While studies have shown that a college education is more important than ever for providing long-term financial security, the plight of students at Corinthian Colleges serves as a warning shot to consumers, as a lesson that you don't always get what you pay for, and as a reminder of caveat emptor — let the buyer beware.
California-based Corinthian runs colleges under the banners of Everest, WyoTech, Heald College and QuickStart Intelligence, making it one of the nation's largest for-profit college systems. As of last spring, it had about 72,000 students enrolled at more than 100 campuses in 26 states and Canada — including an Everest campus in east Vancouver. And its CEO, Jack Massimino, last year earned roughly $3 million, according to Forbes. In the world of for-profit colleges — which in previous generations would have been called vocational schools — Corinthian has built an empire. But the empire is crashing down upon itself.