Department of Education and Attorney General Kamala Harris Announce Findings from Investigation of Wyotech and Everest Programs

Department of Education and Attorney General Kamala Harris Announce Findings from Investigation of Wyotech and Everest Programs

The findings will be referred to Special Master Joe Smith to inform debt relief process for former Corinthian students
November 17, 2015

After analyzing several years of job placement rates reported by Corinthian College's Wyotech and Everest programs, along with evidence provided by California Attorney General Kamala Harris, today, the U.S. Department of Education is announcing the results from the joint investigation which concluded the programs misrepresented their placement rates to enrolled and prospective students.

The findings from this investigation apply to Everest and Wyotech locations in California, as well as Everest University online programs based in Florida, and add to the existing findings concerning programs at Heald College – which were also a part of the joint investigation with Attorney General Harris's office.

"I commend Attorney General Kamala Harris and her team for their collaboration with our team to help defrauded Corinthian students receive the relief they are entitled to," said U.S. Secretary of Education Arne Duncan. "The results of our joint investigation will allow us to get relief to more students, more efficiently. Helping wronged students is much easier when everyone – Congress, state attorneys general, accreditors, authorizers and the Department – does their part to protect students and works together. Our team welcomes help from anyone who wants to follow her lead."

The Department's findings apply to Corinthian campuses that served approximately 85,000 Wyotech and Everest students. Earlier this year, the Department created an expedited debt relief process for Heald students who attended programs with misstated placement rates. The Department will refer these findings to Joseph Smith, the special master in charge of borrower defense, who will work to make these findings actionable under the borrower defense process. In the meantime, the Department's investigation of the Corinthian schools will continue.

"Corinthian preyed on vulnerable students who are now buried under mountains of student debt," said Attorney General Harris. "Today's joint investigation findings will expand the pool of Corinthian students eligible for streamlined student loan relief options, helping them rebuild their lives and pursue a brighter future. I thank the Department of Education for joining my office to keep Corinthian accountable for their actions and providing debt relief to students who were misled."

Holding Corinthian Colleges Accountable

In August 2012, after receiving of complaints about Corinthian's placement rates and other compliance issues, the Office of Federal Student Aid placed all eligibility actions involving mergers, adding new programs, locations or to increase scope of Title IV participation for the institution on hold.

In 2013, Attorney General Harris filed a lawsuit against Corinthian Colleges, Inc. for false advertising and deceptive marketing targeting vulnerable, low-income students and misrepresenting job placement rates to potential and current students, investors and accrediting agencies.

In January 2014, the Department placed Corinthian on heightened cash monitoring after it repeatedly failed to comply with federal regulations. Since day one, the Department has acted to hold Corinthian accountable and ensured students pursuing their education had the opportunity to pursue their career and educational goals with minimal disruption.

In addition to placing the company on heightened cash management, the Department also required the company to sell or close all of its programs, keep students informed of their options and establishing an independent monitor to oversee the company's wind down.

The majority of Corinthian's campuses were purchased by the nonprofit Zenith Education Group, which voluntarily agreed to implement a series of conduct provisions, which included the hiring of an independent monitor to ensure the program operates up to the Department's standards, an across the board tuition cut, and the elimination of poor-performing programs.

In February 2015, the Consumer Financial Protection Bureau (CFPB) and the Department secured more than $480 million in forgiveness for borrowers who took out Corinthian College's high-cost private student loans. In April 2015, shortly after receiving a $30 million fine for misrepresentation its job placement rates for the Heald brand, Corinthian announced that it permanently shutting down.

Actions Taken To Protect Students From Abusive For-Profits

Despite Congress' pushback against holding for-profit institutions and career colleges accountable, the Department has taken unprecedented steps to protect students and provide them with opportunities for a high-quality, affordable education that prepares them for their careers, including:

  • creating Gainful Employment rules to protect students and taxpayers and ensure students receive an education that leads to good job prospects;
  • strengthening oversight and compliance through inter-agency and Department teams focused on monitoring for-profit institutions;
  • announcing a negotiated rulemaking committee to improve the current borrower defense regulation, which will commence in January 2016 ;
  • protecting military service members, veterans, and their families from predatory actions by for-profit colleges by strengthening the 90/10 rule;
  • announcing executive actions and legislative proposals to strengthen its oversight of schools and accreditors.

Debt Relief Process for Former Corinthian Students

Following the June 2015 announcement from the Department of Education that groups of students who attended Heald Colleges, a subsidiary of Corinthian Colleges, Inc., would be eligible for a streamlined form of student loan relief, Attorney General Harris announced a tool to help former Corinthian students in California.

Former Corinthian students can learn more about debt relief by visiting http://oag.ca.gov/corinthian and www.studentaid.gov/Corinthian.

Recalculated Placement Rates for Everest University Online Programs

These recalculated placement rates are based on the investigation and analysis of CCI's records. The recalculated rates correct for records that purported to justify placement rates but that the Department found to be false, materially incomplete or otherwise inaccurate.
Brand NameCampus NameProgramDate CCI Published Placement RatePlacement RateCCI Provided to StudentsRecalculated Placement RateDifference between what CCI Told Students and Recalculated Rate
Everest UniversityBrandonAccounting (Associate)7/1/2010[1]92%12%-80%
Everest UniversityBrandonAccounting (Bachelor)7/1/2010[1]83%72%-11%
Everest UniversityBrandonBusiness (Associate)7/1/2010[1]95%14%-81%
Everest UniversityBrandonBusiness Administration (Master)7/1/2010[1]93%87%-6%
Everest UniversityBrandonComputer Information Science (Associate)7/1/2010[1]71%8%-64%
Everest UniversityBrandonCriminal Justice (Associate)7/1/2010[1]61%7%-55%
Everest UniversityBrandonCriminal Justice (Bachelor)7/1/2010[1]73%14%-59%
Everest CollegeBrandonMedical Assistant (Associate)7/1/2010[1]63%4%-59%
Everest UniversityOrlando SouthBusiness Administration (Associate)7/1/2010[1]98%85%-13%
Everest UniversityOrlando SouthMassage Therapy (Diploma)7/1/2010[1]44%30%-14%
Everest UniversityOrlando SouthParalegal (Associate)7/1/2010[1]64%50%-14%
Everest UniversityPompano BeachAccounting (Bachelor)7/1/2010[1]100%90%-10%
Everest UniversityPompano BeachBusiness Administration (Master)7/1/2010[1]100%93%-8%
Everest UniversityPompano BeachCriminal Justice (Bachelor)7/1/2010[1]63%50%-13%
Everest UniversityPompano BeachMedical Assistant (Diploma)7/1/2010[1]68%41%-27%
Everest UniversityOrlando SouthAccounting (Associate)7/1/2011[2]77%53%-24%
Everest UniversityOrlando SouthBusiness (Bachelor)7/1/2011[2]92%84%-8%
Everest UniversityOrlando SouthBusiness Administration (Master)7/1/2011[2]92%74%-18%
Everest UniversityOrlando SouthCriminal Investigations (Associate)7/1/2011[2]29%26%-3%
Everest UniversityOrlando SouthCriminal Justice (Associate)7/1/2011[2]65%59%-6%
Everest UniversityOrlando SouthHomeland Security (Bachelor)7/1/2011[2]63%50%-13%
Everest UniversityOrlando SouthMassage Therapy (Diploma)7/1/2011[2]43%28%-15%
Everest UniversityOrlando SouthMedical Insurance Billing and Coding (Associate)7/1/2011[2]46%43%-2%
Everest UniversityOrlando SouthParalegal (Associate)7/1/2011[2]46%44%-3%
Everest UniversityOrlando SouthParalegal (Bachelor)7/1/2011[2]61%56%-6%
Everest UniversityPompano BeachBusiness Administration (Master)7/1/2011[2]100%94%-6%
Everest UniversityPompano BeachComputer Information Science (Associate)7/1/2011[2]67%56%-11%
Everest UniversityPompano BeachCriminal Justice (Bachelor)7/1/2011[2]69%58%-10%
Everest UniversityPompano BeachCriminal Justice (Master)7/1/2011[2]82%76%-6%
Everest UniversityPompano BeachPharmacy Technician (Diploma)7/1/2011[2]30%25%-6%
Everest UniversityOrlando SouthAccounting (Bachelor)7/1/202[3]80%74%-6%
Everest UniversityOrlando SouthApplied Management (Bachelor)7/1/202[3]100%86%-14%
Everest UniversityOrlando SouthBusiness (Associate)7/1/202[3]85%77%-8%
Everest UniversityOrlando SouthBusiness Administration (Master)7/1/202[3]83%78%-4%
Everest UniversityOrlando SouthCriminal Investigations (Associate)7/1/202[3]37%30%-6%
Everest UniversityOrlando SouthCriminal Justice (Associate)7/1/202[3]57%47%-10%
Everest UniversityOrlando SouthCriminal Justice (Bachelor)7/1/202[3]76%61%-15%
Everest UniversityOrlando SouthHomeland Security (Bachelor)7/1/202[3]65%59%-6%
Everest UniversityOrlando SouthMedical Assistant (Diploma)7/1/202[3]67%63%-3%
Everest UniversityOrlando SouthParalegal (Associate)7/1/202[3]45%41%-4%
Everest UniversityPompano BeachBusiness (Bachelor)7/1/202[3]94%80%-14%
Everest UniversityPompano BeachBusiness Administration (Master)7/1/202[3]100%69%-31%
Everest UniversityBrandonAccounting (Associate)Web-based[4]74%71%-3%
Everest UniversityBrandonAccounting (Bachelor)Web-based[4]71%50%-21%
Everest UniversityBrandonBusiness (Associate)Web-based[4]77%75%-2%
Everest UniversityBrandonBusiness (Bachelor)Web-based[4]88%84%-4%
Everest UniversityBrandonBusiness Administration (Master)Web-based[4]85%81%-4%
Everest UniversityBrandonComputer Information Science (Associate)Web-based[4]62%13%-49%
Everest UniversityBrandonComputer Information Science (Bachelor)Web-based[4]73%13%-60%
Everest UniversityBrandonCriminal Justice (Associate)Web-based[4]50%14%-36%
Everest UniversityBrandonCriminal Justice (Bachelor)Web-based[4]63%18%-45%
Everest UniversityBrandonParalegal (Associate)Web-based[4]59%3%-56%
Everest UniversityBrandonParalegal (Bachelor)Web-based[4]61%3%-58%
Everest UniversityPompano BeachBusiness Administration (Master)Web-based[4]81%73%-8%

[1] "2010 Annual Placement Disclosures"

[2] PIR disclosures with effective date of July 1, 2011

[3] PIR disclosures with effective date of July 1, 2012

[4] Web-based Disclosures

Recalculated Placement Rates for Brick and Mortar Everest and WyoTech Campuses Located in California

These recalculated placement rates are based on the investigation and analysis of CCI's records. The recalculated rates correct for records that purported to justify placement rates but that the Department found to be false, materially incomplete or otherwise inaccurate.
Brand NameCampus NameProgramDate CCI Published Placement RatePlacement RateCCI Provided to StudentsRecalculated Placement RateDifference between what CCI Told Students and Recalculated Rate
Everest CollegeAlhambraBusiness Operations (Diploma)7/1/2010[1]84%68%-16%
Everest CollegeAlhambraDental Assistant (Diploma)7/1/2010[1]85%71%-14%
Everest CollegeAlhambraMassage Therapy (Diploma)7/1/2010[1]92%88%-5%
Everest CollegeAlhambraMedical Administrative Assistant (Diploma)7/1/2010[1]80%74%-6%
Everest CollegeAlhambraMedical Assistant (Diploma)7/1/2010[1]79%74%-5%
Everest CollegeAlhambraMedical Insurance Billing and Coding (Diploma)7/1/2010[1]78%73%-5%
Everest CollegeAlhambraPharmacy Technician (Diploma)7/1/2010[1]73%65%-8%
Everest CollegeAnaheimDental Assistant (Diploma)_Evening7/1/2010[1]88%76%-12%
Everest CollegeAnaheimMassage Therapy (Diploma)_Day7/1/2010[1]95%92%-3%
Everest CollegeAnaheimMassage Therapy (Diploma)_Evening7/1/2010[1]95%93%-2%
Everest CollegeAnaheimMedical Assistant (Diploma)_Day7/1/2010[1]83%73%-10%
Everest CollegeAnaheimMedical Assistant (Diploma)_Evening7/1/2010[1]84%72%-12%
Everest CollegeAnaheimMedical Insurance Billing and Coding (Diploma)_Evening7/1/2010[1]82%62%-20%
Everest CollegeCity of IndustryBusiness Management/ Administrative Assistant (Diploma)7/1/2010[1]88%70%-18%
Everest CollegeCity of IndustryDental Assistant (Diploma)_107/1/2010[1]100%75%-25%
Everest CollegeCity of IndustryDental Assistant (Diploma)_87/1/2010[1]88%74%-14%
Everest CollegeCity of IndustryMassage Therapy (Diploma)_117/1/2010[1]93%90%-3%
Everest CollegeCity of IndustryMassage Therapy (Diploma)_97/1/2010[1]97%79%-18%
Everest CollegeCity of IndustryMedical Assistant (Diploma)_87/1/2010[1]75%69%-6%
Everest CollegeCity of IndustryMedical Insurance Billing and Coding (Diploma)7/1/2010[1]72%53%-19%
Everest CollegeCity of IndustryPharmacy Technician (Diploma)_87/1/2010[1]69%61%-8%
Everest CollegeEverest HaywardMassage Therapy (Diploma)7/1/2010[1]61%50%-11%
Everest CollegeEverest HaywardMedical Administrative Assistant (Diploma)7/1/2010[1]59%55%-4%
Everest CollegeEverest HaywardMedical Assistant (Diploma)7/1/2010[1]50%45%-5%
Everest CollegeEverest HaywardMedical Insurance Billing and Coding (Diploma)_Day7/1/2010[1]48%45%-3%
Everest CollegeEverest San FranciscoDental Assistant (Diploma)_87/1/2010[1]91%82%-9%
Everest CollegeEverest San FranciscoMassage Therapy (Diploma)7/1/2010[1]73%65%-8%
Everest CollegeEverest San FranciscoMedical Assistant (Diploma)_107/1/2010[1]71%67%-4%
Everest CollegeEverest San FranciscoMedical Assistant (Diploma)_87/1/2010[1]75%69%-6%
Everest CollegeEverest San FranciscoPharmacy Technician (Diploma)_107/1/2010[1]86%71%-15%
Everest CollegeEverest San FranciscoPharmacy Technician (Diploma)_87/1/2010[1]72%67%-5%
Everest CollegeEverest San JoseDental Assistant (Diploma)7/1/2010[1]90%84%-6%
Everest CollegeEverest San JoseMassage Therapy (Diploma)7/1/2010[1]100%87%-13%
Everest CollegeEverest San JoseMedical Administrative Assistant (Diploma)7/1/2010[1]81%75%-6%
Everest CollegeEverest San JoseMedical Assistant (Diploma)7/1/2010[1]74%62%-12%
WyoTechFremontApplied Automotive Technology - Advanced Diagnostics Concentration (Diploma)7/1/2010[1]80%76%-4%
WyoTechFremontApplied Automotive Technology (Diploma)7/1/2010[1]81%71%-10%
WyoTechFremontAutomotive Technology/ Concentration in Automotive Diagnostics (Associate)7/1/2010[1]97%83%-14%
WyoTechFremontMotorcycle Technician (Diploma)_117/1/2010[1]71%69%-2%
WyoTechFremontMotorcycle Technology (Diploma)_177/1/2010[1]75%71%-4%
WyoTechFremontPlumbing Technology (Diploma)7/1/2010[1]76%73%-3%
Everest CollegeGardenaDental Assistant (Diploma)_107/1/2010[1]93%75%-18%
Everest CollegeGardenaDental Assistant (Diploma)_87/1/2010[1]72%57%-15%
Everest CollegeGardenaMassage Therapy (Diploma)_97/1/2010[1]99%93%-6%
Everest CollegeGardenaMedical Assistant (Diploma)_107/1/2010[1]75%71%-4%
Everest CollegeGardenaMedical Assistant (Diploma)_87/1/2010[1]78%67%-11%
Everest CollegeGardenaMedical Insurance Billing and Coding (Diploma)_87/1/2010[1]59%58%-1%
WyoTechLong BeachAutomotive Technician (Diploma)_127/1/2010[1]80%26%-54%
WyoTechLong BeachElectrician (Diploma)_117/1/2010[1]89%76%-13%
WyoTechLong BeachElectrician (Diploma)_97/1/2010[1]73%63%-10%
WyoTechLong BeachHeating, Ventilation and Air Conditioning (Diploma)_77/1/2010[1]74%69%-5%
WyoTechLong BeachHeating, Ventilation and Air Conditioning (Diploma)_97/1/2010[1]76%69%-7%
WyoTechLong BeachIndustrial Electrical Technology (Diploma)7/1/2010[1]76%70%-6%
WyoTechLong BeachMedical Assistant (Diploma)7/1/2010[1]86%78%-8%
WyoTechLong BeachPlumbing Technology (Diploma)_97/1/2010[1]80%64%-16%
Everest CollegeLos Angeles WilshireDental Assistant (Diploma)7/1/2010[1]83%69%-14%
Everest CollegeLos Angeles WilshireMassage Therapy (Diploma)7/1/2010[1]83%71%-12%
Everest CollegeLos Angeles WilshireMedical Administrative Assistant (Diploma)7/1/2010[1]74%60%-14%
Everest CollegeLos Angeles WilshireMedical Assistant (Diploma)7/1/2010[1]79%49%-30%
Everest CollegeLos Angeles WilshireMedical Insurance Billing and Coding (Diploma)7/1/2010[1]80%67%-13%
Everest CollegeLos Angeles WilshirePharmacy Technician7/1/2010[1]100%60%-40%
Everest CollegeOntarioDental Assistant (Diploma)7/1/2010[1]88%73%-16%
Everest CollegeOntarioMassage Therapy (Diploma)7/1/2010[1]93%90%-3%
Everest CollegeOntarioMedical Assistant (Diploma)7/1/2010[1]78%52%-26%
Everest CollegeOntarioMedical Insurance Billing and Coding (Diploma)7/1/2010[1]72%61%-11%
Everest CollegeOntarioPharmacy Technician (Diploma)7/1/2010[1]70%61%-9%
Everest CollegeOntario MetroAccounting (Associate)7/1/2010[1]100%69%-31%
Everest CollegeOntario MetroBusiness Administration - AAS7/1/2010[1]100%84%-16%
Everest CollegeOntario MetroCriminal Justice (Bachelor)7/1/2010[1]52%43%-10%
Everest CollegeOntario MetroParalegal (Associate)7/1/2010[1]85%77%-8%

[1] "2010 Annual Placement Disclosures"

[2] PIR disclosures with effective date of July 1, 2011

[3] PIR disclosures with effective date of July 1, 2012

[4] PIR disclosures with effective date of July 1, 2013.

[5] Web-based Disclosures: