investigation with Attorney General Harris's office.
"I commend Attorney General Kamala Harris and her team for their collaboration with our team to help defrauded Corinthian students receive the relief they are entitled to," said U.S. Secretary of Education Arne Duncan. "The results of our joint investigation will allow us to get relief to more students, more efficiently. Helping wronged students is much easier when everyone – Congress, state attorneys general, accreditors, authorizers and the Department – does their part to protect students and works together. Our team welcomes help from anyone who wants to follow her lead."
The Department's findings apply to Corinthian campuses that served approximately 85,000 Wyotech and Everest students. Earlier this year, the Department created an expedited debt relief process for Heald students who attended programs with misstated placement rates. The Department will refer these findings to Joseph Smith, the special master in charge of borrower defense, who will work to make these findings actionable under the borrower defense process. In the meantime, the Department's investigation of the Corinthian schools will continue.
"Corinthian preyed on vulnerable students who are now buried under mountains of student debt," said Attorney General Harris. "Today's joint investigation findings will expand the pool of Corinthian students eligible for streamlined student loan relief options, helping them rebuild their lives and pursue a brighter future. I thank the Department of Education for joining my office to keep Corinthian accountable for their actions and providing debt relief to students who were misled."
Holding Corinthian Colleges Accountable
In August 2012, after receiving of complaints about Corinthian's placement rates and other compliance issues, the Office of Federal Student Aid placed all eligibility actions involving mergers, adding new programs, locations or to increase scope of Title IV participation for the institution on hold.
In 2013, Attorney General Harris filed a lawsuit against Corinthian Colleges, Inc. for false advertising and deceptive marketing targeting vulnerable, low-income students and misrepresenting job placement rates to potential and current students, investors and accrediting agencies.
In January 2014, the Department placed Corinthian on heightened cash monitoring after it repeatedly failed to comply with federal regulations. Since day one, the Department has acted to hold Corinthian accountable and ensured students pursuing their education had the opportunity to pursue their career and educational goals with minimal disruption.
In addition to placing the company on heightened cash management, the Department also required the company to sell or close all of its programs, keep students informed of their options and establishing an independent monitor to oversee the company's wind down.
The majority of Corinthian's campuses were purchased by the nonprofit Zenith Education Group, which voluntarily agreed to implement a series of conduct provisions, which included the hiring of an independent monitor to ensure the program operates up to the Department's standards, an across the board tuition cut, and the elimination of poor-performing programs.
In February 2015, the Consumer Financial Protection Bureau (CFPB) and the Department secured more than $480 million in forgiveness for borrowers who took out Corinthian College's high-cost private student loans. In April 2015, shortly after receiving a $30 million fine for misrepresentation its job placement rates for the Heald brand, Corinthian announced that it permanently shutting down.
Actions Taken To Protect Students From Abusive For-Profits
Despite Congress' pushback against holding for-profit institutions and career colleges accountable, the Department has taken unprecedented steps to protect students and provide them with opportunities for a high-quality, affordable education that prepares them for their careers, including:
- creating Gainful Employment rules to protect students and taxpayers and ensure students receive an education that leads to good job prospects;
- strengthening oversight and compliance through inter-agency and Department teams focused on monitoring for-profit institutions;
- announcing a negotiated rulemaking committee to improve the current borrower defense regulation, which will commence in January 2016 ;
- protecting military service members, veterans, and their families from predatory actions by for-profit colleges by strengthening the 90/10 rule;
- announcing executive actions and legislative proposals to strengthen its oversight of schools and accreditors.
Debt Relief Process for Former Corinthian Students
Following the June 2015 announcement from the Department of Education that groups of students who attended Heald Colleges, a subsidiary of Corinthian Colleges, Inc., would be eligible for a streamlined form of student loan relief, Attorney General Harris announced a tool to help former Corinthian students in California.
Former Corinthian students can learn more about debt relief by visiting http://oag.ca.gov/corinthian and www.studentaid.gov/Corinthian.
Recalculated Placement Rates for Everest University Online Programs
| Brand Name | Campus Name | Program | Date CCI Published Placement Rate | Placement RateCCI Provided to Students | Recalculated Placement Rate | Difference between what CCI Told Students and Recalculated Rate |
|---|---|---|---|---|---|---|
| Everest University | Brandon | Accounting (Associate) | 7/1/2010[1] | 92% | 12% | -80% |
| Everest University | Brandon | Accounting (Bachelor) | 7/1/2010[1] | 83% | 72% | -11% |
| Everest University | Brandon | Business (Associate) | 7/1/2010[1] | 95% | 14% | -81% |
| Everest University | Brandon | Business Administration (Master) | 7/1/2010[1] | 93% | 87% | -6% |
| Everest University | Brandon | Computer Information Science (Associate) | 7/1/2010[1] | 71% | 8% | -64% |
| Everest University | Brandon | Criminal Justice (Associate) | 7/1/2010[1] | 61% | 7% | -55% |
| Everest University | Brandon | Criminal Justice (Bachelor) | 7/1/2010[1] | 73% | 14% | -59% |
| Everest College | Brandon | Medical Assistant (Associate) | 7/1/2010[1] | 63% | 4% | -59% |
| Everest University | Orlando South | Business Administration (Associate) | 7/1/2010[1] | 98% | 85% | -13% |
| Everest University | Orlando South | Massage Therapy (Diploma) | 7/1/2010[1] | 44% | 30% | -14% |
| Everest University | Orlando South | Paralegal (Associate) | 7/1/2010[1] | 64% | 50% | -14% |
| Everest University | Pompano Beach | Accounting (Bachelor) | 7/1/2010[1] | 100% | 90% | -10% |
| Everest University | Pompano Beach | Business Administration (Master) | 7/1/2010[1] | 100% | 93% | -8% |
| Everest University | Pompano Beach | Criminal Justice (Bachelor) | 7/1/2010[1] | 63% | 50% | -13% |
| Everest University | Pompano Beach | Medical Assistant (Diploma) | 7/1/2010[1] | 68% | 41% | -27% |
| Everest University | Orlando South | Accounting (Associate) | 7/1/2011[2] | 77% | 53% | -24% |
| Everest University | Orlando South | Business (Bachelor) | 7/1/2011[2] | 92% | 84% | -8% |
| Everest University | Orlando South | Business Administration (Master) | 7/1/2011[2] | 92% | 74% | -18% |
| Everest University | Orlando South | Criminal Investigations (Associate) | 7/1/2011[2] | 29% | 26% | -3% |
| Everest University | Orlando South | Criminal Justice (Associate) | 7/1/2011[2] | 65% | 59% | -6% |
| Everest University | Orlando South | Homeland Security (Bachelor) | 7/1/2011[2] | 63% | 50% | -13% |
| Everest University | Orlando South | Massage Therapy (Diploma) | 7/1/2011[2] | 43% | 28% | -15% |
| Everest University | Orlando South | Medical Insurance Billing and Coding (Associate) | 7/1/2011[2] | 46% | 43% | -2% |
| Everest University | Orlando South | Paralegal (Associate) | 7/1/2011[2] | 46% | 44% | -3% |
| Everest University | Orlando South | Paralegal (Bachelor) | 7/1/2011[2] | 61% | 56% | -6% |
| Everest University | Pompano Beach | Business Administration (Master) | 7/1/2011[2] | 100% | 94% | -6% |
| Everest University | Pompano Beach | Computer Information Science (Associate) | 7/1/2011[2] | 67% | 56% | -11% |
| Everest University | Pompano Beach | Criminal Justice (Bachelor) | 7/1/2011[2] | 69% | 58% | -10% |
| Everest University | Pompano Beach | Criminal Justice (Master) | 7/1/2011[2] | 82% | 76% | -6% |
| Everest University | Pompano Beach | Pharmacy Technician (Diploma) | 7/1/2011[2] | 30% | 25% | -6% |
| Everest University | Orlando South | Accounting (Bachelor) | 7/1/202[3] | 80% | 74% | -6% |
| Everest University | Orlando South | Applied Management (Bachelor) | 7/1/202[3] | 100% | 86% | -14% |
| Everest University | Orlando South | Business (Associate) | 7/1/202[3] | 85% | 77% | -8% |
| Everest University | Orlando South | Business Administration (Master) | 7/1/202[3] | 83% | 78% | -4% |
| Everest University | Orlando South | Criminal Investigations (Associate) | 7/1/202[3] | 37% | 30% | -6% |
| Everest University | Orlando South | Criminal Justice (Associate) | 7/1/202[3] | 57% | 47% | -10% |
| Everest University | Orlando South | Criminal Justice (Bachelor) | 7/1/202[3] | 76% | 61% | -15% |
| Everest University | Orlando South | Homeland Security (Bachelor) | 7/1/202[3] | 65% | 59% | -6% |
| Everest University | Orlando South | Medical Assistant (Diploma) | 7/1/202[3] | 67% | 63% | -3% |
| Everest University | Orlando South | Paralegal (Associate) | 7/1/202[3] | 45% | 41% | -4% |
| Everest University | Pompano Beach | Business (Bachelor) | 7/1/202[3] | 94% | 80% | -14% |
| Everest University | Pompano Beach | Business Administration (Master) | 7/1/202[3] | 100% | 69% | -31% |
| Everest University | Brandon | Accounting (Associate) | Web-based[4] | 74% | 71% | -3% |
| Everest University | Brandon | Accounting (Bachelor) | Web-based[4] | 71% | 50% | -21% |
| Everest University | Brandon | Business (Associate) | Web-based[4] | 77% | 75% | -2% |
| Everest University | Brandon | Business (Bachelor) | Web-based[4] | 88% | 84% | -4% |
| Everest University | Brandon | Business Administration (Master) | Web-based[4] | 85% | 81% | -4% |
| Everest University | Brandon | Computer Information Science (Associate) | Web-based[4] | 62% | 13% | -49% |
| Everest University | Brandon | Computer Information Science (Bachelor) | Web-based[4] | 73% | 13% | -60% |
| Everest University | Brandon | Criminal Justice (Associate) | Web-based[4] | 50% | 14% | -36% |
| Everest University | Brandon | Criminal Justice (Bachelor) | Web-based[4] | 63% | 18% | -45% |
| Everest University | Brandon | Paralegal (Associate) | Web-based[4] | 59% | 3% | -56% |
| Everest University | Brandon | Paralegal (Bachelor) | Web-based[4] | 61% | 3% | -58% |
| Everest University | Pompano Beach | Business Administration (Master) | Web-based[4] | 81% | 73% | -8% |
[1] "2010 Annual Placement Disclosures"
[2] PIR disclosures with effective date of July 1, 2011
[3] PIR disclosures with effective date of July 1, 2012
[4] Web-based Disclosures
Recalculated Placement Rates for Brick and Mortar Everest and WyoTech Campuses Located in California
| Brand Name | Campus Name | Program | Date CCI Published Placement Rate | Placement RateCCI Provided to Students | Recalculated Placement Rate | Difference between what CCI Told Students and Recalculated Rate |
|---|---|---|---|---|---|---|
| Everest College | Alhambra | Business Operations (Diploma) | 7/1/2010[1] | 84% | 68% | -16% |
| Everest College | Alhambra | Dental Assistant (Diploma) | 7/1/2010[1] | 85% | 71% | -14% |
| Everest College | Alhambra | Massage Therapy (Diploma) | 7/1/2010[1] | 92% | 88% | -5% |
| Everest College | Alhambra | Medical Administrative Assistant (Diploma) | 7/1/2010[1] | 80% | 74% | -6% |
| Everest College | Alhambra | Medical Assistant (Diploma) | 7/1/2010[1] | 79% | 74% | -5% |
| Everest College | Alhambra | Medical Insurance Billing and Coding (Diploma) | 7/1/2010[1] | 78% | 73% | -5% |
| Everest College | Alhambra | Pharmacy Technician (Diploma) | 7/1/2010[1] | 73% | 65% | -8% |
| Everest College | Anaheim | Dental Assistant (Diploma)_Evening | 7/1/2010[1] | 88% | 76% | -12% |
| Everest College | Anaheim | Massage Therapy (Diploma)_Day | 7/1/2010[1] | 95% | 92% | -3% |
| Everest College | Anaheim | Massage Therapy (Diploma)_Evening | 7/1/2010[1] | 95% | 93% | -2% |
| Everest College | Anaheim | Medical Assistant (Diploma)_Day | 7/1/2010[1] | 83% | 73% | -10% |
| Everest College | Anaheim | Medical Assistant (Diploma)_Evening | 7/1/2010[1] | 84% | 72% | -12% |
| Everest College | Anaheim | Medical Insurance Billing and Coding (Diploma)_Evening | 7/1/2010[1] | 82% | 62% | -20% |
| Everest College | City of Industry | Business Management/ Administrative Assistant (Diploma) | 7/1/2010[1] | 88% | 70% | -18% |
| Everest College | City of Industry | Dental Assistant (Diploma)_10 | 7/1/2010[1] | 100% | 75% | -25% |
| Everest College | City of Industry | Dental Assistant (Diploma)_8 | 7/1/2010[1] | 88% | 74% | -14% |
| Everest College | City of Industry | Massage Therapy (Diploma)_11 | 7/1/2010[1] | 93% | 90% | -3% |
| Everest College | City of Industry | Massage Therapy (Diploma)_9 | 7/1/2010[1] | 97% | 79% | -18% |
| Everest College | City of Industry | Medical Assistant (Diploma)_8 | 7/1/2010[1] | 75% | 69% | -6% |
| Everest College | City of Industry | Medical Insurance Billing and Coding (Diploma) | 7/1/2010[1] | 72% | 53% | -19% |
| Everest College | City of Industry | Pharmacy Technician (Diploma)_8 | 7/1/2010[1] | 69% | 61% | -8% |
| Everest College | Everest Hayward | Massage Therapy (Diploma) | 7/1/2010[1] | 61% | 50% | -11% |
| Everest College | Everest Hayward | Medical Administrative Assistant (Diploma) | 7/1/2010[1] | 59% | 55% | -4% |
| Everest College | Everest Hayward | Medical Assistant (Diploma) | 7/1/2010[1] | 50% | 45% | -5% |
| Everest College | Everest Hayward | Medical Insurance Billing and Coding (Diploma)_Day | 7/1/2010[1] | 48% | 45% | -3% |
| Everest College | Everest San Francisco | Dental Assistant (Diploma)_8 | 7/1/2010[1] | 91% | 82% | -9% |
| Everest College | Everest San Francisco | Massage Therapy (Diploma) | 7/1/2010[1] | 73% | 65% | -8% |
| Everest College | Everest San Francisco | Medical Assistant (Diploma)_10 | 7/1/2010[1] | 71% | 67% | -4% |
| Everest College | Everest San Francisco | Medical Assistant (Diploma)_8 | 7/1/2010[1] | 75% | 69% | -6% |
| Everest College | Everest San Francisco | Pharmacy Technician (Diploma)_10 | 7/1/2010[1] | 86% | 71% | -15% |
| Everest College | Everest San Francisco | Pharmacy Technician (Diploma)_8 | 7/1/2010[1] | 72% | 67% | -5% |
| Everest College | Everest San Jose | Dental Assistant (Diploma) | 7/1/2010[1] | 90% | 84% | -6% |
| Everest College | Everest San Jose | Massage Therapy (Diploma) | 7/1/2010[1] | 100% | 87% | -13% |
| Everest College | Everest San Jose | Medical Administrative Assistant (Diploma) | 7/1/2010[1] | 81% | 75% | -6% |
| Everest College | Everest San Jose | Medical Assistant (Diploma) | 7/1/2010[1] | 74% | 62% | -12% |
| WyoTech | Fremont | Applied Automotive Technology - Advanced Diagnostics Concentration (Diploma) | 7/1/2010[1] | 80% | 76% | -4% |
| WyoTech | Fremont | Applied Automotive Technology (Diploma) | 7/1/2010[1] | 81% | 71% | -10% |
| WyoTech | Fremont | Automotive Technology/ Concentration in Automotive Diagnostics (Associate) | 7/1/2010[1] | 97% | 83% | -14% |
| WyoTech | Fremont | Motorcycle Technician (Diploma)_11 | 7/1/2010[1] | 71% | 69% | -2% |
| WyoTech | Fremont | Motorcycle Technology (Diploma)_17 | 7/1/2010[1] | 75% | 71% | -4% |
| WyoTech | Fremont | Plumbing Technology (Diploma) | 7/1/2010[1] | 76% | 73% | -3% |
| Everest College | Gardena | Dental Assistant (Diploma)_10 | 7/1/2010[1] | 93% | 75% | -18% |
| Everest College | Gardena | Dental Assistant (Diploma)_8 | 7/1/2010[1] | 72% | 57% | -15% |
| Everest College | Gardena | Massage Therapy (Diploma)_9 | 7/1/2010[1] | 99% | 93% | -6% |
| Everest College | Gardena | Medical Assistant (Diploma)_10 | 7/1/2010[1] | 75% | 71% | -4% |
| Everest College | Gardena | Medical Assistant (Diploma)_8 | 7/1/2010[1] | 78% | 67% | -11% |
| Everest College | Gardena | Medical Insurance Billing and Coding (Diploma)_8 | 7/1/2010[1] | 59% | 58% | -1% |
| WyoTech | Long Beach | Automotive Technician (Diploma)_12 | 7/1/2010[1] | 80% | 26% | -54% |
| WyoTech | Long Beach | Electrician (Diploma)_11 | 7/1/2010[1] | 89% | 76% | -13% |
| WyoTech | Long Beach | Electrician (Diploma)_9 | 7/1/2010[1] | 73% | 63% | -10% |
| WyoTech | Long Beach | Heating, Ventilation and Air Conditioning (Diploma)_7 | 7/1/2010[1] | 74% | 69% | -5% |
| WyoTech | Long Beach | Heating, Ventilation and Air Conditioning (Diploma)_9 | 7/1/2010[1] | 76% | 69% | -7% |
| WyoTech | Long Beach | Industrial Electrical Technology (Diploma) | 7/1/2010[1] | 76% | 70% | -6% |
| WyoTech | Long Beach | Medical Assistant (Diploma) | 7/1/2010[1] | 86% | 78% | -8% |
| WyoTech | Long Beach | Plumbing Technology (Diploma)_9 | 7/1/2010[1] | 80% | 64% | -16% |
| Everest College | Los Angeles Wilshire | Dental Assistant (Diploma) | 7/1/2010[1] | 83% | 69% | -14% |
| Everest College | Los Angeles Wilshire | Massage Therapy (Diploma) | 7/1/2010[1] | 83% | 71% | -12% |
| Everest College | Los Angeles Wilshire | Medical Administrative Assistant (Diploma) | 7/1/2010[1] | 74% | 60% | -14% |
| Everest College | Los Angeles Wilshire | Medical Assistant (Diploma) | 7/1/2010[1] | 79% | 49% | -30% |
| Everest College | Los Angeles Wilshire | Medical Insurance Billing and Coding (Diploma) | 7/1/2010[1] | 80% | 67% | -13% |
| Everest College | Los Angeles Wilshire | Pharmacy Technician | 7/1/2010[1] | 100% | 60% | -40% |
| Everest College | Ontario | Dental Assistant (Diploma) | 7/1/2010[1] | 88% | 73% | -16% |
| Everest College | Ontario | Massage Therapy (Diploma) | 7/1/2010[1] | 93% | 90% | -3% |
| Everest College | Ontario | Medical Assistant (Diploma) | 7/1/2010[1] | 78% | 52% | -26% |
| Everest College | Ontario | Medical Insurance Billing and Coding (Diploma) | 7/1/2010[1] | 72% | 61% | -11% |
| Everest College | Ontario | Pharmacy Technician (Diploma) | 7/1/2010[1] | 70% | 61% | -9% |
| Everest College | Ontario Metro | Accounting (Associate) | 7/1/2010[1] | 100% | 69% | -31% |
| Everest College | Ontario Metro | Business Administration - AAS | 7/1/2010[1] | 100% | 84% | -16% |
| Everest College | Ontario Metro | Criminal Justice (Bachelor) | 7/1/2010[1] | 52% | 43% | -10% |
| Everest College | Ontario Metro | Paralegal (Associate) | 7/1/2010[1] | 85% | 77% | -8% |
[1] "2010 Annual Placement Disclosures"
[2] PIR disclosures with effective date of July 1, 2011
[3] PIR disclosures with effective date of July 1, 2012
[4] PIR disclosures with effective date of July 1, 2013.
[5] Web-based Disclosures:
