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According to the most recent report of Accredibase, the UK-based background screening company Verifile Limited, there was a staggering 48% increase in the number of known degree or diploma mills operating worldwide last year. It identified more than 2,500 bogus institutions across all regions, but primarily in North America and Europe.

The growing demand for college degrees, the globalization of the education market, and the Internet are combining to create a more favorable climate for diploma mills around the world, says Stamenka Uvalic-Trumbic, chief of the section for reform, innovation, and quality assurance in higher education at the United Nations Educational, Scientific, and Cultural Organization (UNESCO).

"Degree mills" are impeding the efforts to assure quality in higher education—a significant national issue for some time and now an international concern. In response, the US-based Council for Higher Education Accreditation (CHEA) recently joined with the United Nations Educational, Scientific and Cultural Organization (UNESCO) to bring together an informal group of higher education and quality assurance/accreditation leaders to focus on degree mills. Issues on the traits and the perils of degree mills, and on the national and international policies to curb that phenomenon will be discussed.

In 2002, the Liberian embassy's deputy chief of mission began his fraudulent transactions with American owners of St Regis diploma mill. They agreed to sell Liberian university accreditation to "St Regis University" for $2,250. They then decide to create two other diploma mills: Robertstown and James Monroe. By the end of 2003, Liberian officials under their sway included senior diplomats in at least two embassies, a minister of justice, a foreign minister, two successive directors of Liberia's National Commission for Higher Education, and a number of other diplomats and government officials, including several at the Ministry of Education. The United States Secret Service finally unveiled their embezzlement.

From 1995 to 2001, Nigerian degree mills produced annually about 15 percent of total university graduates in the country. In the past 9 years, a flurry of activity has been directed at eradicating the degree mills. In 1999, the National Council on Education (NUC) directed the closure of all local and foreign satellite campuses. It also partnered with the Department of State Services (Nigeria's secret service) in locating, arresting, and prosecuting operators of unapproved universities and satellite campuses. Finally, it directed approved universities to make full disclosure of their programs, which have been listed in the Directory of Approved Programmes in the Nigerian University System.

The Swedish labor minister listed on his resume on the government's website an M.B.A. taken at Fairfax University, which several US states listed as a so-called "degree mill". The Minister said he earned the degree through distance learning while he worked in the United States, but the Swedish National Agency for Higher Education rejected it as an illegitimate credential. "We would not rate a degree taken there," said the head of the Swedish department for evaluation of foreign qualifications.

GetEducated.com, an online degree clearinghouse founded by Phillips in 1989, tracks more than 200 fake online colleges in the USA alone, twice that many abroad. The sale of fake degrees, which at an average cost less than 500 dollars per diploma, has become a multi-million dollar business. A fake degree is a fast, cheap way to quality for high paying employment. Search engines accept listing from colleges without screening for accreditation.