The largest college admissions fraud scam unearthed in U.S. history was run out of a small college preparation company in Newport Beach, California. Read more:
BOSTON - Federal authorities arrested dozens on Tuesday for a $25 million scheme to help wealthy Americans, including actresses Felicity Huffman and Lori Loughlin and some CEOs, cheat their children’s way into elite universities, such as Yale and Stanford.
“I was essentially buying or bribing the coaches for a spot,” Singer said as he pleaded guilty to charges including racketeering, money laundering and obstruction of justice. “And that occurred very frequently.” Other parents charged include Manuel Henriquez, the chief executive of specialty finance lender Hercules Capital; Gordon Caplan, the co-chairman of international law firm Willkie Farr & Gallagher; Bill McGlashan Jr., who heads a buyout investment arm of private equity firm TPG Capital; and Douglas Hodge, the former CEO of the investment management firm Pimco.
Yale University and the University of Southern California said in separate statements that they were cooperating with investigators. Part of the scheme involved advising parents to lie to test administrators that their child had learning disabilities that allowed them extra exam time.
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