"... false and predatory advertising, intentional misrepresentations to students, securities fraud and unlawful use of military seals in advertisements... CCI intentionally targeted low-income, vulnerable Californians through deceptive and false advertisements and aggressive marketing campaigns that misrepresented job placement rates and school programs. CCI deployed these advertisements through persistent internet, telemarketing and television ad campaigns... Corinthian executives knowingly misrepresented job placement rates..."
The complaint also named as defendants Everest, Heald and WyoTech colleges. The announcement said that the complaint cited internal company documents obtained by the Department of Justice. which described the consumers targeted by CCI's marketing activities:
"... as “isolated,” “impatient,” individuals with “low self-esteem,” who have “few people in their lives who care about them” and who are “stuck” and “unable to see and plan well for future.” "
CCI describes itself in its website as:
"... one of the largest for-profit, post-secondary education companies in North America, with more than 81,300 students at over 111 U.S. and Canadian campuses. Our campuses offer short-term diploma and/or degree programs in a variety of popular career fields..."
The complaint alleged that CCI advertised placement rates for its graduates of 100 percent when the reality was the rate was about zero. California Attorney General Harris said:
"The predatory scheme devised by executives at Corinthian Colleges, Inc. is unconscionable. Designed to rake in profits and mislead investors, they targeted some of our state’s most particularly vulnerable people—including low income, single mothers and veterans returning from combat... My office will continue our investigation into the for-profit college industry and will hold accountable those responsible for these illegal, exploitative practices.”
Current or former CCI students should contact the California Attorney General's Office to file a complaint.
It is good to see an attorney general pursue this type of alleged corporate behavior. I hope that stiff fines and punishments result with specific executives named, and not a weak settlement agreement where the company does not admit any wrongdoing. In my opinion, the company should pay the entire debts of its graduates it promised 100 percent placement rates in jobs, and who haven't found work.