Everest (cough) College, long perceived by observers as a towering fraud on all Americans, has now collapsed, hurling hundreds of suckers down to Base-Camp Debt.
In Canada, the government has forced the for-profit’s closure (UD thanks a reader, Jack, for this news); here in the States, Shit-Mountain Everest has shut itself down
as part of a deal with the Department of Education, which last summer froze the institution’s financial-aid payments after it failed to provide the DOE with a series of required records, including job-placement and attendance statistics.
Why was this stupid scheme allowed to go on for so long? And why are the many other Everests out there still allowed to strand American and Canadian debt-mountaineers? Is anyone really surprised that the latest thing to happen is a debt strike?
On Monday, [fifteen] people who took out loans to attend … announced that they are going on a “debt strike,” and will stop repaying their loans. They believe that they have both ethical and legal grounds for what appears to be an unprecedented collective action…
Wow, unprecedented. Who could have foreseen that if your country has no laws against criminal for-profit antics, suckers will fall for their ploy and eventually – with perfectly plausible moral justification – refuse to pay up?
February 24th, 2015 at 4:10PM
” . . . [C]riminal for-profit antics . . . .” There’re crony capitalism, privately subsidized and politically motivated redistribution schemes, economic rent-seeking. That’s the legal stuff that transfers wealth from one entity (or class, or interest group) to another without any additional work–as most of us understand the idea of work–being performed.
Forget about the patently illegal Ponzi, bribery, extortion, baksheesh, etc. stuff that’ll have your head spinning if you’re a newbie to business.