Legal Filings

Legal Filings
Apr 13, 2011

CREW Receives Dept. of Education Response to Request for Investigation

Today CREW received a response from Education Under Secretary Martha J. Kanter to our letter of March 1, 2011, requesting that Education Secretary Arne Duncan investigate the role hedge fund managers and other outside groups have played in the agency’s development of regulations governing the for-profit education industry. CREW’s request was based on the growing body of evidence that top Education officials carried out a planned leak of the soon to be released proposed regulations to a select group  of individuals and knowingly allowed short-sellers to manipulate agency processes for personal gain. Despite this evidence – much of it from documents produced by Education in response to a Freedom of Information Act request from CREW – Ms. Kanter insists the agency’s process has been “open, inclusive, and transparent throughout” and accuses CREW of making allegations based on an apparent “misunderstanding” of the regulatory process. 

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