Check Out The Outrageous Alleged Misdeeds Of For-Profit College Chain EDMC

eduation management corp
An image circulated in company emails

The Justice Department filed suit yesterday against the Education Management Corp charging that it was not eligible for $11 billion received in financial aid since 2003.At the heart of the lawsuit is the claim brought by two former employees that EDMC recruiters were compensated based entirely on the number of students added, in direct violation of the law. In a “boiler-room” culture, recruiters allegedly pressured uncertain students into loans they couldn’t afford.

EDMC, which by the way is 41% owned by Goldman Sachs, denies claims about its compensation scheme.

[slideshow]
[slide
permalink=”education-management-created-a-boiler-room-sales-culture-that-rewarded-only-sheer-number-of-students-added-1″
title=”Education Management created a “boiler-room” sales culture that rewarded only sheer number of students added”
content=””
image=”http://static.businessinsider.com/image/4e412538ecad04303d000019″
caption=””
credit=””
credit_href=””
]
[slide
permalink=”anyone-who-can-fill-out-an-application-and-write-a-150-word-essay-will-be-accepted-as-an-edmc-student-2″
title=”Anyone who can fill out an application and write a 150-word essay will be accepted as an EDMC student”
content=””
image=”http://static.businessinsider.com/image/4e4121c6ecad049a15000038″
caption=””
credit=””
credit_href=””
]
[slide
permalink=”recruiters-brag-about-career-services-and-falsely-tell-students-they-will-have-lifetime-access-to-these-services-3″
title=”Recruiters brag about career services and falsely tell students they will have lifetime access to these services”
content=””
image=”http://static.businessinsider.com/image/4e41220e6bb3f7861f000014″
caption=””
credit=””
credit_href=””
]
[slide
permalink=”when-one-student-tried-to-cancel-enrollment-for-personal-reasons-a-recruiter-lied-to-him-and-said-that-it-was-too-late-4″
title=”When one student tried to cancel enrollment for personal reasons, a recruiter lied to him and said that it was too late”
content=””
image=”http://static.businessinsider.com/image/4e41225b6bb3f7861f000017″
caption=””
credit=””
credit_href=””
]
[slide
permalink=”recruiters-dont-care-whether-or-not-students-succeed-indeed-edmc-students-have-a-shocking-40-dropout-rate-5″
title=”Recruiters don’t care whether or not students succeed. Indeed EDMC students have a shocking 40% dropout rate”
content=””
image=”http://static.businessinsider.com/image/4e41231669bedde410000017″
caption=””
credit=””
credit_href=””
]
[slide
permalink=”if-students-are-reluctant-to-accept-loans-recruiters-lie-to-make-it-seem-like-they-will-owe-less-money-6″
title=”If students are reluctant to accept loans, recruiters lie to make it seem like they will owe less money”
content=””
image=”http://static.businessinsider.com/image/4e412493eab8ea1f1c00002f”
caption=””
credit=””
credit_href=””
]
[slide
permalink=”edmc-also-leads-students-to-commit-fraud-by-submitting-false-paperwork-7″
title=”EDMC also leads students to commit fraud by submitting false paperwork”
content=””
image=”http://static.businessinsider.com/image/4e4120566bb3f7441e00001c”
caption=””
credit=””
credit_href=””
]
[slide
permalink=”recruiters-lived-by-the-matrix-which-laid-out-a-direct-relationship-between-compensation-and-students-added-8″
title=”Recruiters lived by “the Matrix” which laid out a direct relationship between compensation and students added”
content=””
image=”http://static.businessinsider.com/image/4e412612eab8ea151c000024″
caption=””
credit=””
credit_href=””
]
[slide
permalink=”a-former-car-dealer-was-hired-to-train-recruiters-in-high-pressure-closing-techniques-9″
title=”A former car dealer was hired to train recruiters in “high pressure closing techniques””
content=””
image=”http://static.businessinsider.com/image/4e41266369bedde91000001f”
caption=””
credit=””
credit_href=””
]
[slide
permalink=”the-top-recruiters-in-terms-of-sheer-numbers-added-were-rewarded-with-trips-tickets-and-other-bonuses-10″
title=”The top recruiters in terms of sheer numbers added were rewarded with trips, tickets and other bonuses”
content=””
image=”http://static.businessinsider.com/image/4e412711eab8ea2c1c000032″
caption=””
credit=””
credit_href=””
]
[slide
permalink=”this-oft-used-email-was-sent-to-remind-recruiters-of-the-rewards-of-adding-students-11″
title=”This “oft-used email” was sent to remind recruiters of the rewards of adding students”
content=””
image=”http://static.businessinsider.com/image/4e4127a4ecad04f635000034″
caption=””
credit=””
credit_href=””
]
[slide
permalink=”all-those-loans-are-piling-up-12″
title=”All those loans are piling up”
content=”16 Shocking Facts About Student Debt And The Great College Education Scam >
image=”http://static.businessinsider.com/image/4e384c836bb3f7d40a000001″
caption=””
credit=””
credit_href=””
]
[/slideshow]