WASHINGTON – A report by the Center for American Progress says federal education officials failed to detect trouble at one of the country's largest for-profit colleges in the years before it collapsed.
The report, titled "Looking in All the Wrong Places," is based on 6,000 pages of audits provided by colleges and reviews done by the government. It examines the Education Department's oversight of the failed for-profit education chain Corinthian Colleges Inc. and more than a hundred other institutions.
The authors of the report, including some former Education Department officials, conclude that the government's reviews were understaffed and failed to pursue credible indications of misconduct, such as Corinthian's failure to notify students of tuition increases. Gaps in oversight put both student welfare and government student loan recovery at risk, the report concludes.
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