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The Institute of Business Economics’ rector and deputy are charged with fraud, forging of documents and their sale, commercial bribery, and mediation. One of the Institute applicants said that the admissions office offered her to pay 450 thousand rubles ($7,054) for three years of study. The fact that the university was deprived of its license two years earlier did not prevent the rector from concluding contracts with candidates for paid higher education.

Allegations of academic fraud have been made against nearly 20 alternative higher education providers in London in recent months, the head of the UK’s standards watchdog has said. Warning that fraud and malpractice now pose a “real challenge” to traditional quality assurance in higher education, the chief executive of the Quality Assurance Agency, said that his organisation had “recently received and, in some cases, investigated allegations about admissions, malpractice, academic fraud and the falsification of evidence in 19 alternative providers in London”.

A recent investigation into plagiarism in higher education by the Quality Assurance Agency found hundreds of companies are regularly producing papers for students to pass off as their own. And only last year, an advertising campaign saw posters for an essay mill prominently placed around the London Underground – particularly at tube stops near university campuses. Often involving students paying hundreds of pounds for written-to-order papers, this behaviour became known as “contract cheating” after research published in 2006. It remains one of the major challenges in preserving academic integrity across higher education.

The Universities and Science Minister demanded tough new penalties for university students who use essay mills – websites that provide custom written essays – and called on university and student bodies to do more to address the growth of such services. The Quality Assurance Agency for Higher Education has also been told to take action against the online advertising of these services and to work with international agencies to deal with this problem.

For the first time, students caught cheating could be criminalised amid fears tens of thousands are buying dissertations from websites – a trend ministers say threatens the quality of British university degrees. Universities watchdog the Quality Assurance Agency said hundreds of “essay mills” are charging up to £6,750 for writing a PhD dissertation. Last year the agency published a report into the scale of the issue, which revealed essay services were available at a cost ranging from £15 to thousands of pounds, depending on essay length and complexity.