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Order protects vets from 'diploma mills'

President Obama reached out to a generation of young soldiers Friday as he added new protections for veterans and military families misled or bilked by career colleges and technical programs that target their federal education benefits. "They don't care about you," he declared, "they care about your cash."

Obama signed a broad order that partially addresses growing complaints about fraudulent marketing and recruiting practices aimed at military families eligible for federal education aid under the GI Bill.

Obama said some of these schools go after military men and women "just for the money." Citing what he called "one of the worst examples," he said a college recruiter enrolled Marines with brain injuries who couldn't even remember what courses they had signed up for.

"That's appalling, that's disgraceful," he said. "They're trying to swindle and hoodwink you."

Though there is little the federal government can do to shut down "diploma mills," the new protections would make it harder for postsecondary and technical schools to misrepresent themselves to military students.

The main target of the White House action is for-profit colleges and universities that market heavily to military families because of the easy availability of federal money under the GI Bill.

Some postsecondary schools try to attract current and former military service members using deceptive military-themed websites that appear to be government-run or connected to the GI Bill benefit system, administration officials said.

Commercial sites like, for instance, give the appearance of being generalized information sites about the benefit but in fact direct users to a narrow list of mostly for-profit institutions.

Colleges -- not all of them for-profits -- advertise on such sites and pay outside companies for recruiting leads, hoping for a piece of the estimated $9 billion the new GI Bill is expected to pay out this year to educate nearly 600,000 veterans.

Much of the advertising is tied closely to online searches for terms like "GI Bill." As a result, the Obama administration wants to trademark the term.

The Association of Private Sector Colleges and Universities, which represents for-profits, said it was disappointed Obama "decided to bypass the Congress" with an executive order.

"Career-oriented institutions proudly serve military and veteran populations and work with congressional leaders in a bipartisan manner to address concerns about veteran education across all sectors of higher education," it said.

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