So I Called Herzing Myself

So, I called Herzing College as it was suggested "I" do. I had never called a for-profit school before and it was a very interesting experience. Not unlike calling a car lot or a health club, but more on that later. The deal that the person I spoke to you told me, after checking with the project manager, was that this school has "made a deal with Crown" (aka John Wabel) to accept all of Crown's students; credits. He also pointed out that I would "have a hard time" finding any school to accept Crown's credits, a fact that I was already well aware of. The deal is, as I was told, was that the discount -- wherein Herzing would lower its tuition to that of Crown's and provide free textbooks and software, was only available if the student started this "fall" semester.

Herzing College is not the first for-profit school to accept Crown's credits. University of Phoenix has accepted them for some time. However, many students were induced to go to Crown by misrepresentations made by Crown College admission representatives that there credits would transfer to schools such as public University of Washington and other schools which cost considerably less than Herzing or University of Phoenix. So the fact that Herzing will take their credits, though fortuitous, does not undue the fraud that visited upon them.

Herzing Will Now Accept All Crown College Credits From Current Students

In an earlier Tacoma News Tribune Article, a student stranded by Crown College's loss of accreditation lamented that, despite John Wabel's assurances, Herzing College would only take a portion of her credits and that it cost more than Crown College. Thus, she would have to attend Herzing College for two more years before she received her Bachelor's degree and borrow more money.

It appears, that in response to that article, Herzing has "reversed" course and now, as reported in a follow-up Tacoma News Tribune story, Herzing states that it will accept all the credits of Crown College students currently stranded by Crown College's closure as long as they are earned a "C" or better which is standard practice for transfer. Also, Herzing will charge them reduced tuition and give them complimentary software and books.

Hmmmm, it would appear that Herzing changed (or clarified) its position not out of some kind of everyman, altruistic concern for the academically shipwrecked students but out of perhaps embarrassment at the previous story which appeared to contradict the first reports that they would take all the credits. They are after all a for-profit institution so unfortunately, their motives are suspect. This is an opportunity for them get an influx of students and some name recognition. It also displays the power of the media. Had the Tacoma News Tribune not published the story of the Crown College student whose credits were not going all be accepted and the higher tuition, would Herzing College have changed their position? Somehow I do not think so.

However, the end result will be that the last batch of Crown College students will be the most fortunate inasmuch as they will end up with a credits and degrees from a regionally accredited institution making them truly transferable to most institutions. Something none of the previous 17 years of Crown College students had despite the fact that many admission representatives told them that. Ironic, that they are saved by Crown College's demise! Truly ironic.

Crown College Key Employees Investigated for Financial Aid Fraud

As the Seattle Times reported, federal investigators suspect several Crown College employees of financial aid fraud, conspiracy to defraud and bank fraud. The Department of Education, Office of Inspector General served a search warrant on Crown College and seized records, a lot of records as the returned search warrant details. Apparently, some clever Crown employees, when they suspected that Crown College was going to close, applied for federal loans and grants though they were not and had no intention of attending classes. They figured that once Crown closed the loans would be discharged under Department of Education rules governing school closures and they would retain the funds thus unjustifiably enriching themselves. Unfortunately, Crown did not close when they thought it would, so they dummied up documents giving the appearance that they were attending the school.

Well considering how these employees excel in contriving documents and lying to prospective students, (Read the Declaration of Adrienne Rocco, a former admissions representative and her complaint to the ACCSCT) this was easy enough for them to do. Especially since many of them lack a moral compass, traits that made them quite valuable to school whose profits were premised on lies. There are a few honest employees at the school, as misplaced as they are, and one of them reported the fraud to the HECB which reported it to the Department of Education.

Mr. Wabel informed the Seattle Times that he was unaware of the investigation and declared that the perpetrators were innocent. It seems that Mr. Wabel, as is his habit, was looking the other way, or perhaps behind his back (as he is in the above picture of a Crown College employee get together). However, the affidavit filed in support of the search warrant strongly implies that Mr. Wabel was indeed aware of the investigation, notwithstanding his statement to the contrary. Moreover, the affidavit cites a kaleidoscope of evidence pointing to the potential culpability of all the Crown College administrators named in the search warrant which include Sheila Mullineaux, the director of the school, Jesy McMullin, the senior admissions representative (who allegedly lied about the transferability of Crown credits to several former Crown students), Misty Lee, the financial director and Jennifer Byers, the business manager.

Mr. Wabel is quoted as saying that the employees listed in the warrant "are good at what they do." Would that be lying and stealing? The fact that some of the most trusted, and senior administrators at Crown might endeavor to defraud the federal government simply because they felt that they could get away with it, shows you how casually they could defraud the very students who depended on them for guidance and truth. It might well be why they rose so high in the organization. Mr. Wabel has to be proud of his employee selection process!

Crown College Loses ACCSCT Accreditation!

Finally, it has happened, Crown College's accrediting agency the ACCSCT could not ignore the antics and misadventures of John Wabel and Sheila Mullineaux (both pictured) and their merry gang of deceitful thieves who have been running a reverse Robin Hood scam, stealing from the poor and giving to the rich, mainly themselves. They have systematically instructed their admission representatives to lie to students about the transferability of their credits since at least 1998. About 50 victims of this fraud have come forth and the testimony of ten of them was instrumental to the jury finding that Crown College had violated the Consumer Protection Act in early 2006. It takes a "special" person to blatantly lie repeatedly to poor students who are attempting to improve their economical standing. A letter from the ACCSCT dated July 31, 2007, that it has revoked Crown College's accreditation. Unfortunately, many of the students that they swindled will not get their day in court or any other recompense. One of the reasons that Crown College was able to get away with their little charade was because they fell into a regulatory crack. Since they granted degrees the were not under the auspices of the WorkForce Board. Since they had been operating in Washington state for some time accredited by an agency recognized by the Department of Eduction, to wit, the ACCSCT they were exempt from the HEC Board. By virtue of the ACCSCT pulling their accreditation, they have lost that exemption. If they "reopen" they will have to apply to the HEC Board for approval. Hard to see how they will merit such approval and if they do, the HEC Board will certainly by a more stringent master than the ACCSCT and will not put up for their deceptive practices.

Hmmm, does that mean that regulation works, well eventually maybe and helped out by other factors, mainly a trio of successful lawsuits and the resulting mass of bad publicity. The ACCSCT has had Crown College on probation more times than Alan Sandler had bad dates. In fact, they were on probation when they were first sued back in January of 2006. A Pierce County jury found that they had violated the Washington State Consumer Protection Act and the judge awarded a $6,000 judgment and $77,000 in attorney fees. They settled another lawsuit for $87,000. Those lawsuits shined a decidedly unflattering light on the school. According to an article in the Puget Sound Business Journal, this may well be the final demise of a school which was built on not too subtle lies and deception.

There is an article in the Seattle Times about Crown College closing. I thought I might die from lack of oxygen, it being very difficult to breath while laughing. "Not a dry eye in the building." Who knew that crooks could cry, well apparently when it comes to be separated from their money. I wonder how many dry eyes are among their many student victims. Sheila Mullineux talks about how they are the Little Engine That Could School which is apparently the party line. In reality, they are a school that has generated money based completely on lies and they have lied with astounding impunity and a disregard for reality that is astonishing in its scope. They have probably built up such an immunity to truth such that their tongues might break out in sores if they spoke it! John Wabel denials that Crown's admission representatives lied to prospective students ratchets up in direct proportion to the evidence they they did. At the Gonzalez trial, one of the jury members told me that Mr. Wabel was his own worst enemy and he continues to be. In a Tacoma News Tribune they claim they will do some restructuring and reopen. Perhaps they mean the installation of truth monitors...

Approximately 50, and counting, former students have come forward and told attorneys or news media that they have been told by Crown College admission representatives that Crown College's credits would transfer to regionally accredited schools. Crown lost one lawsuit and settled two. There are two more pending lawsuits right now. Dale Pryor v. Killebrew/Dalton, Inc., John Wabel and Sheila Mullineux, Pierce County Case No. 07 2 060885 and Roberta Swigert and Janelle Page v. Killebrew/Dalton, Inc. and John Wabel, also in Pierce County Superior Court. In the second lawsuit, the plaintiffs have schedule a motion for default as the defendants have not filed an answer.