For-Profit College Alleges Conspiracy by Community College

October 6, 2010

Privately held Keiser University on Monday filed a lawsuit against Florida State College at Jacksonville, alleging that two of the college's administrators “disseminated false information about proprietary schools, including Keiser, by working through advocacy groups and 'short sellers' who profit when the price of a publicly traded stock declines in value." Keiser, which is based in Florida, says its enrollment has declined and that companies and high schools are reluctant to set up partnerships since scrutiny of the for-profit sector, within the Obama administration and in Congress, has heightened in the last year.

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