Purchases of Degrees from Diploma Mills (21-NOV-02, GAO-03-269R).
This report discusses the investigation of diploma mills that
illegally sell fraudulent academic degrees to individuals that
use them to gain positions and increase income based upon these
documents. Per request, GAO handled the undercover operation and
successfully purchased a degree from a diploma mill to
demonstrate how easily one can be purchased. Individuals found
guilty of purchasing such documents were contacted and
interviewed as well, further concluding the identity of a diploma
mill, Degrees-R-Us. The owner was questioned and admitted to the
sales of approximately 100 fraudulent degrees over the past 2
years when his business began. This matter will be investigated
by both the Federal Trade Commission and the U.S. Postal Service
as well.
-------------------------Indexing Terms-------------------------
REPORTNUM: GAO-03-269R
ACCNO: A05568
TITLE: Purchases of Degrees from Diploma Mills
DATE: 11/21/2002
SUBJECT: Academic achievement
Fraud
Internet
Web sites
Investigations by federal agencies
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GAO-03-269R
GAO- 03- 269R Purchases of Degrees from Diploma Mills United States
General Accounting Office
Washington, DC 20548
November 21, 2002 The Honorable Susan M. Collins Ranking Minority Member
Permanent Subcommittee on Investigations Committee on Governmental Affairs
United States Senate
Subject: Purchases of Degrees from Diploma Mills Dear Senator Collins:
This report responds to your request that we investigate issues concerning
the proliferation of diploma mills, which sell bogus academic degrees
based upon *life experience* or substandard or negligible academic work.
Specifically, you asked that the Office of Special Investigations, acting
in an undercover capacity, demonstrate how easy it is to purchase a degree
from a diploma mill. You also asked us to identify and interview
individuals who have purchased degrees from diploma mills and determine
whether those individuals have used their bogus degrees to increase
income, defraud employers, or gain positions of public trust. We briefed
your office on our investigative findings. This report summarizes those
findings and includes documents referenced in that briefing.
We conducted our investigation from May 14, 2001, through May 8, 2002, in
accordance with investigative standards established by the President*s
Council on Integrity and Efficiency. We searched the Internet and
identified Degrees- R- Us as a diploma mill. Posing as an individual
working in the biology and medical technology field, our investigator
purchased a bachelor*s and a master*s degree, as well as a 1- year *degree
verification service* from Degrees- R- Us. In addition, we obtained a list
of individuals who have purchased degrees from Degrees- R- Us and
interviewed several of them to determine how they have used their degrees.
We also obtained a list of entities that the Oregon State Office of Degree
Authorization has identified as diploma mills and enlisted the assistance
of a government- sponsored Internet job recruitment Web site to identify
individuals who have listed degrees from diploma mills on their resumes.
We then conducted interviews with several individuals who held positions
of trust and responsibility in order to determine whether they used their
diploma mill degrees to obtain their positions, increase their earning
potential, or defraud employers.
In summary, we purchased a Bachelor of Science degree in Biology and a
Master of Science degree in Medical Technology from Degrees- R- Us, a
diploma mill. Based on the lack of candid responses during our interviews
with individuals who purchased
GAO- 03- 269R Purchases of Degrees from Diploma Mills Page 2 degrees from
Degrees- R- Us, we were not able to determine whether they benefited
financially or otherwise from the bogus degrees. However, our review of
resumes and subsequent interviews with individuals who purchased degrees
from other diploma mills established that these individuals intended to
benefit from their bogus degrees and in some cases might have benefited
from them. As a result of our investigation, we referred Degrees- R- Us to
both the Federal Trade Commission and the U. S. Postal Service for further
investigation.
Purchase of Degrees from Degrees- R- Us
After identifying Degrees- R- Us as a diploma mill, we held numerous
discussions in an undercover capacity with its owner. Posing as Susan M.
Collins, we first contacted Degrees- R- Us to obtain information regarding
the steps to follow in purchasing degrees. Following those instructions,
we successfully purchased a Bachelor of Science degree in Biology dated
June 13, 1975, and a Master of Science degree in Medical Technology dated
June 10, 1988, in the name of Susan M. Collins. The degrees were awarded
by Lexington University, a nonexistent institution purportedly located in
Middletown, New York. Pursuant to Degrees- R- Us*s request, we provided
the names and telephone numbers of individuals who could provide
references and vouch for Ms. Collins* job experience in biology and
medical technology. However, Degrees- R- Us did not contact any of our
references. We paid $1,515 to Degrees- R- Us for the *premium package*
(enc. I). The package included two diplomas from Lexington University
(enc. II), honors distinctions, and a telephone degree verification
service that could be accessed by potential employers wishing to verify
information regarding the school transcripts and degrees purportedly
conferred (enc. III).
To test the degree verification service, we posed as a potential employer
of Ms. Collins. An individual associated with Degrees- R- Us confirmed
that Ms. Collins had been awarded a bachelor*s and a master*s degree from
Lexington University.
Lack of Candor Prevented Determination Regarding How Individuals May Have
Benefited from Bogus Degrees
We also obtained a list of individuals who purchased degrees from Degrees-
R- Us and attempted to interview them. The individuals we interviewed were
not candid in discussing why they purchased the degrees or how they used
them.
At the time of our investigation, the Oregon State Office of Degree
Authorization identified 43 institutions as diploma mills or unaccredited
institutions. To determine the reason for which the degrees had been
purchased, we requested that a government- sponsored Internet resume
repository query its database to determine if any resumes it contained
listed degrees from entities identified by the state of Oregon as diploma
mills. We received a database of more than 1,200 resumes that included
degrees from 14 of the 43 diploma mills.
We then reviewed each resume to determine if the job applicant held a
position of trust and responsibility. Based on our review, we concluded
that approximately 200 individuals held such positions. Of these, we
interviewed four individuals who had purchased degrees from entities
listed on the state of Oregon*s diploma mill list.
GAO- 03- 269R Purchases of Degrees from Diploma Mills Page 3 Based on our
review of the resumes and interviews with the four individuals, we
believe that these individuals intended to use the bogus degrees to
benefit financially or defraud employers. In this regard, each resume
listed the degrees, and the individuals disclosed to us that they
purchased the degrees either to enhance their resume or to be considered
for certain positions.
Referral of Degrees- R- Us to the Federal Trade Commission and U. S.
Postal Service
After purchasing the degrees from Degrees- R- Us and testing its degree
verification service, we interviewed the firm*s owner. We learned that the
owner is a disbarred attorney who resides in Las Vegas, Nevada, and who
runs the business out of his home using the Internet and relying on mail
drops and toll- free numbers. The owner told us that he has sold
approximately 100 degrees since starting his business approximately 2
years ago. He explained that he started the business after viewing a
television expose about the prosecution of a diploma mill operator and
deciding that he could more successfully operate a diploma mill.
Notwithstanding the company*s degree verification service, the owner
claimed that he sells the degrees for *self esteem purposes* and not to
satisfy employment requirements. The owner admitted that although
*candidates* are required to provide references vouching for their
experience, he does not verify such experience because he assumes that his
customers are honest people.
We referred this matter to both the Federal Trade Commission and the U. S.
Postal Service for further investigation.
---- As agreed with your office, unless you announce its contents earlier,
we plan no further distribution of this report until 30 days after its
date. At that time, we will send copies of this report to interested
congressional committees. The report will also be available at no charge
on the GAO Web site at http:// www. gao. gov. If you have questions about
the investigation, please contact Acting Assistant Director Andrew
O*Connell at (202) 512- 7449 or Senior Special Agent Robyn D. Stewart at
(202) 512- 7475.
Sincerely yours, Robert J. Cramer Managing Director Office of Special
Investigations
Enclosures
GAO- 03- 269R Purchases of Degrees from Diploma Mills Page 4 Enclosure I
GAO- 03- 269R Purchases of Degrees from Diploma Mills Page 5 Enclosure II
GAO- 03- 269R Purchases of Degrees from Diploma Mills Page 6 Enclosure II
GAO- 03- 269R Purchases of Degrees from Diploma Mills Page 7 Enclosure III
GAO- 03- 269R Purchases of Degrees from Diploma Mills Page 8 Enclosure III
(601089)
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