....that Senators Durbin, Harkin and others in Congress along with all of the state Attorneys General who were screaming for blood when CCI was in the spotlight are now very quiet - even though the same practices (and in many cases the same leaders) are still in place? Why is that? A couple theories: 1. The purchase of CCI was brokered by DOE in an effort to mitigate loan forgiveness liability, with the understanding that Zenith/ECMC would systematically wind down the business. This action preserves loan repayment responsibility (ECMC core business), accomplishes the goal of eliminating a major predatory player and keeps DOE out of hot water. DOE quietly made Senators and states Attorney Generals aware of the deal, keeping them on the sidelines. 2. Going after a "non-profit" is not as sexy for the democrats as trying to take down a big, bad money-hungry for-profit school. Agree? Disagree? Other theories?
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697, who is going to put Zenith out of business? Zenith is who the DOE hand picked to take over the schools. The only ones that will put Zenith out of business is Zenith itself or the board of directors at ECMC. Zenith will be slimming down to around 30 schools in January and probably a lot less by the end of next year.
Wat is really odd is the fact that Zenith is still allowed to stay in business.
The DOE made a deal with the states Attorneys General (Except California) not to touch ECMC/Zenith. They also made a deal with the accrediting bodies to overlook any wrongdoing by CCi and NOT to pull any accreditation from the schools ECMC was taking over. Obama and his followers wanted CCi closed and it was going to happen in a way that caused no political fallback on the Democrats. The DOE forced ECMC into taking over the schools by holding the contract ECMC has with the DOE for collecting unpaid student debt as hostage. If ECMC wanted the contract renewed it would do whatever the Obama Administration asked, which was helping them get out of the mess they were in over CCi. Of the 24m ECMC paid for the 56 original schools, the DOE took 17m, another 6m was put in escrow to help Zenith with costs involved in closing underperforming schools and CCi got one million dollars for the 56 schools. How CCi hung on as long as they did after the sale is a miracle in itself. So everyone is happy, ECMC got their new collection contract, the Obama Administration took out CCi and came away clean, many students got their Genesis debt erased, the CCI executive team took their millions in bonuses and resigned and Zenith Education Group has a chance to make millions or teach out the schools without losing much. The only ones hurt by this fraud are the thousands of employees that lost and will be losing their jobs, the tax payers and the poor students that are still stuck in Zenith schools that will have a problem paying back their student loans (which is a good thing for ECMC).
Durbin needs to continue his mission until all schools are closed. This is the only way true cleansing of this dirty fruad will happen.
Durbin finished his mission by shutting down all illinois schools.....