Several posters profess never having heard of QuickStart. If you worked at CSC in Santa Ana you would know of them as when we purchased them back in 2012 their CEO came over to one of Jack's quarterly townhalls and spoke.
And yes, we bought them to help resolve the 90/10 rule. It's the kind of thing CCI should have done more of earlier on, but Jack basically played politics the whole time from the moment he took over as CEO. In his quarterly townhalls for quite some time he would give us "Washington updates". At the one before the 2012 elections he basically told us we all needed to vote Republican and then all our problems would go away. I also clearly remember him saying at one townhall that Speaker of the House, John Boehner, was a personal friend and that he had recently played golf with him.
But that was the problem that would eventually be at the root cause of CCI's downfall. Rather than getting on with it and developing a business model that didn't rely so much on the public purse, he believed that all he had to do was pull his strings in Washington and that would allow us to continue to suckle from the teat of the State without any accountability for outcomes. You know, the way it had been for decades - free public money without any accountability. If CCI’s “for profit” business model is so good, why didn’t good capitalists like Jack invest money into the business, put some skin in the game, and finance student loans themselves? The answer is because there is no profit in our “for profit” model; it only works if tax payer money flows into CCI coffers without any accountability for student outcomes.
The Obama administration has been right to hold us and the “for profit” education sector accountable. The DOE has a fiduciary responsibility to be sure that taxpayer money is actually being used to allow students to get worthwhile education that results in worthwhile jobs, not just to fatten the wallets of the executives, employees, and shareholders of the company.
Sorry, Jack, you weren't as good at playing politics as you thought, and as a good capitalist and Republican you in your heart of hearts must surely believe in and support accountability for the public money that flows into CCI's bank account from the Feds. That money isn't meant to just make your rich; it’s meant to improve students’ lives. Game up!