In the media

The former superintendent of Indiana Virtual School and Indiana Virtual Pathways Academy admitted to inflated enrollment, part of an alleged scheme defrauding the Indiana Department of Education. Federal prosecutors allege $44.6 million in fraud; a state lawsuit claims $154 million. This plea is a step towards recovering public funds from the significant education scandal, with total restitution set at $44.6 million.

A federal jury on Tuesday convicted the head of a now-shuttered for-profit education firm. of billing the Philadelphia School District out of $800,000 meant to educate some of its most at-risk teens. The former president of the Bala Cynwyd-based Delaware Valley High School Management Corp. spent the money intended for education and counseling on upgrades to his beach house in Margate, N.J., and his $1.1 million, 13-room Gladwyne home.

Immediately after the President was elected, borrower advocates and lawmakers expressed concern about what would happen to the current regulations aimed at holding for-profit colleges accountable. On Tuesday, their concerns were validated. The Education Department announced that it would delay and renegotiate two of the previous administration’s signature regulations: the first aims to penalize programs whose graduates’ loan payments exceed a set percentage of their earnings, while the second simplifies the process for borrowers who say they have been defrauded by their colleges.

In the US, the government is not directly implemented in the procedure of accreditation. Private agencies are taking care of this. The Education Department is recognizing some agencies. However, they do not do much to stop the activities from less honest ones. Several education institutes are not accredited due to the high procedure costs.