The federal government has traditionally relied on a variety of private accrediting bodies and state chartering and licensing authorities for determining eligibility and exercising direct supervision and consumer protection in education. As Federal financial assistance directly to students has expanded (3 million students received $6.4 million in…

This report on abuses in federal student aid programs, particularly the Guaranteed Student Loan Program (GSLP), is based on information gathered by the Senate Permanent Subcommittee on Investigations in the course of its overall investigation and the testimony and exhibits received during the course of hearings held between February and October,…

As part of the reauthorization of the Higher Education Act of 1965 the Congress has examined concerns over the integrity of the student aid program and has consequently looked at reforming the current structure used to approve schools for program participation. The current structure has a "triad" format whereby schools that wish to…

This document reports oral testimony and prepared statements of persons who testified at hearings on abuses in federal student aid programs. Witnesses included proprietary school owners, officials from accrediting bodies and other educational organizations. Their testimonies focused on the various problems and discrepancies occurring within the…