PDF - Pro Bono Net

DANIEL E. LUNGREN Attorn~, General

Stae of California DEPARTMENT OF JUSTICE

300 SOUTH SPRING STREET, SUITE 5212 LOS ANGELES, CA 90013

(213) 897-2000

(213) 897-2660 Fax (213) 897-4951

April 24, 1996

False Certification Unit Post Default Services Branch CSAC P O Box 510623 Sacramento, CA 94245-0623

Re: National Technical College

Dear False Certification Unit Post Default Services Branch:

You requested information we may have regarding false certification by National Technical College. Although we cannot review all files that might disclose specific information about particular students, we do have evidence gathered during litigation against National Technical College provided by accrediting associations (ABHES & ACCET), the Council on Private Postsecondary and Vocational Education (CPPVE), Legal Aid offices, former employees and former students, that demonstrates that National Technical College routinely falsely certified students as having the ability to benefit from the training, and that "graduation" from NTC was not an indication that students were able to benefit from the course because the training did not prepare them for employment in the fields for which NTC purportedly trained them.

The AG sued NTC on June 14, 1989. NTC claimed to offer courses in medical assisting, medical office procedures/word processing, computer repair technician, dental assisting, dental laboratory technician, and private security training for private security officer. A stipulated judgement settled the suit for $675,000 on September 16, 1991. The AG alleged that unlawful business practices and misrepresentations permeated NTC’s entire operation from January 1, 1985 through the date it closed the final school location in September 1990. In support of its application for a preliminary injunction, the AG submitted approximately 40 declarations and testimony from a number of depositions to the L.A. Superior Court, which detailed widespread unlawful practices including, NTC’s failure to pro’~5de needed equipment and supplies; its falsification of placement statistics; and its failure to properly test students’ ability-to-benefit. Based on that evidence, the court determined that the AG had a reasonable probability of

False Certification Unit Page 2 April 24, 1996

prevailing on the merits and issued a preliminary injunction. Citations indicated below are to declarations filed and depositions taken in the AG’s lawsuit against NTC and its owners and to interviews we conducted in the course of our investigation.

NTC Did Not Properly Determine Students’ Ability to Benefit

Attached are copies of the relevant sections in the Memorandum of Points and Authorities and the Reply Memorandum of Points and Authorities in support of the Preliminary Injunction that pertain to ATB testing at NTC.~ The parts of the referenced declarations and depositions from students and employees about NTC’s failure to properly determine students’ ability to benefit are also attached. The following summarizes that evidence:

Exhibit 1 contains a copy of ACCET’s On Site InspectionVisit Pursuant to the August 23, 1989 Show Cause Order. It documents NTC’s practice of admitting students who did not have sufficient English language skills to benefit from the program, which was offered in English only.

Exhibit 2 contains copies of the ATB tests NTC used at various times, the Wonderlic Test and the Factored Aptitude Series Dexterity Test used for admitting dental laboratory technician students. The Wonderlic test requires a 12 minute time limit.2 NTC’s regular practice was to allow the applicant unlimited time to complete the exams, thus invalidating any results.3 Other typical NTC practices were to provide the answer sheet, to allow applicants to converse during the exam, or to change the answers to the exam a~er the exam was handed in.4 Many times there was no ATB ~test administered at all at the time of enrollment.5 The cutoff scores used by NTC for the Wonderlic test were not approved by the test producer or the accrediting agency.6 The Wonderlic Personnel material suggests a passing score of 12 for security guard and NTC’s cut off score was set at 10.7

O~en NTC failed to test those who did not have high school diplomas before they enrolled. Instead NTC fabricated test results before inspections by accrediting bodies or guarantee agencies. Exhibit 9 contains portions of the deposition of a former director of education at NTC, Sergio Castro, in which he attests to placing fabricated ATB tests in student

t Exhibit 35, 44:12-28; Exhibit 37, 32:1-9.

2 Exhibit 2, Wonderlic Scholastic Level Exam Instruction Page.

3 Esquivel decl, ¶11,12; Hernandez Dep. 17:7-11.

4 Hemandez depo., 19:5-20:10, 21:16-23, 22:1-4, 26:3-27:7, 28:1-29:17, 105:2-106:25; James decl, ¶ 7; Longo depo.,

2:15-17, Zevallos decl., ¶6.

~ Kelly decl., ¶4; Supplemental Kelly decl, ¶3.

6 Exhibit 2, Wonderlic Admissions Testing Guidelines, p. 10, last paragraph.

7 Exhibit 2, Table 2-Suggested Minimum Admissions Scores, p. 11, Rawls decl., ¶2.


files before an accreditation visit) Franklin Moore, a former school director, provided testimony about fabricating admissions tests in his Declaration and Deposition, see Exhibits 30 and 31. Exhibit 19, deposition pages of Emma Hemandez, a former NTC receptionist, corroborates the fabrication of admissions tests before accrediting agency visits.9

A former computer repair technician teacher, Joyce Hobbs told me that she initiated using a more difficult math admissions test, one that she created, for the computer repair course because that course required good math skills. The owner fired her and discontinued using the exam after she was fired. Ms. Hobbs did not want students who could not benefit from the training. She did not want to waste her time nor the students’ time.t°

The dexterity test, the only test that NTC used to test admissions to the main course it

offered for dental lab technicians, consisted of drawing a line through a track without touching the

track lines. Trinidad Morales, a graduate in the dental laboratory technician program, stated that

she took the exam drawing some lines on a paper that she did not finish. The NTC admissions

representative told her it was okay and he helped her finish the exam. He also helped the other

five Spanish speaking people with their exams,n Grover Toomes, another dental laboratory

technician student, relates that he could not keep the pencil in the track but was admitted to NTC

anyway,lz

Completion of a Course at NTC Was Not a Reliable Indicator that the Student Had the Ability to Benefit from the Course

NTC first became eligible for student financial aid programs under the HEA in early 1985. Its owners, the Bidnys, immediately began to recruit Cambodian, Laotian and Vietnamese- speaking persons by representing that the instruction would be offered in the person’s native language. ~3 NTC did not, however, provide instruction in the students’ native language. 14 When

the students complained, the owner ofNTC, Anatoly Bidny ("Bidny") said that they would be put in jail if they did not finish the course and/or pay their loan because the government was paying for it.1~ Thus the fact that a student "finished" the course, is not evidence that the student had the ability to benefit. Rather, it may merely indicate they were intimidated into continuing to attend

Castro Depo. 53:13-56:18, 58:5-14, 59:15-23, Moore Depo., 93:13-95:23, Moore decl., ¶16.

Hemandez depo., 26:3-27:5.

Ettinger decl., ~2"~,, Bendaw decl.,¶2; Frazee decl., ¶3.

Morales decl., ¶3.

Toomes decl., ¶4.

Rann decl., ¶¶ 1,2; see Nakamura declaration, ¶ 3, Ex. 2 at 16:8-25, 18:6-17.

Rarm, ¶¶ 3-4; Nakamura, ¶ 3, Ex. 2 at 18:6-19, 20:5-16, 21:10-23, 29-30.

~ Decl. Rann, ¶ 6.


until the school gave them a meaningless certificate.

Former placement officials for NTC testified that they falsified the placement records and that placing students was extremely difficult because they did not obtain needed skills at NTC.~6 For the period from 1984 through 1987, NTC’s own records showed it "placed" only nineteen out of eighty-four graduates of the dental laboratory course, the largest and the first course NTC offered.~7

NTC did not provide the training or equipment necessary to prepare students for the jobs for which it represented students would be trained. There was a high turnover rate of teachers; for example, during a less than eight-month long course, a student may have had three or more different teachers.~8 This was partly the result of both Anatoly and Sofia Bidnys’ frequent demands that the administrators of NTC fire teachers.~9 During a one-year period ~hey told the director of the Spring Street school to fire almost every teacher on the staff.2° Also, many teachers either were not adequately prepared to teach the course or spent their time chatting, outside the classroom or otherwise did not teach the material.~ Classes sometimes had no teacher for weeks.22 Teachers told students test answers or allowed them to retake a test until they received a passing grade.23

NTC did not give students their books and supplies until student loans and grants had been processed and the student had signed over the funds, usually some four weeks or more after the student began class.24 During the beginning weeks of the class, students were sometimes supplied with photocopies of materials or had to make photocopies for themselves; otherwise, . students received practically no materials.2~ Equipment was frequently outdated, unavailable or in

~ Decl. of A. Robinson, 17 2-6; James Decl., 17 4-5, 13.

17 A. Robinson decl., 1 6, Ex. 4.

18 See, e.g., decls, of Bass, ¶ 7; Carruthers, 1 5; Davis, ¶ 5; Dunn, ¶ 7; Faircloth, ¶ 4; Gledhitl, ¶ 6; Johnson, ¶ 7;

Morales, ¶ 9; Mufioz, r. 5; Rann, ¶ 3; E. Robinson, ¶ 4; Toomes, ¶ 7; Wallace, ¶ 9; Woosley ¶ 24, Ex. 10; see Mufioz, ¶ 5.

19 Longo decl., ¶ 26.

~o Id.

:1 Decls. of Calloway, 14; Dunn, ¶ 7; Evernhan, 1 5; Faircloth, 1 4; Hull, ¶ 5;Johnson, ¶ 7; Kelly, 17 5, 8-9; E. Robinson,

71 4-5; Toomes, 1 7; Wallace, 1 9.

~’ Decls. of James, ¶ 9; Johnson, 1 7; Mufioz, 1 5; Lamb, ¶ 3; Morales, 1 15; Lamb depo. 25:11-20; see Calloway decl., 74.

:3 Decls. of Calloway, ¶ 10; Morales, ¶ 11; Nakamura, ¶ 2, E~. 1 at 5:10-23; Zevallos 1 6.

:4 Decls. of Woosley, 11 26, 29, Exs. 12, 15; Longo, 1 17.

:~ Decls. of Woosley, 1 29, Ex. 15; Calloway, 1 4; Dunn, 1 7; Faircloth, 1 4, Hull, 1 4; Johnson, 17 5-7; Kelly, 1 6; Patchett, ¶ 8; A. Robinson, ¶ 7; Scalf, ¶ 3; Toomes, 1 10; Wallace, ¶ 9; see GledhilI, ¶ 5; Evemhan, ¶ 4.


disrepair.26 For example, students enrolled in computer repair courses for most of the course had. no computers on which to practice.27

The files of the AG’s case against NTC are replete with sworn testimony of former students and staff documenting pervasive fraud and abuse such as that described above which prevented completion of the course from being a reliable indicator that a student had the ability to benefit from the course. The evidence covers the period from 1985 until the school closed in September 1990. The school’s deficiencies were also well documented by the accrediting association ABHES, which was completely reevaluating its accreditation of NTC, when the accrediting association ACCET granted alternative accreditation to NTC in 1987. Although ACCET eventually documented even more evidence of the severe problems at NTC and voted for a "show cause" order against the school, ACCET took no action to implement the show cause for several months, until after the Attorney General’s lawsuit was filed against NTC and ACCET. Ultimately, ACCET revoked NTC’s accreditation in August 1990. In the California Attorney General’s action against ACCET, ACCET stipulated to a monetary judgment.

cc: Ms. Carney McCullough Chief, General Provisions Branch Policy, Training, and Analysis Service Policy Deyelopment Division U. S. Department of Education 600 Independence Avenue, S.W. Washington, DC 20202-5345

Very truly yours,

DANIEL E. LUNGREN

Attorney Genera/’)

ClSnsumer Protection Analyst

26 Decls. of Dunn, 1 7; Ettinger, ¶ 4; Gutierrez,1 14; Johnson, 11 5-7; Lamb, 1 4; Patchett, 1 9; A. Robinson, ¶ 7; E. Robinson, 1 5; Wallace, 1 9; Calloway, 11 4, 8; Longo, ¶I 19-21, 23; Sealf, 1 3; Woosley, 1 34, Ex. 18; depos, of Lamb 24:25-26:19; Calloway 85:10-87:5; Castro 143:22-145:10.

zr Decls. of Calloway, ¶14, 8; Ettinger, ¶ 4; Scalf, 13.


Exhibit 1. ACCET On Site Inspection Visit Pursuant to the August 23, 1989 Show Cause Order Exhibit 2. ATB Tests & Wonderlic Company Materials Exhibit 3. Bass Declaration Exhibit 4. Bendaw Declaration Exhibit 5. Bernal Declaration Exhibit 6. Calloway Declaration Exhibit 7. Calloway Deposition Pages Exhibit 8. Can-uthers Declaration Exhibit 9. Castro Deposition Pages Exhibit 10. Davis Declaration Exhibit 11. Dunn Declaration Exhibit 12. Esquivel Declaration Exhibit 13. EttingerDeclm’ation

Exhibit 14. Evernhan Declaration Exhibit 15. Faircloth Declaration Exhibit 16. Frazee Declaration Exhibit 17. Gledhill Declaration Exhibit 18. Gutierrez Declaration Exhibit 19. Hernandez Deposition Pages Exhibit 20. Hull Declaration Exhibit 21. James Declaration Exhibit 22. Johnson Declaration Exhibit 23. Kelly Declaration & Supplemental Exhibit 24. Khair Declaration Exhibit 25. Khem Declaration Exhibit 26. Kinchelow Declaration Exhibit 27. Lamb Deposition Pages Exhibit 28. Lamb Declaration Exhibit 29. Longo Declaration Exhibit 30. Moore Deposition Pages Exhibit 31. Moore Declaration Exhibit 32. Morales Declaration Exhibit 33. Munoz Declaration Exhibit 34. Nakamura Declaration Exhibit 35. Order to Show Cause re Preliminary Injunction - Points & Authorities in Support Exhibit 36. Patchett Declaration Exhibit 37. Plaintiffs Reply Memorandum of Points and Authorities Exhibit 38. Rann Declaration Exhibit 39. RaMs Declaration Exlfibit 40. A. Robinson Declaration Exhibit 41. E. Robinson Declaration Exhibit 42. ScalfDeclaration Exhibit 43. Toomes Declaration Exhibit 44. Wallace Declaration Exhibit 45. Woosley Declaration Exhibit 46. Zevallos Declaration


bcc: Ken Babcock Elena Ackel Betsy Imholtz John Sheldon

On-Site Inspection visit Pursuant tm the

~ 23, 1989 Shc~ Ca%L~e Orator

D~qIg~L TECHNOLf~Y COLLEGE F~R THE HANDI~ d/b/a National Technic~l College

12001 Victory Boulev’ard Nor~-~hHolly~x~d, California 91606

(818) 762-0958

Branch Ca us: 600 Sou~hSpring, 6thFloor

Los Angeles, Califorruia 90014 (213) 624-8937

November 6 - 8, 1989

Dental Technology Colleg~ for the Handicspped d/b/a .National TemhnicBl. Oolleg~ Page4

o

Standard VII. A does not require that a student file contain proof of recruitment for echgc~tional ~ lather than employment. However, because of the noted problems (as previously cited in #1) created by the use of external agencies and agents, prudent management might be req~i~-ed ~ do mer~ than place profunct~ry disc!aJ2ers in a student’s file to assure itself of the motives of the s’d~ent for coming to the school. The large number of s~udents who told the team that their initial reason for coming to the schcol was under the a~m~ti. ’on that it would ~i~-tly lead to employment should be a caveat tm the school to make mDr~ s~__hstantial dete_n~inations that a subtle bait and switch ~=d%cd is no~ being employed.

No evidence w~s found to prove that the .supervisor of the externa! a~znts was employed by the s~x)ol and, in fac’~, the school affirmatively dznied such. This question arose from the January 4-5, 1989 ACCET Team Report.

%~e interviewing of smmlemts z~t~ed concern that the school may have sZudents enrolled with insufficiznt English language skills to benefit from the ~. Special intervie~ were CCndlUcted for the purpose of making this determination. ~he team believes that the follcwing s~udents, Rosaura Ruano, Felipe Pineda, and Jose Flores, do not have an adequate use and und~ of English to b~nefit from the progrB2~ taught in English. The t~_am further noted ~hat the files of these students contained disclaimers in English, and ~d%ree of the files contained s~atements obviating the need to furnish proof of high school graduation. ~hese documents were all in English and the team questions whether the stmdents understm(x~ the significance or ~ of thet which was signed. The documents relat_~__ to the above mentioned s~udents are included as Exhibits 2-1A, 2-1B, ar~ 2-IC. ~.

EXHIBIT 2

WONDERLIC

SCHOLASTIC-LEVEL EXAM FORM T-51

NAME ................................................................................................................................................ Date .............................. (Please Print)

READ THIS PAGE CAREFULLY. DO EXACTLY AS YOU ARE TOLD. DO NOT TURN OVER THIS PAGE UNTIL YOU ARE

INSTRUCTED TO DO SO. PROBLEMS MUST BE WORKED WITHOUT THE AID OF A CALCULATOR

OR OTHER PROBLEM-SOLVING DEVICE.

This is a test of problem solving ability. It contains various types of questions. Below is a sample question correctly

ANSWERS

REAP is the opposite of HErE

1 obtain, 2 cheer, 3 continue, 4 exist, 5 sow .................................................................................

The correct answer is "sow." (It is helpful to underline the correct word.) The correct word is numbered 5.

Then write the figure 5 in the brackets at the end of the line.

Answer the next sample question yourself.

Paper sells for 23 cents per pad. What w~ll 4 pads cost? ..................................................................................................

The correct answer is 92¢. There is nothing to underline so just place "92�" in the brackets.

Here is another example:

MINER MINOR -- Do these words have ’,

1 similar meaning, 2 contradictory, 3 mean neither same nor opposite? ................................... [

The correct answer is "mean neither same nor opposite" which is number 3; so all you have to do is place

a figure "3" in the brackets at the end of the line.

When the answer to a question is a letter or a number, put the letter or number in the brackets.

All letters should be printed.

This test contains 50 questions. It is unlikely that you will finish all of them, but do your best. After the examiner tells

you to begin, you will be given exactly 1:2 minutes to work as many as you can. Do not go so fast that you make

mistakes since you must try to get as many right as possible. The questions become increasingly difficult, so do not

skip about. Do not spend too much time on any one problem. The examiner will not answer any questions after the

test begins.

Now, lay down your pencil and wait for the examiner to tell you to begin!

Do not turn the page. until you are told to do so.

Revised ©1984 Charles F. Wonderlic

Copyrighz 1967 by E.F. Wonderlic~

Published by E.F. Wonderlic Personnel Test, Inc.. 820 Frontage Rd., Nor~hfield. IL 60093, 312/446-8900. All rights reserved, including the right to reproduce this test or any pan thereof in any form, in English or in any other language, by photocopy, offset, mimeograph or in any other way. whether the

reproduction~ are sold or are furnished fr~� for us~, Printed in U.S,A,

1. PARASITE PAILASOL -- Do se words have (I) similar meanings, (2) contradictory, (3) mean neither same nor ol.,.osite? ................

2. CAPTURE is the opposite of 1 place, 2 release, 3 risk, 4 venture, 5 degrade ...................................................................

3. Most of the items below resemble each other. Which one is least like the others?

1 January, 2 August, 3 Wednesday, 4 October, 5 December ....................................... 4. FURTHER ¯ FARTHER -- Do these words have ~,-..

(1) similar meaning, (2) contradictory, . (3) mean neither same nor opposite? .................. 5. In the following set of words, which word is different from the others?

1 butterscotch, 2 chocolate, 3 sundae, 4 caramel, 5 toffee ............................................ 6. How many of the five items listed below are exact duplicates of each other?

527 527 84382 24382 43434 43434 84629 84630

381161 381101 7. PURE is the opposite of

1 immaculate, 2 indecent, 3 incorrupt, 4 innocent, 5 classical 8. How many of the five pairs of items listed below are exact duplicates? ..............................................

Sharp, M G Sharpe, M. G.

Fiedler, E.H. Fiedler. E. H.

Connoro M.J. Conner, M. J. Woesner, O W. Woerner, O W.

Soderquist, P.E. Soderquist, B. E.

9. Suppose you arranged the following words, so that they made a true statement. Then print the last letter in the last word as the answer to this problem.

it but pours never rains It ....................................................................................................................................... 10. Assume the first two statements are true. Is the final one: (1) true, (2) false, (3) not certain?

The violin is in tune with the piano. The piano is in tune with the harp. The harp is in tune with the violin ........................................................................................................................................................................

11. SUPPORT is the opposite of 1 maintain, 2 sustain, 3 cherish, 4 desert, 5 prop ......................................................

12. Assume the first 2 statements are true. Is the final one: (1) true, (2) false, (3) not certain? The puppies are normal dogs. All normal dogs are active. These puppies are active .............

13. One number.in the following series is omitted. What should that number be? I000 996 992 ~ 984 980 .....................................................................................

14. Two of the following proverbs have a similar meaning. Which ones are they? ................. 1. Once bitten, twice shy. 2. No one is happy all his life long.

3. Hitch ;,’our wagon to a star.

4. Fortune favors the brave.

5. All men have the same share of happiness¯

15. DECEPTION is the opposite of 1 falsehood, 2 trickery, 3 frankness, 4 finesse, 5 fabrication ....................................

16. Assume the first 2 statements are true. Is the final one: (1) true, (2) false, (3) not certain? All red-headed boys like candy. Charles is red-headed. He likes candy ..........................

17. Suppose you arranged the following words so that they made a true statement¯ Then print the last letter of the last word as the answer to this problem.

always A verb sentence a has ...................................................................................................................... 18. Look at the row of numbers below. What number should come next?

81 27 9 3 1 Va 19. ILLICIT ILLITERATE -- Do these words have

(1) similar meanings, (2) contradictory, (3) means neither same nor opposite? ............. 20. In the following set of words, which word is different from the others?

1 little, 2 small, 3 tiny, 4. spacious, 5 precise ..................................................................... 21. ADORN is the opposite of

1 garnish, 2 ornament, 3 embellish, 4 bedeck, 5 deface .............................................. 22. Suppose you arrange the following words so that they make a complete sentence. If it is a true

statement, put a (T) in the brackets; if false, put an (F) there. eggs lay All chickens ..............................................................................................................................................

23. This geometric figure can be divided by a straight line into two parts which will fit together in a certain way to make a perfect square. Draw such a line by joining tv,,o of the numbers. Then write these numbers as the answer.

24 A dealer bought some gauges for 53500. He sold them for $5500, making SB0 on each gauge ttow many gauges were involved?

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26.

27.

28.

29. 30

31.

32.

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35.

36.

37. 38.

39.

40.

41.

42. 43.

44.

45.

46.

47.

48.

49.

CANVASS CANVAS -- Do these words have l similar meanings, 2 contradictory, 3 mean neither same nor opposite?

In the following set of words, which word is different from the others? ! spice, 2 scent, 3 sour, 4 fume, 5 odor .....

Our baseball team lost 15 games this season. This was % of all they pla) ed. How man),,, games did they play this season? ..................................... Are the meanings of the following sentences: {1) similar. (2) contradictory, (3) neither similar nor contradictory? Always be well dressed, even when begging. It is not t’he fine coat that makes the fine gentleman .................................................................................... If 2.~ tons of stone cost $20, what will 3~,/2 tons cost? ..................

How man’,’ of the five pairs of items listed below are exact duplicates? Sil’~erstein. M O Sil\’erst,en M 0

Harrisberg. L W Harrisber~. L M Seirs. J C. Sears. J C Wood, A B. Woods A B

Johnson. M D Johnson. M D

Two of the following proverbs have similar meaning. Which ones are the\’? l A setting hen never gets fat

2 Many a good co,.,," hath a bad calf

3 A miss is as good as a 4 A mar. ts known by the company he keeps

5 A rolhng stone gathers no moss

A roof is supported on 7 scantlings, each 6V: feet long. At 70 cents a running foot, how muc~ did those pieces cost? .......................................................................................... Which number in the following group of numbers represents the smallest amount?

.999 999 .9 1 2 .88 ...................................................................................... Are the meanings of the following sentences: (I) similar, (2) contradictor)’, (3) neither similar nor contradictor~’? No doctor at at! is better than three. The more doctors, the more sickness. When the price of chai’n increased from 16.4 cents to 20.5 cents, what was the percent increase in cost of the chain¯ Our baseball team l~Si9~ames this season. ?his wa~,:’~ 0f all thei: phyed. How many games did the)" play this season? ................................................................................................................ How many square yards are there in a floor which is 9 feet long by 21 feet wide? One number in the following series does not fit in with the pattern set by the others. Whatshould that number be? 8 9 12 13 16 17 18 Three of the following 5 parts can be fitted together in such a way asto make a triangle Which 3 are they? ..........................................................................................................

ENDURE is the opposite of 1 allow, 2 bear, 3 suffer. 4 sustain, 5 foil .........

IMAGE IMAGINARY -- Do these words have (1) similar meanings, (2) contradictory, (3) mean neither same nor opposite?

A man’s car traveled 60 miles in 45 minutes. How many miles an hour was it traveling? i

Are the meanings of the following sentences: (1) similar, (2) contradictory, (3) neither similar nor contradictoD’? All good things are cheap, all bad thingsvery dear. Goodness is simple; badness is manifold. A soldier shooting at a.~i..~i.i~i.i~.i~;~..~i~..~.~.~.~.~.~~i~.~.~i.~;~i~e..~.~a~in he will register 100 hits? ................................................................................................................................ For $1.80 a grocer buys a case of fruit which contains 12 dozen. He knows that two dozen will spoil before he sells them. At what price per dozen must he sell the good ones to gain % of the whole cost? ............................................................................................................................................ In the following set of words, which word is different from the others?

1 colony, 2 companion, 3 covey, 4 crew, 5 constellation ............................ Assume that the first 2 statements are true. Is the final one: (1) true, (2) false, (3) not certain? Great men are ridiculed. I am ridiculed. I am a great man ............................................ Three men form a partnership and agree to divide the profits equally. X invests $4500, Y invests $3500 and Z invests $2000. If the profits are $1500, how much less does X receive than if the profits were divided in proportion to the amount invested? ................................................................ This geometric figure can be divided by a straight line into two parts which will fit together in a certain way to make a perfect square. Draw such a line by joining 2 numbers. Then write these numbers as the answer.

lS 14 13 12

50. In printing an article of 27,000 words, a printer decides to use two sizes of type. Using the larger type, a printed page contains 1200 words. Using the smaller type, a page contains 1500 words. The article is alloted 21 full pages in a magazine. How many pages must be in the smaller type? ....

HERE

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DATE:

WO,,,OERLIC SCHOLASTIC LEVEL _XAM FORM T-51

APPLICATION FOR:

VOLUNTARY EQUAL OPPORTUNITY REVIEW INFORMATION

The following" information will help to make certain that your test

score is reviewed to your fullest advantage. Some of the information will be used to make technical adjustments to your score. Any adjustment to your score will only increase it and benefit you.

The remaining information is requested so that we can study the test itself,

Thank you for your help!

PLEASE COMPLETE THIS INFORMATION ABOUT YOU

Sex: I ) Male ( ) F’emale

Age: Birth Date:

Years of Education Completed:

Or Advanced Degrees Received:

Language:

What language do you read mu~t easily.:)

Do you have difficulty reading English... ( ) Most of the’time. ( ) Some of the time. ( ) Seldom. ( ) Never.

Race or ]Ethnic Origin:

) American Indian ) Black-Negro ) Hispanic ) Oriental ) White-Caucasian

).

Physical

(

( )

Disability:

Eyesight-- Do you wear corrective eye glasses or conta~ lenses? Do you have trouble reading this print?

Hearing-Do you wear a corrective hearing device? Do you have trouble hearing the instructions from the person giving you this test?

Other Disability-Do you have any other disability which will make it difficult for you to do your best on this test? If so, please explain:

OFFICE USE ONLY PLEASE DO NOT WRITE IN THIS SPACE

Timed 12-Minute Test Score

Adjustment Points:

TOTAL CORRECTED SCORE:

Additional Number Correct During Untimed Administration

TOTAL UNTIMED SCORE

Total Population Percentile Standing: (Based on timed 12-minute score)

CONVERTED PERCENTILE STANDING: (Based on tamed 12-minute score)

Comments:

WONDERLIC

SCHOLASTIC E-EVEL EXAM FORM IV

NAME (Please Print)

Date

READ THIS PAGE CAREFULLY. DO EXACTLY AS YOU ARE TOLD.

DO NOT TURN OVER THIS PAGE UNTIL YOU ARE

INSTRUCTED TO DO SO.

PROBLEMS MUST BE WORKED WITHOUT THE AID OF A CALCULATOR

OR OTHER PROBLEM SOLVING DEVICE.

This is a test of problem solving ability. It contains various types of questions. Below is a sample question correctly

filled in: P~ACE

REAP is the opposite of

1 obtain, 2 cheer, 3 continue, 4 exist, 5 sow

The correct answer is "sow." (It is helpful to underline the correct word.) The correct word is

numbered 5. Then write the figure 5 in the brackets at the end of the line.

Answer the next sample question yourself.

Paper sells for 23 cents per pad. What will 4 pads cost?

The correct answer is 92¢. There is nothing to underline; so just place "92¢" in the brackets.

Here is another example:

MINER MINOR--Do these words have meanings that are

1 similar. 2 contradictory, 3 neither same nor opposite?

The correct answer is "mean neither same nor opposite" which is number 3; so all you have to do

is place a figure "3" in the brackets at the end of the line.

. [

,~NSWERS HERE

When the answer to a question is a letter or a number, put the letter or number in the brackets.

All letter~ should be printed.

This test contains 50 questions. It is unlikely that you will finish all of them, but do your best. After the examiner

tells you to begin, you will be given exactly 12 minutes to work as many as you can. Do not go so fast that you make

mistakes since you must try to get as many right as possible. The questions become increasingly difficult; so do not

skip about. Do not spend too much time on any one problem. The examiner will not answer any questions after the

test begins.

Now, lay down your pencil, and wait for the examiner to tell you to begin!

1 acid, 2 cutting, 3 sharp, 4 sweet, 5 tart . -. ~ 2. The Sixth month of the year is

¯ ~.,~.~ 1 October, 2 August, 3 May, 4 June ............................ ~’~:,~: 3. In the following set of words, which word is different from the others?

~( 1 cinnamon, 2 ginger, 3 clove, 4 tobacc6~~ 5 mint ........................ :~:: 4. MEDIE~CAL MEDICAL--Do these woi’ds have meanings that are

’,~’i I similar, 2 contradictory, 3 neither same nor opposite? ............... L.~ 5. Look at the row of numbers below. What number should come next?

~ ~’:" 6. In the following set of words, which word is different from the others? . ~ I slight, 2 vast, 3 massive, 4 bulky, 5 immense.

7. FAITHFUL is the opposite of 1 true, 2 loyal, 3 firm, 4 fickle, 5 sure ......................

8. Sand sells at St/: cents per pound. How much will you save by buying a I00 pound sack at $8.25? 9. IGNITE IGNORANT~Do these words have meanings that are

1 similar, 2 contradictory, 3 neither same nor opposite? . 10. Are the meanings of the following sentences: 1 similar, 2 contradictory, 3 neither

similar nor contradictory? Love me, love my dog. He that strikes my dog would strike me

I i. CLEAN is the opposite of I disinfect, 2 scour, 3 scrub, 4 debase, 5 sponge . .

12. Assume the first 2 statements are true. Is the final one: (I) true, (2) false, (3) not certain? The voice is in tune with the piano. The piano is in tune with the cello. The cello i

~ is in tune with the voice ......................................................

~. 13. In the following set of words, which word is different from the others? 1 ill-matched, 2 unsuitable, 3 inconsistent, 4 accordant, 5 contrary

14. Assume the first 2 statements are true. Is the final one: (1) true, (2) false, (3) not certain? -~::~,~ These girls are normal children. All normal children are active. These girls are active.

"-::i 15. Two of the following proverbs have similar meaning. Which ones are they? -;~,~.~g~ 1. Those that dance must pay the music.

2. The tongue is the enemy of the neck. 3. A golden hammer breaks an iron door. 4. Who pays the piper calls the tune. 5. A barking dog never bites.

16. CONQUER is the opposite of . I overpower, 2 submit 3 subject, 4 vanquish, 5 master

17. Suppose you arranged the following words so that they made a tr.ue statement. Then print the last letter of the last word as the answer to this problem.

’~ ~ than fortunate rich be Better ......... ’"~~;; 18. ATTACK is the opposite of

1 aid. 2 assail, 3 combat, 4 besiege, 5 storm . 19, ILLICIT ILLITERATE~Do these words have meanings that are

I similar, 2 contradictory, 3 neither same nor opposite? 20. Are the meanings of the following sentences: i similar, 2 contradictory, 3 neither

similar nor contradictory? No wonder can last more than three days. All good things are three, ".~ 2 i. IDEA IDEAL~Do these words have meanings that are

.~ 1 similar, 2 contradictory, 3 neither same nor opposite? ....... - ~-~ 22. A boy is 15 years old. and his sister is twice as old. When the boy is 25 years old, what

will be the age of his sister? ........... 23. Are the meanings of the following sentences: 1 similar, 2 contradictory, 3 neither

similar nor contradictory? Elbow-grease is the best polish. The work proves the workman. 24. This geometric figure can be divided bya straight line into two parts which will fit

together in a certain way to make a perfect square. Draw such a line by joining two of the numbers. Then write these numbers as the answer. .........

$

2~

25. CHASTEN CHASTISE--Do these words have meanings that are 1 similar, 2 contradictory, 3 neither same nor opposite? .......................

26. Two of the following proverbs have similar meanings. Which ones are they? ...................................... ".~ 1. Get money first; virtue comes afterward.

¯ 2. Look not upon the wine when it is red. 3. It’s an ill wind that blow~ nobody good.

’ ,, ~ 4. No hill is =o steep but an ass loaded with gold can climb it "~" 5. The watched pot neve/boils. ~ ) (- ’;(.~’L) ~’~

1. BITTER is the opposite of "i~’i~=

[ ]

;~ SPACE :OR ;i~ WORK

27. Assume the fire. J statements ar~ true. Is the final one: (I) t,., (2) false, (3) not certain? Great men are important. I am important. I am a great man.

28. Pride is the opposite of 1 reserve, 2 self-esteem, 3 self-abasement, 4 disdain, 5 arrogance

29. In 66 days a boy saved one dollar and ninety eight cents. What was his average daily saving? 30. PITEOUS PITIABLE-,Do these words have meanings that are

1 similar, 2 eontradi.ctory, 3. neither same nor opposite? ...... 31. How many of the five items listed below are exact duplicates of each other?

Water~ouse, H.I. Waterous, H.I. Lindquist, W.C. Luedquist, W. C. Pollauf, A.S. Pollauf, A. S. Rosenfeld, F.E. Rosenfield, F. E. Sivensen, P.B. Sivensen, B. P.

32. Are the meanings of the following sentences: 1 similar, 2 contradictory, 3 neither similar nor contradictory? Nothing is so bad as not to be good for something. He that hopes not for good fears not evil .......

33. APPEAL is the opposite of I beseech, 2 entreat, 3 request, 4 deny, 5 invoke .

34. Which number in the following group of numbers represents the smallest amount? 10 3 2 .8 .888 .96 .............

35. Assume the first 2 statements are true. Is the final one: (1) true, (2) false, (3) not certain? Great men are applauded. I am applauded. I am a great man.

36. A clock was exactly on time at noon on Monday. At 8 P.M. 9n Tuesday, it was 128 seconds slow. At that same rate, how much did it lose in :/2 hour? ......

37. Two of the following proverbs have similar meanings. Which ones are they? ..... 1. A man without money is a bow without an arrow. 2. Money is a merry fellow. 3. Fine words butter no parsnips. 4. Don’t try to carry water cans on both shoulders.

5. The hot coal burns, the cold one blackens.

38. A train travels 70 feet in %0 second. At this same speed, how many feet will it travel in 31/: seconds? ................................

39. Suppose you arrange the following words so that they make a complete sentence. If it is a true statement, mark (T) in the brackets: if false, put an (F) in the brackets.

of the Envy enemy is honor 40. Assume the first 2 statements are true. Is the final one: (1) true, (2) false, (3) not certain?

Marion called Glen. Glen called Jean. Marion did not call Jean. 41. One number in the following series does not fit in with the pattern set by the-others.

What should that number be? 1/16 1/6 ~/, ~/2 1 2 42. ASK is the opposite of

1 entreat, 2 crave, 3 demand, 4 appeal, 5 deny 43. When wire is selling at $.0125 a foot, how many feet can you buy for a dollar? 44. This geometric figure can be divided by a straight line into two parts which will fit

together in a certain way to make a perfect square. Draw such a line by joining two of the numbers. Then write these numbers as the answer.

45.

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16 15 14 13

In printing an article of 21,000 words, a printer decides to use two sizes of type. Using the larger type, a printed page contains 1200 words. Using the smaller type, a page contains 1500 words. The article is allotted 16 full pages in a magazine. How many pages must be in the larger type?

46. Two of the following proverbs have similar meanings. Which ones are they? ..... 1. Mothers’ darlings make but milksop heroes. 2. Still water runs deep. 3. Mother know~ best. 4. Wide will wear but narrow will tear.

5. As a t’w~g is bent, so is the tree inclined.

47. For $4.50 a grocer buys a case of fruit which contains 14 dozen. He knows that four dozen will spoil before he sells them. At what price per dozen must he sell the good ones to gain ½ of the whole cost? ......................................................................................................................................

48. Assume the first 2 statements are true. Is the final one: (1) true, (2) false, (3) not certain? All Elks are active persons. Some of the people in this room are active. Some of the people in this room are Elks ...................................................................................................................................

49. What is the next number in this series? 2 1 .5 .25 .125 50. Three men form a partnership and agree to divide the profits equally. X invests $4,500;

Y invests $4,500; and Z invests $1,000. If the profits are $1,500, how much less does X receive than if the profits were divided in proportion to the amount invested? ......................................

’DATE:

WON[ RLIC SCHOLASTIC LEVEL E FORM IV

APPLICATION FOR:

VOLUNTARY EQUAL OPPORTUNITY REVIEW INFORMATION

The following information will help to make certain that your test

score is reviewed to your fullest advantage. Some of the information Will be used to make technical adjustments to your score. Any adjustment to your score will only increase it and benefit you.

The remaining information is requested so that we can study the

test itself. Thank you for your help!

PLEASE COMPLETE THIS INFORMATION ABOUT YOU

Sex: ( ) Male ( ) Female

Age: Birth Date:

Years of Education Completed:

Or Advanced Degrees Received:

OFFICE USE ONLY. PLEASE DO NOT WRITE IN THIS SPACE

Timed 12-minute Test score

Adjustment Points:

Language:

What language do you read most easily?

Do you have difficulty reading English... ( ) Most of the time. ( ) Some of the time. ( ) Seldom. ( ) Never.

Race or Ethnic Origin: ( ) American Indian ( ) Black-Negro ( ) Hispanic ( ) Oriental ( ) White-Caucasian

( )

Physical Disability:

( ) Eyesight--Do you wear corrective eye glasses or contact lenses? . Do you have trouble reading this print?

) Hearing--Do you wear a corrective hearing device? . Do you have trouble hearing the instructions from the person giving you this test?.

) Other DisabilityuDo you have any other disability which will make it difficult for you to do your best on this test? If so, please explain:

TOTALCORRECTEDSCORE:

Additional Number Correct Dunng

Untimed Administration

TOTAL UNTIMED SCORE

Total Population Percentile Standing: (Based on timed 12-minute score)

CONVERTED PERCENTILE STANDING: (Based on timed 12-minute score)

Comments;

sa.’r..aies have lx--en marked for you. Stud,’,’ these two problems, and see why

Th:s is a test of your aptitude to visualize objects in two and three dimensions. 13eiow are t’~o samples oi the problems you will gork in the test proper. These

they ,aere marked as they ~ere.

LOOK .-\T THE PICTL’RE ON THE LEFT. WHICH OF THE OTH. EF, FOUR PICTURES IS DRAWN IY, REVERSE?

0 0 O 0

No~." ~.’ork the ~o prob;ems beio~,. Mark an X on the picture r..har REVERSE. There ~s one) one ptcau,’e m each tow ~,hich is bac/eua.’d or ,erred. All :he p,ctur~ have been tilted, but one haa been TURNED OVER

--aa :i you ~.’ere iookmg at it :n a m~rvor. ~o that the r~ght s~de ~ ,:,e..w on the

/c;:. aad t~e ieit s~e ts on the right.

0 0 0 0

Be sure you understand ~hat you are to do. When the signal :s g|ven, you ~dl ~-ork more pro~’iems like these. \X’ORK QUICKLY, BUT BE ACCU- RATE. The test ~s short (5 minu:es~, and you will not be expected to fimsh.

No’,,, PRINT your name. group and the date ,n the boxes on the left margin.

This is a test of your manual dexterit3.’. You will do three tasks with your pencil I newly sharpened). Now work the samples below for practice.

0 0 Trace a line through the maze: Make 2 checks in each square:

0 Put 1 dot in eacfi triangle:

Your line should not touch any o~�

the points, and should be con:mu- Okl$.

I i i i 1

You should ~ve only ~ checks in ~ch square. Your checks nmy touch me sides of W.e squares.

sides oi the tr;an_~ies.

Be sure you understand what you are to do. When the signal is given, you will take the timed tests. Each of the three tests will be timed separately. Each test is very show, (1 minute). You are to work QUICKLY, but be ACCU. RATE. Speed is very important,

Now PRINT your name, group and the date in the boxes on the left margin.

Trace a line through th ~aze fDo NOT touch =olntd: I ! I

Raw Score is number of o~nJngs passed l without

~ louc~ng ~sms)-15 o~nmss to ~w .............. ~w ~Oa[

For R~n~ ~e ~nwnio~ Table for D~s~risy-M~... ~NK ~

Make 2 checks in each squ~,, e fl’r~, to s~a~, within squares, though nat necess~..,,..

loo

nO

For Rank. se~ Conve~io’n Table for Dexterity.C~e~ka

¯

Put 1 dot in each tr; -~le ~Do NOT touch sidel o# trianglel:

~C

Riw Sczre is number of triantles dotted l without touching gides)- 1S triangles to row ............... tAW SCOt|

For Rank. ~ee Conversion Table for Dexterity.Dots... IL~NI

To obtain Dezteriil Rank. add Rink- for .Miz~ -~- Checks -~ Doi~. Divide lhi.~ sum by 3. Nearest wi,ole humor ~, D~T~ITY RAN~ Enter this Rink on firsi page.

OIZTEII~

.#onderlic Technical Rep t The Scholastic Level Exam

Admissions Testing .. At Career College and Trade School Training Programs

Test Score Guidelines, Norms and Student Demographics

Charles F. Wonderlic Eliot R. Long Fred M. Rafilson

E. F. Wonderlic Personnel Test, Inc., Northfield, Illinois

suggested Minimum Admissions Scores

Training Program

WONDERLIC DATA

Student App. Job App. Sog9. Min. Median Median Admissions

Test Score Test Score Test Score

Accounting 20 24 18

Auto Body Repair 14 21 17

Auto Mechanic 14 19 14 Bookkeeper 19 24 17

Broadcasting 18 NA 18

Business School Child Care Clerical Computer-Aided Design Computer Operator

Computer Programmer Computer Technician Cosmetology Court Reporting Crim. Justice/Law Enforc.

17 25 17 14 19 14 16 22 16 20 23 19 14 24 17

17 29 24 19 25 20 17 NA 15 21 25 20 18 21 15

Data Processing 14 24 16

Dental Assistant 16 21 16 Diesel Technician 19 19 15 Drafting 20 23 17 ElectroniCs 18 26 17

Emerg. Medical Tech. 18 23 18

Fashion Merchandise 16 NA 19

Hotel/Restaurant 18 21 16 Interior Design 18 NA 18 Legal Secretary 19 24 20

Maintenance Specialist 12 18 14 Medical Assistant 21 21 18 Medical Career 13 23 15 Medical Office 18 24 17 Medical Secretary 16 26 18

Medical Technician 15 23 17 Medical Transcription 19 26 18 Nursing 16 23 18 Nursing Assistant 13 17 14 Paralegal 19 25 20

PC Operator/Micro. Phys. Therapy Asst.

18 24 18 20 NA 15

U.S. DEPARTMENT OF LABOR DATA

D.O.T. Selected Estimated D.O.T. Occupational Characteristics" SLE Occupational Math Language SVP Physical Score Code

3 3 3 1 23 3 4 7 3 23 1 2 3 4 18 4 3 4 1 23 3 4 6 2 24

3 2 2 5 2

5 5 3 2 2

2 3 1 5 5

3 4 2 3 2

3 4 4 3 3

4 3 4 2 2

2 3

4 3 3 4 3

5 4

3 3 3

3 4 2 4 4

4 5 2 4 4

3 4 5 3 4

5 4 5 2 5

3 4

7 1 25 3 3 21 2 2 22 7 1 25 6 2 22

7 7 6 6 6

4 6 3 7 7

5 7 2 7 6

7 6 5 4 7

5 7 7 4 7

6 6

1 2 2 1 3

1 2 4 1 2

3 2 3 2 1

4 2 2 2 1

2 1 3 3 1

2 3

216.482-010 807.381-010 620.684-014 210.382-018 159.147-010

169.167-034 359.677-010 209.562-010 005.281-014 213.362-010

27 020.187-010 24 003.161-014 22 332.271-010 23 202.362-010 21 375.263-014

23 203.582-022 24 079.371-010 18 620.684-014 25 005.281-014 24 003.161-014

23 079.374-010 26 185.157-010 19 355.677-010 24 142.051-014 25 201.362-010

20 638.281-014 24 079.367-010 26 078.381-014 22 245.362-010 25 201.362-014

26 078.381-014 25 201.362-014 25 075.374-010 19 355.674-014 27 119.267-026

22 213.362-010 23 076.224-010

Receptionist 17 21 16 Secretarial Skills 17 24 18 Security Officer 11 24 12

Systems Analyst 18 32 24 Technical School 16 23 17 Travel School 19 22 17 Truck Driver 16 18 15 Word Processing 16 21 16

2

3 1

5 4 3 2 2

3 4 2

5 4

3 2 3

5 6 3

7 7 4 4

4

1 23 237.367-038 1 25 201.362-030 2 20 372.667-034

1 27 012.167-066 3 23 638.261-010 1 23 238.367-018 3 19 905.663-014 1 23 203.362-010

"see Appendix C NA = Not Available

E. F. Wonderlic Personnel Test, Inc. 11

tgested Minimum Admissions Scores By Training Program Title

Table 2 presents a comparison, by training program title, of Student Applicant median test scores to those of Job Applicants for the same vocation. Suggested minimum admissions scores are provided for each program along with a description of the occupation in terms of the U.S. Department of Labor’s "selected occupational characteristics" of math, language, specific vocational preparation, and physical demands (see Appendix C). Extensive analysis of the relationship between the selected occupational characteristics and Wonderlic Job Applicant median scores has provided a basis for estimating median SLE scores from the Dictionary of Occupational Titles information. These estimated scores are provided following the selected occupational characteristics. For the purposes of recommending minimum passing scores, each vocation is defined by the job description provided in the Dictionary of Occupational Titles (U.S. Department of Labor, Fourth Edition, 1977). The Dictionary of Occupational Titles Occupational Code for each vocation is provided in the last column.

The suggested minimum scores have been determined subjectively, weighting the cumulated validation evidence, the job description, the job applicant median score, and, finally, subtracting an allowance for training. For most training programs, the recommended minimum admissions score is 5 or 6 points below the job applicant median score. This represents our view of the reasonable ability differential that may be overcome by the school training program. This differential is supported by the analysis of student loan default data later in this report.

The remaining training programs are roughly split between those with lower and those with higher allowances. Lower allowances are most often found with training programs that are very job- specific and higher allowances with training programs that may lead to a wider variety of jobs. Higher allowances are also found where there is not a good fit of training program title to that listed in the Dictionary of Occupational Titles. Medical Technician, Security Officer, and Electronics are good examples. Whi~e a range of minimums would be most appropriate, the lowest score in such a range has been given here. Table 3 presents a range of job titles to allow each school to adjust to their specific training program.

Illustrative Expectancy Chart

Percent Successful 30% 40% 50% 60% 70% 80% 90% 100%

Minimum Passing Score

10 E.F. Wonderlic Personnel Test, Inc.

>,,=erpreting for the ~/onderlic . ...~.=erpr~~ Guide

Personnel Test

Test Scores 0 to 50

34 33

30

26 F 25 24 23 22 21 20 19 18 17 16 15 14

1 11 10

9 8 7

20 to 26

10 to 17

16 to22

0 to 12

Job Potential

I Education Potential

Training Potential

Upper leveE management; only upper 17% of population scores within this range.

College graduate mean IQ 120; WPT 29. Central tendency for graduate students is WPT 30.

Able to gather and synihesize information easily; can infer information and conclusions from on-the-job situations.

Managerial potential and upper level cledcal positions; 24% of the population scores within this range. Gathers information; analyzes and makes decisions from a limited number of choices.

May enter college; mean score for college freshman IQ 115; WPT 24.

I

Above average individuals; can be trained with typical college format; able to learn much on their own; e.g. independent study or reading assignments.

General cledcal and first line supervisors; able to train others for routine positions. Gathers information; may require help with making decisions; 29% of the population scores within this range.

Mean for High School grads is IQ 110; WPT 21; Central tendency for College Freshman WPT 24--have a better than average chance of completing High School. 50/50 chance of graduating from college.

Able to learn routines quickly; train with combination of wdtten materials and actual on- the-job experience.

Routine office worker; can run routinized equipment; 27% of the population scores in this range. Given enough time, can learn and perform jobs with lengthy routinized steps; perform simple operations with lists of names and numbers.

May enter High School; will probably select classes which are less academic track; Central tendency for High School Junior, WPT 16.

I Successful in elementary settings and would benefit from programmed or mastery learning approaches; important to allow enough time and "hands on" (on-the-job) experience previous to work.

Operate simple process equipment; 21% of the population score within this range. Given ample time, can learn limited number of steps for routinized jobs; if deviations occur on the job, will have difficulty establishing or using contingencies.

Slightly better than average chance of reaching the 9th grade or entedng high school. Central tendency for High School Sophomore WPT 15. High School Freshman WPT 13, 8th grade WPT 11.

Need to be "explicitly taugt~t" most of what they must learn; successful approach is to use apprenticeship program; may not benefit from "book learning" training.

Use very simple tools and equipment, repair furniture, assist electrician, simple carpentry, domestic work; 13% of the population scores within this range.

Armed forces IO cut off score between 75-80. Central tendency for 7th grade WPT 9.

Unlikely to benefit from formal- ized training setting; successful using simple tools under consistent supervision.

E. F. Wondedic Personnel Test, Inc. 29

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DECLARATION OF MA/tLENE BASS

I, Marlene Bass, declare the following:

i. In or about November 1986, I was looking through the

want ads in the Daily News and came across an ad that stated

"Receptionist Office Help Wanted." I called the number in the

advertisement and made an appointment to go to 12011 Victory

Boulevard. The name of the company was Career Advising Service.

I filled out an application and met with a person who identified

herself as the the owner, Ferna St. Gerald.

2. Ms. St< Gerald looked at my application and said that

according to the application I was not qualified for the position

that was advertised. She then went on to say that if I wanted to

go on to school and better myself, she could help me. I was

interested; I was new to California and did not have any skills.

I told Ferna that I did have high school typing and was familiar

with the keyboard. She said that school would only enhance my

skil!.on the typewriter. She said I could apply for Medical

Office Procedures/Word Processing, Medical Assisting or Dental

Assisting. She told me to go next door to National Technical

College ("NTC") to talk _o Richard Bourne the admissions

director.

I went to National Technical College and the

receptionist gave me a short test. My test was given to Richard

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Bourne. I saw him change some of my answers. I told him I have

been out of school for some time and he said they expect people

to be rusty, but he said it was ok. I always have haddifficulty

with math and yet he said I scored 96%. I believe-that I got a

lot more of my answers wrong than that but I did not question

him. Richard said the program would cost $4375 but the school

would give me $I00 per month while I was going to school. I to!d

him I did not have a car to ge~ to school, he said there was nc

problem because that was what the money would cover. Richard

told me the school would help me out in life. He said I would be

given a placement to make $7 to $9 per hour to begin with at a

medical facility. I would learn typing, computer, and medical

terminology. He told me that I would have one month of on-the-

¯ 14 job training which I would not be paid for but I would be able

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experience working in the field. Richard said I would not have

to pay for the tuition of $4375. He al~o said the schoc!

provides bus passes. Richard gave me a guide to financia! aid

but I no longer have a copy of it. Neither he nor anyone else

gave me a student handbook or a catalog or offered to let me

visit any classes.

4. Richard filled out the contract for medical word

processing and told me that I had t~ree days after I signed the

contract to cancel it. Richard told me to write on the forms

that I was separated even though I told him that I was married.

My husband was in the Army and stationed in Korea and Richard

said that is like being separated so there is no problem.

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Richard asked if I was a high school graduate and I told him I

was not. He asked if I had a GED and I did not have that either.

’He said the school offered a GED course and I could take it and

have private tutors to help me with any work that I-might be

having trouble in.

5. I signed the contract and was taken to the financial

aid office to sign up for a government grant and a loan. The

paperwork was filled out by a woman in the office; I do not

remember her name. She wrote it up as if I was a single woman

living with my mother. I also had one dependent. After the

paperwork was completed Richard took me on a tour of the schcc!.

He showed me the dental laboratory; he showed me where the dental

assitants class met; and he showed me where the orientation would

be and the typing room. I did not see any library then or ever.

6. My starting date was November 24, 1986. Shortly after

I began school Richard began asking me out to lunch and calling

me at home. I to!d him I was not interested in a personal

relationship but he continued to ask me out and finally before

Christmas when he called me at home again I told him to leave me

alone.

7. My main complaints about the school include the rapid

turnover of teachers (we had about 7 different teachers in the

time I was there), not being paid the money Richard Bourne

promised me, harassment by Richard, the owner’s total rudeness to

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the students (Mr. Bidny was always yelling at someone and one

time I heard him say that if the students don’t behave he.was not

going to do anything for them; he said he really didn’t care

about the students.), lack of real textbooks--only copies were

provided, and no response from the administrators nor the owners

about the student complaints.

8. There was a s~udent strike at the school in March

As a result of the strike the administration provided a list of

textbooks that were to be supplied to the Medical Office

Procedures/Word Processing students. A true and correct copy of

the list is attached as Exhibit 1 and incorporated by this

reference.

got checks.

Shortly after the list came out al! of the students

According t.o Ed, the office person who worked in the

12011 building next to National Technical College, in the office

next to Ferna’s, the money was to make up for some books that

were never provided. I think I got about $80 but I do not

remember the exact amount. The only text books I had were the

accounting text and the workbook, the medical terminology

dictionary and the medical terminology textbook. Al! of the rest

of my books were xerox copies. Also after the strike there was a

student council formed. A true and correct copy of the

"Newslezter" announcing the student council is attached &~

Exhibit 2 and incorporated by this reference.

9. I left the school for about three months and started

going again and no one said anything to me about it. I finally

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did finish after my externship. For my externship, at first I

was placed at Signa, a medical office, to gain experience in

office procedures. They let me go because I did not have

enough experience to be successful working at Signa. Next, the

schoo! placed me at the Los Angeles Reader, a newspaper that had

nothing to do with the medical field. I was told to answer

phones an/ work the switchboard. I was never trained to answer

phones a~ National Technical College and I did no= know what I

was doing. They wanted to fire me. I begged an/ pleaded with

them to keep me because I knew that I would never get my diploma

ii ii if I did not put in 160 hours. The people at the Reader signed

12 !! off for me even if I did not work an entire day. I jusz did

13 ~ filing there and did not use any of the skills !iid learn in the

14 medica! field. There was no word processing at al!.

16 ~ i0. I received my diploma dated September 2~, 1987 when I

17 i went to the school to pick it up. A true and correct copy is

iiattached as Exhibit 3 and incorporated by this reference I was 18 ,~ 0

19 !igiven a Notice of Graduation form which stated that I had

20 l!attended school for 41 weeks and that no refund was due to me nor

21 ~any balance due to the college¯ A true and correct copy is

22 iiattached as Exhibit 4 and incorporated by this reference.

24 i ii. While I attended school I really needed to work and I

25 !lashed Richard to help me find a job. I was in Richard’s office

26 iiwhen he called Ferna St. Gerald on my behalf to try to get me a

job. Ferna hired me at the Career Advising Service. I would

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work from 3pm to 6pm taking incoming phone calls from people who

were answering job advertisements. Usually there were 2q or more

people per day coming in to be referred to a job but were instead

referred to National Technical College. I worked for Ferna for

about three months before I quit. I was very tired of tellinc

people to come in for a job knowing that Ferna never had any jobs

to refer people to. Ferna only referred applicants to National

8 Technical College. NTC paid her a commission for each studen:

9 who signed up for a course. I do not know how much she was paid.

Ferna paid me $4.50 per hour

12. There was a phone room set up in another part of

Ferna’s office. Five people were working on the phone cal!in~

people making a pitch for the school. I heard them talking about

the classes and the benefits. I believe that Richard had some

connect_on to the phone room. He brought over the names of

people for the callers to contact.

!3. I have never paid any money toward my GSL because Z

fee! that I did not receive an adequate education as a medical

word processor, i do not feel that I am competent to go out and

work successfully in this field. I feel that National Technical

College did not fulfill its promises to me.

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I declare under penalty of perjury under the laws of

the State of California that the facts set forth in this

declaration are true and correct, that they are of my own

personal knowledge and, if called and sworn as a witness, I could

and would competently testify to the above facts.

Executed on this day of

at ~

1989

Marlene Bass

o

EXHIBIT 4

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DECLARATION OF CHARLES BENDAW

I, Charles Bendaw, declare the following:

i. On or about February 22, 1988 I saw an advertisement

in the newspaper regarding computer repair trainee. The ad had a

phone number to call. No name was listed. I called the number

and was told to come down and talk to the people at National

Technical College and they would show me around the school.

had worked as an electronics technician for over 20 years and had

Just been laid off from my Job as a test engineer at Litton. I

thought if I learned computer repair I could augment my skills

and start my, own business repairing personal computers. I went

to the address given and it was the office of a recruiting

agency. The recruiter took me downstairs to National Technical

College to find out more about their program.

2. I met with the admissions representative and he told

me a little about the program. I asked to meet with the teacher

in order to make a determination if this was the program for me.

I met with Joyce Hobbs the instructor of the computer repair

class and after talking to her about how the program was set up

so that I could work at my own pace, I decided to sign up. A

true and correct copy of my enrollment agreement is attached as

Exhibit 1 and incorporated by this reference. I had to take an

entrance exam with lots of difficult math. The exam was given in

a separate testing area next to the the computer repair

classroom. Ms. Hobbs was in attendance during the test. There

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were two other people who took the exam at the same time but they

did not retur~~ to the school¯ I passed th~~xam. Joyce Hobbs

the instructor told me she prepared the exam and she told me that

she would not admit anyone to her class if they were not able to

at least pass her exam. The admissions reperesentative told me

~he course cost $6500 and was scheduled to take ii months. I

felt confident that I would be able to move along at a faster

pace because of my electronics background. I signed up for two

student loans, one for $4000 and the other for $2625. True and

correct copies of the loan disc!osure statements are attached as

Exhibits 2 and 3, respectively and incorporated by this

reference.

3. I began the program on February 29, 1988. While

Joyce Hobbs was the instructor, the program was excellent. She

had a good background in computers and electronics and she

provided excellent instruction and assistance. New people were

always starting the program. Everyone worked at their own pace

and Joyce always tested me and all the students at the end of one

module before we would get the book for the next module. The

books were always there when I finished one module and was ready

to go on to the next module. Joyce left NTC in June, 1988.

4. A new instructor was hired, his name was Amir, he

was short, had dark hair, was of medium build and about 25-30

years old. He spoke with an accent. Amir made changes in the

course. He took out a lot of the math and he eliminated a lot of

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the basic electronics. The course was shortened to 6 or 9

months. Most of Amir’s time was spent with the new students in

the new course. I feel that Amir did not have as much experience

as Joyce did. He did not have control of the classroom and the

type of student changed because the school no longer gave Joyce’s

difficult admittance exam. The students would be talking and

disrupting the class, they would arrive late and nothing was

said. Many of the students in my class did not know simple

mathematics and I was helping them as best as I could considering

I was there to learn. Whenever I finished another module I had

to wait usually a couple of days until Amir ordered the new book.

They were never there and ready for meto go to the next step.

5. While Joyce was the teacher, the admission test was

given right next door to her classroom. I now saw people in my

class that Joyce said had failed the test when Joyce gave it to

them, who were now students of the school. I saw people who had

dropped out because the program was so hard, return to the school

and were in the class. Also the hours of the program changed

from 8:30 - 1:00 to 8:00 - 3:00. I was not getting support from

Amir, he told me if I needed help with my program, because I was

still doing the program I began under Joyce, that I would have to

come in earlier or stay later.

6. I complained to Larry Braxton the administrator of

the school. He never made any commitment, he just told me,

"We’ll take care of it." Soon there was an assistant brought in

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to help Amir. The assistant was to teach the second half of the

course He was a white male, 5’ i0" heavyi,..se’~, with blond-

silver hair about 35 years old. I took a leave of absence for

about two months so that the new students could catch up to where

I was at that time.

7. I saw ads for Computer Repair Trainee up to $30,000

that were in the newspaper. The telephone number in the ads was

the same number I had called originally. It was for the office

upstairs and belonged to the recruiting agency, ispoke with the

recruiters and they told me they were not part of the school as I

thought when I first answered the ad.

8. I was promised by the admissions person that there

would be part time work available while attending school. The

job offered to me and other students who asked about part time~

work was to go to the Home Club to work as a warehouse stock

person for $5.00 per hour. The students complained to each other

about the type of work being offered. There was a black woman

hired to do Job placement and I asked her to place me in a

computer repair job while I was in school. She said that she

could not since I had not graduated. I told her I was very

experienced in electronics and that I was one of the first that

would be graduating from the school in this program and that she

should at least give me a chance to see if I could handle the

job. She would not refer me because I was not a graduate. She

would only refer me to a job working in a warehouse.

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9. I came back from my leave of?absence and I decided

that I could not continue in the program because I would not be

learning what I signed up to learn. I decided to terminate. A

true and correct copy of my notice of termination is attached as

Exhibit 4 and incorporated by this reference. According to that

document which is dated September 7, 1988, the day I returned

from my leave of absence, my last day of class was June 29, 1988

and there was a refund to be mailed to the lender of $1697.35. I

do not know if the refund was ever processed. Also according to

this document I owe $1313 on one loan and $230~ on the other. I

certainly did~not benefit from my experience at NTC, I am no

closer now to being able to repair computers then when I started

with the program.

I declare under penalty of perjury under the laws of the State of

California that the facts set forth in this declaration are true

and correct, that they are of my own personal knowledge and, if

called and sworn as a witness, I could and would competently

testify to the above facts.

Executed on this day of ;i/~’.~ 1989

, California.

CHARLES BENDAW

00005

’~’ CO,%’CEPT IX CAREER ’I"R,-~,I \1\"

NATIONAL TECHNICAL COLLEGE 600 So. Spring Street. 6th Floor 12001 V=ctory Boulevard,

Los Angeles, CA 90014 North Hollywood, CA 91606

(213) 624-8937 (818) 762-0958

STUDENT ENROLLMENT AGREEMENTIRETAIL INSTALLMENT CONTRACT

~te0 ~n the atlac~a ~s as ~ugh ~t OU~ ~n 1o~1,

~ ,,, ’ ! ! S~n: Momm~ ~ A~o~

/ PAYMENT SCHEDULE FOR THE UNPAID BALANCE O� YOUR PROGRAM WILL BE:

~ o~ th~ Agreement ~f tl~ Stu4ent srv~Io cl~¯ult on in,/payments

ITEMIZATION OF THE AMOUNT FINANCED

2. To~I Cub Prico ............... $

3. TOCII Deductions.,

Unpaid 8~llnce of Cash Price ......................... $

12 ~eu 3)

Amount Financed ............................................ $

Th~ o~ on~unt financed wlH be ~ 10 yO4w I¢¢ount.

/

00007

~FUND POLICY

following Refund Pol~cy r~as been approved by the Accrediting Bureau of Health Education Schools - Elkhart, Indiana and Js thereby recognized by the Unite(:i ~ates Department of Ec.~c’-.:,on - Washington, D.C. (Region IX * San Francisco, CA).

~e College has and maintains a policy for the refund of tuition, lees, and any other charges in the event the Student fails to enter the course, or with~Jraws or discontinued any t~me prior to completion.

Student may cancel the Enro,ment Agreement prior to class s~rting by notifying t~e College ~n person or wrying. If cancellation is atfecled within three (3) business ~ys after signing the A_c*eement, all monies paid wi~l be refunded. If the Slut:lent cancels the Enrollment Agreement afler the three (3) business days, but prior the s~rt of classes, th~ Student will be entitled to a refund of all monies Pak:l to the College less Registration Fee, For a student terminating within the hrst week .er s~arling class, the t.,t~0n charges made by the school to the student shsl[ not exceed 10% of the contracl price of the program plus registration fee Out ~n event more than $35~ 00. The lull price of books and supplies issued to.the stuOent will be added to this amount.

he Student is rejected for training by the College; the Student will receiv I~IF~ )0o/o refund of ell monies paid.

r studenLs who enroll t,~ and begin classes, the iollowing schedule of refur~s~is applied. ’

THDRAWAL AFTER COMPLETION OF ONE WEEK OF CLASSES

I

THE STUDENT’S OBLIGATION

A. Before completion of 25% of the program ...................................................................... 25% Tuition

B. After completion of 25% but before completion of 50% of program ................................................. 50% Tuition

C. Aher completion of 50% of program ......................................................... .................. 100% Tuition

O. In the case of a Student’s prolonged illness or accident, death in the f~11ily, or other CirournsLae~Ces that make i[ impractica] to complete the program, thelCollege shell make a seltlement which is reasonable and fair to bo~

e foregoing calcul,,fion and determination of a refund liability by the College, or ~dditional monies owed to luition by the Student does not include non-refundable

arges messed the Student. These charges include the Registration Fee, l....n~, ental Fee, and the full price of the books and suppl~es issued to the Student.

~rmlnat~on shall occur upon the Student’s last day of physical attendance in th~ College.

~fund calculations will be applied to withdrawn students and all refund liabilities of the College will be refunded to the proper source within thirty (30) days from ,~ ~ate the Student is withdrawn from the College. ~"i

NOTICE: THE STUDENT IS RESPONSIBLE FOR ALL NON.REFUNDABLE FEES AND CHARGES, IF HE/SHE WITHDRAWS BEFORE FULL PAYMENT OF THESE ITEMS IS RECEIVED BY THE. COLLEGE.

O000S

I. LENDER:

CALIFORNIA STUDENT AID COMMISSION "Guarantor"

California Educational Loan Program

82442100 ’ BANK OF AMERICA STUDENT LOAN SERVICE CENTER 1242 P.O. BOX 7047 PASADENA, CA 91109 (818) 578-7717

0 2 9 DISCLO$~J~IE STATEMENT

NOTICE OF LOAN GUARANTEE

This loan (exclusive of any modifications there=n made by the Borrower or Lender unless specifically approved in writing by the Guarantor) shall be deemed to be guaranteed by the Guarantor under the terms of agreement to guarantee loans as amended from hme to time when the guarantee is issued. :..

Date of Guarantee

II. SCHOOL:

NATIONAL TECH COL 022924 CPU From ~2-29-~8 to 12-02-89 Grade

Anticipated Camp. Date 12--30-.~8 Adjusted Gross Income $

Cost of Education $ t6~ 674, ~0 Financial Aid $ ~_~

Expect. Family Contrib. $

Net $ 1./+, 04~, ~L~

IV. ITEMIZATION OF THE AMOUNT FINANCED

i Disburse- ment

Loan Amount $ 4~ ~00.00 Schedule Less prepaid financial cha[ges of: Insurance Premium @ ~. ~0 %

$ 0.00 Oiigina~,i;~ X X X ~ X X X X X X ~

Total Loan Check(s) $ 4~ 000.00

S.S.N. 568-72-7t 99-7 III. BORROWER INFORMATION~.,~

}ENDAW, CHARLES E ", "~43 MAT!L!JA AVE

.,AN NUYS CA 91405

Estimated Date of

Disbursement

Student SSN 5~8-72-~ ! 39-7 Loan Amounts PREPAID FINANCE CHARGE

of Insurance Origination Disbursement Fee t-ee

Amount of Loan Check

ENTIRE 04-25-88 -,.300,00

Interest Rate per annum i0.27% XO:r)10~,~}~i~d(XXXXXr)~r}C!~l(CGSLTot.

Vo BORROWER INFORMATION The disclosure statement Identifies for you the particular terms of your loan. If you have any questions about your loan check,

the Information on this statement or if you want to cancel y~r ~oln, contact your lender before you lign (negotiate) your loan check. Laws and regulatlOnl governing the program or lender’l policies may haw=‘ changed since you completed your appllcatlon/ promissory note. Any changes appear on the disclosure statamnt and become pitt of the terms and conditions as outlined on the application/promissory note. It applicable, the disclosure stllement Includes 1) the loan amount (the amount you must repay with interest); 2) the amount of your loan check; 3) the estlmattd data(s) your loan check(s) should be disbursed by your lender;

4) the Interest rate; 5) the amounts of the ot, t~lt~latlo~.,M,(~d Insurance premium; 6) the date we expect you to complete studies at your present school; 7) the length of your grace peri0d~ if any, and other details of your loan.

REFER TO REVERSE SIDE FOR CHANGES GOVERNING "THE LOAN PROGRAM.

Vl. POLICIES OF THE LENDING INSTITUTION APPLICABLE TO THIS LOAN ARE:

**** IMPORTANT - READ THIS **** GSL TOT AND CLAS TOT AMOUNTS ABOVE INCLUDE LOANS GUARANTEED THROUGH THE CALIFORNIA STUDENT AID ’COMMISSION. FIGURES DO NOT INCLUDE OTHER GSL. FISL. SLS, ~R PLUS LOANS YOU MAY O~,~E THROUGH ANOTHER GUARANTOR. NOR AMOUNTS YOU MAY OWE THROUGH THE NATIONAL DIRECT STUDENT LOAN !~,~DSL/PERKINS), HEALTH EDUCATION ASSISTANCE LOAN (HEAL) ~;~ ,HEALTH PROFESSIONS STUDENT LOAN (HPSL) PROGRAMS=

~STIMATE YOUR FUTURE CGSL AND,,~-R CLAP REPAYMENT BY ADDING qMOUNTS YOU CURRENTLY "]:4~T TO THE YOU ANTICIPATE BORROWING IN T~E

~EFER TO TL~E SAMPLE PE~qYMEN~ NFOPMAT~ON

~QJECT v0u9 ~ONTHLY

CELP/GSL Ray. 8187

DATE RECEIVED BY SCHOOL /_/ MO r)A YR

(FOR SCHOO---~-~ ONLY)

DATE RELEASED TO STUDENT ,,, / ~

MO OA YR

DATE.ETU.NED To E.OER_ / / ’

I. LENDER: 82442100

BANK OF AMERICA STUDENT LOAN SERVICE CENTER 1242 P.O. BOX 7047 PASADENA, CA 91109 (818) 578-7717

.,. sTOOE.T .,° co..,s.,o. 0 3 0 3 California Educational Loan Program

~" DIS’~LOSURE STATEMENT -2:

NOTICE OF LOAN GUARANTEE

This loan (exclusive of any modifications therein made by the Borrower or Lender unless specifically approved in writing by the Guarantor) shall be deemed to be guaranteed by the Guarantor under the terms of agreement to guarantee loans as amended from time to time when the guarantee is issued. .-

Date of Guarantee ~t. 4-~----~8

II. SCHOOL: ,~HT!ONAL TECH COL 022824 CPU

From L~2- :"9-~8 to 12-02-88 Grade i Anticipated Comp. Da.te 1. F’-~-~8 Adjusted Gross Income $ 42,000.00 Cost of Education $ 1S, 674.00 Financial Aid $ k’~, ~ Expect. Family Contrib. $ 3, 789. t~ Net $ 12,885.00

IV. ITEMIZATION OF THE AMOUNT FINANCED

! Disburse- ment

Schedule

S.S.N. 568-72-7 ! 99-7 £GSL. III. BORROWER INFORMATION ’~’14-25-~

Loan Amount $

Less prepaid financial charges of:

Insurance Premium @ ’,Zlo ¯ " $ 0.00

O’rigination Fee @ 5.00 % $ 13t. 25

Tota~ Loan Check(s) $ 2,433.75

~ENOAW. CHARLES E ,.~43 MATILI.,A AVE VAN NUYS [q q’ =

Estimated Date of

Disbursement

Student SSN

Loan Amounts I PREPAID FINGNCE CHARGE of Insurance Origination

Disbursement Fee ~-ee

1,313. ~0 0.00 65.65

Amount of Loan Check

1 04-25-88 i, 247.35

2 07-04-88 1,312.00 0.00 55.60 !, ;-"46.40

Interest Rate per annum 8, 00 % Grace Period 6 months CGSL Tot. 2, ~5o ~10 CLAS Tot.

BORROWER INFORMATION The disclosure statement Identifies for you the particular terms of your loan. II you have any questions about your loan check, the Information on this statement or If you want to cancel your loan, contact your lender before you sign (negotiate) your loan check. Laws and regulations governing the program or lender’s policies may have changed alnca you completed your appl|callon/ promissory note. Any changes appear on the disclosure statement and become porl of the terms and conditions as outlined on the appliCation/promissory note. It applicable, the disclosure statement Includes 1) the loan amount (the amount you must repay with Interest); 2) the amount of your loan check; 3) the estimated date(s) your loan check(s) should be disbursed by your lander;

4) the Interest rate; 5) the amounts o! the origination tee and Insurance premium; 6) the date we e,,pect you to complete studies

at your present school; 7) the length of your grace period, It any, and other details of your loan.

REFER TO REVERSE SIDE FOR CHANGES GOVERNING THE LOAN PROGRAM.

VI. POLICIES OF THE LENDING INSTITUTION APPLICABLE TO THIS LOAN ARE:

POLICIES ALL BORROWERS NO ADVERSE CREDIT AS DETERM~,NED BY BANK OF AMERICA.

**** IMPORTANT - READ THIS ****. GSL TOT AND CLAS TOT AMOUNTS ABOVE INCLUDE LOANS GUARANTEED THROUGH THE CALIFORNIA STUDENT AID COMMISSION. FIGURES DO NOT INCLUDE OTHER GSL, FISL, SLS. OR PLUS LOANS YOU MAY OWE THROUGH ANOTHER GUARANTOR, NOR AMOUNTS YOU MAY OWE THROUGH THE NATIONAL DIRECT STUDENT LOAN (NDSL/PERKINS), HEALTH EDUCATION ASSISTANCE LOAN (HEAL) OR HEALTH PROFESSIONS STUDENT LOAN (HPSL) PROGRAMS.

ESTIMATE Y~UR FUTURE CGSL AND!OR CLAS REPAYMENT AMOUNTS BY ADDING AMOUNTS YOU CURRENTLY OWE TO THE AMOUNT YOU ANTICIPATE BORROWING ;N THE FUTURE.

REFER TO T~E SAMPLE REPAYMENT ~IJFQFMATION CGMTAINED ON OAGE ~ ~F r:-!E CGSL ;}PPL!CAT~Cr,I/~ROM[330RY rlOTE ~O~]rJ.ET TO i~ROJECT ~Vg~ ’~i]NTHLY ~qYMENTS.

CELP/GSL Re~, 8/87

DATE RF.~’~IV#~ BY SCHOOL

(FOR SCHOOL USE ONLY)

F~ATE RELEASED TO STUDENT / . /..

;’.10 ~A YR

{’)ATE RFTt]RNFn TO l FNr)FR / ’ ~’}~ ~

Usted below is personal information from our data file, and a full disclosure of your tuition, fees, payments and charges. Please let us know if any of your personal information needs to be updated, or if you have any questions regarding your account.

’" ’ ."~,’~°, .. i .. ~ .; First ( ~,r~ : - Program Last ~.’: . ~_.... . . -. Address ...: ~ . ,~,’.-,~/-,.~.’.,,,.~ City : ~-~,~.~,, ,!~; ’- State ./.: Zip SS# "’ - / -; / -,~ ~,? 1st Day L.O.~A.~/ / End L.O.A.__ Start Date-- / ~ ,i / ?~ Last Day in Class ,~.’ /.~ ’1 l/"~f W/D Date... .. /__

/ / /

.(Actual Weeks Attended) = -~ % Completed = ~q % Earned by the College

.(A~tual Weeks Contracted)

CHARGES: RECEIPTS:

I Tuition Earned Per Refund Policy

.~% % Earned (x) $. ,~: ~ n-~ Total Tuition = $ 2~,~.-" Tuition Earned

Tuition Earned $ 7 } ~,-~ ."- Registration Fee $ tn ,~ Other Fees $ Books & Supplies Issued $ ,~.~.~ "’~

Total Due"

Cash $ Pell $ SEOG $ NDSL $ CLAS/PLUS $

SLS $ ~ ..... -~- Stipends $ < RTD $ < Other $ < >

Balance Due to the College

Your ~~-,~Z LOAN LIABILITY IS$ !& ~’~.t~"~ Your ~/~. LOAN LIABILITY IS$ ~

Refund Due $ I ~’~ -~ g .~ ~

Refund Hierarchy

Please remember ... all NDSL, GSL and CLAS/PLUS funds are loans and are repayable as explained in your Promissory. Notes. Do not hesitate to call if you have any questions. L.A. 213-624-8937 N.H. 818-762-0958 CHICAGO 312-472-1202 DETROIT 313-399-7931

Sincerely yours,

Financial Aid Office!! DD/mr/ito ~

Date Check Program Amount

__1 / #.~ 1. ToSEOG $ / / # 2. To NDSL $

/ / #__ 3. To PLUS/CLAS $ !~!’~{ -- / ! # 4. To GSL $

/ / # 5. To Pell $

/ / # 6. To the Student $ __

Total Refund

cc: Lender cc: Lender cc: Lender Student File / Bokkeeper / F.A. Folder 5/6/88

EXHIBIT 5

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DECLARATION OF EDWARD BERNAL

I, Edward Bernal, declare the following:

i. I am an investigator with the Bureau of

Investigation, California Department of Justice.

2. On May ii, 1989, I called telephone number (213)

622-3711, which I obtained from an advertisement that appeared in

the Torrance Wave newspaper. The advertisement offered

employment training, financial aid and full and part-time jobs at

$4.25 to $25.00 per hour. The advertisement is circled and

attached as Exhibit 1 and incorporated by this reference. A

woman answered my cal! and identified herself as Gina. I told

Gina that I was calling about the ad. Gina asked me what kind of

training I was interested in and said they had 40 different kinds

of schools. I told Gina that I had some prior dental training.

She said that they had two dental schools in the Los Angeles

area. She said that during the time that I would be attending

school I could obtain $400.00 a month in financial aid through a

government loan. She said that after I got a job I could repay

the loan at $80.00 to $i00.00 per month. I told her I was

interested in finding out more about the training. She gave me

an appointment to meet with her at her office located at 650 S.

Spring, Suite 926, Los Angeles.

3. On May ii, 1989, at approximately 10:00 o’clock, I

went to 650 S. Spring, Los Angeles. I observed, in the lobby of

the building that the directory listed S-T Enterprises in Suite

926. I went to Suite 926 which is on the 9th floor.

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4. The office is located in the northwest corner on

the 9th floor and has a sign posted on the door, identifying S-T

Enterprises. I entered the office and met a woman who identified

herself as the owner. She said her name was Gina Timbre. The

office is approximately i0’ X 20’ and has two desks. There was

also a Tandy computer in the office. Gina appeared to be a

female Filipino, with brown hair and brown eyes, appr9ximately 5’

3", weighing approximately 130 ibs., and approximately 45 years

of age. Also in the office was a male who she identified as her

husband Del Timbre. He appeared to be a male Filipino, 5’8" with

brown hair, brown eyes, and approximately 45 years of age. In

addition, there was a latin man seated behind one of the desks.

He was interviewing a female latin in Spanish. He is 5’8" with

black hair and brown eyes.

5. Gina gave me a personal history form to complete.

After completing the form, Gina asked me questions regarding

information that I had provided on the form. I told Gina that I

had been out of work for approximately three months and that I

needed a job. She said that if I attended the school I could

apply for financial aid and obtain $400.00 a month. She said the

school would be 7 1/2 to 9 months long and that they would help

me find work after I graduated from school. She said that I also

could apply for general relief which would provide me with

another $337.00 a month. She explained that the loan would be

paid back after I completed the course and obtained a job.

6. Gina said they had many courses to offer including

computer training. I told her that I preferred the dental

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course. She said that she would send me to National Technical

College (NTC) located at 600 S. Spring in Los Angeles for the

dental training. She gave the form that I had completed to her

husband and he filled out a referral form to NTC. He initially

wrote Nationa! Technical School on the form but after I asked him

whether it was school or college, he crossed out school and wrote

college on the form.

7. Del Timbre asked me whether I had a home telephone

number. I explained to Del that I was living with a friend and

he had recently had his number disconnected. Gina told me that

NTC would require that I provide a telephone number. She

suggested that I use the number of S-T Enterprises as my phone

number. She said that as soon as I obtained a phone, I could

provide that number to NTC. I asked Gina how long she had been

in business and whether the business was affiliated with the

school. Gina explained that she had beeD in business for

approximately 9 months as S-T Enterprises and that they had a

contract with the school and received money for each student they

referred. She said that Del would escort me/:~the school so that

no one would "stea!" me on the way.

8. Del gave me a copy of the student referral card

that he had completed and two printed handouts both of which

contained the name and address of S-T Enterprises. One contained

a list of different programs. The other was entitled "The Key to

Success." The referral card and handouts are attached as

Exhibits 2 and 3 respectively and incorporated by this reference.

The Key toSuccess handout states in paragraph one that S-T

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Enterprises are "Career Counselors." Paragraph 5 of the handout

states, "Upon completion of your training, you will be placed

working in that area." I placed the handout in my pocket and Del

escorted me from S-T Enterprises to 600 S. Spring.

9. NTC is located in the First Interstate Building on

the 6th floor. There are approximately six elevators in the

lobby. The elevator in the southeast corner was specifically

designated for NTC. - There was a handwritten sign by the elevator

which read "National Technical College". Both Del and I entered

the elevator and went to the 6th floor.

I0. After getting off the elevator, Del and I walked

to the reception area and waited while Del spoke to the

receptionist. Although I could not hear the conversation, it

appeared that the receptionist was acquainted with De!. ~ter

speaking with the receptionist, Del told me that I was "al! set"

and he gave me an NTC Personal History form to complete.

ii. Before I finished filling out the form I got up

from the reception area and walked throughout the 6th floor. I

observed many young individuals walking in and out of the

offices. The offices and hallways appeared to be in poor

condition. The rugs were dirty and there were holes in some of

the walls. There were also lighting fixtures on the floors which

appear_d to have been there for some time. Overall the 6th f!oor

did not look well maintained.

12. I returned to the reception area and gave the

receptionist the personal history statement that I completed.

13. I waited for approximately 15 minutes before I was

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called into one of the offices by a man who had identified

himself as Ronald Benton. Benton introduced himself and ~ave me

an NTC Disclosure Statement in which it was printed that NTC was

not offering me a job but was providing training and would help

me find a job after graduation.

14. Benton asked me if I had any identification or a

social security card. I told him that I did not. He said before

he could do any testing or complete the paperwork to enrol! me in

the training that I would have to bring some identification. He

took back the NTC Disclosure Statement. He set an appointment

for me to return to his office on May 15, 1989 at 9:00 a.m. He

gave me his business card, a "GSL Reference Statement", and an

NTC "Student Handout" brochure. They are attached as Exhibits 4,

5 and 6 respectively and incorporated by this reference.

15. I asked Benton about the $400.00 a month. He said

that once I brought my identification that I could meet with the

financial !oan officer, who he said is Lois Coleman, and discuss

those arrangements with her. I left the location.

I declare under penalty of perjury, under the laws of

the State of California, that the facts set forth in this

declaration are true and correct, they are of my own personal

knowledge and if called and sworn as a witness, I could and would

competently testify to the above facts.

Executed on ~~ day of..~/~ , 1989, at/~

California.

a:\Bernal.dec EDWARD BERNAL

NORTH HOLLYWOOD ’ ;i

The North Hoilywood Main Campus of Natio~aal Tech’nical College occupies both the ground and second floor of 12001 Victory Boulevard, North Hollywood, Calgornia 91606. There are approximately 14,000 square feet of instructional and office space and 2,500 square feet of laboratory facilities. It is divided as follows:

11,000 square feet of classroom and laboratory training areas.

3,000 square feet of office and administrative areas.

In addition, the dental commercial laboratory occupies 2,500 square feet of laboratory faci.liries ha the same building.

LOS ANGELES

The Los A~ageles Campus is located on the sixth floor of the First Interstate Bank Building at 600 South Spring Street, in downtown Los Angeles. This facility, approximately twenty (20) minutes from the Main Campus, has been completely remodeled to accommodate classrooms, laboratories, and office for instructional and administrative support purposes.

10,000 square feet of classroom and laboratory training areas.

1,000 square feet of office and administrative areas.

ADMISSIONS

ADMISSIONS POLICY

The college admits as regular students only persons who have a certificate of graduation from school providing secondary education (high school diploma) or the recognized equivalent of such a cer’dficate (G.E.D.), or persons who are beyond the age of compulsory school attendance in the state in which the college is located and who have the ability to benefit from the waining offered.

The ability to benefit is determined by the student’s performance on a standardized admissions examination. (All applicants will be tested with the Wonderlic IV, or the Test of Adult Basic Education (TABE). Other verifiable indicators such as written recommendations from professional educators, counselors, or persons who are not employed or affiliated with the College or related to the student applicant may also be considered.

All students enrolled in and attending the Chicago or Detroit campuses are required by the Accrediting Bureau of Health Education Schools (ABHES) to submit a Health Form, including the results of a recent test for T.B. and a serological test for syphilis (N’DR.L). The same requirement applies to students enrolled in the Medical Assisting or Dental Assisting programs at the Los Angeles or North Hollywood campus. .

4

STUDENT CONSIDERATIONS

Most people entering a new field of learning have a natural concern in the back of their minds as to whether or not they will succeed. Each new applicant is carefully screened and tested, to assure them, and the school, that they do indeed have every chance for success. The desire to accomplish a goa! is the fin’st step in achieving that goal. The admission test is one indicator of your abilities in the field you choose. Remember one thing! At the end of the training period, you will have gained a new profession. It is sometl’ting no one can take away from you.

CLASS OBSERVATIONS

Under some circumstances, prospective applicants are permitted to attend and observe classroom instruction before making a decision to enroll ha the College. This opportunity is given to prospective applicants who are interested in learning more about the College and its progams before making a decision to apply for adr~ssions.

INSTITUTIONAL POLICIES

ATTENDANCE

When you are worldng your employer needs you on the job. Promotions and salary increases do not go to those who have excessive absences. At National Technical College/Institute, we expect you to apply the same sel.f-discip].ine of regular attendance.

A minimum of 80% class attendance time is required of all students. When a student h~ been absent two (2) or more days in the same week, or a total of five (5) days in a five (5) week period, that student will be placed on Satisfactory Academic Progress Probation for a four week" period. If during that probationary period the student misses any days, he/she may be terminated from the College/Institute.

LEAVE OF ABSENCE

If your training must be interrupted for a good reason, a leave of absence can be obtahaed. A request for a leave of absence must be submitted in writing. Normally, a leave of absen= i.s not granted to a student who is in kis/her f~rst month of training. A student can take one leave of absence for up to 60 days. A leave of absence for medical reasons may be taken for up to six months providing that a justification for that leave of absence is sent to the College/Institute by your physician.

TUITION PAYMENT

All tuition and fees av.: payable in advance unless other arrangements rn=d,"- with the school prior to commencing classes.

COUNSELING

Counseling is available through your instructor, administrative staff, financial aid office and job placement office. If counseling is needed in an area where no hastitudonal personnel have expertise, arrangements will be made with local community counseling agencies.

000039

EXHIBIT 6

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DECLARATION OF RUSSELL CAT.T.OWAY

I, Russell Calloway, declare the following:

i. In or about April 1988 I responded to an

advertisement that appeared in The Wave newspaper. The ad said

you could work for a major corporation while learning in school.

A couple of occupations were listed including computer repair.

I called the number in the ad and spoke to a person who set up an

appointment for me at National Technical College at 600 S. Spring

Street in Los Angeles.

2. I immediately went to National Technical College

("NTC") to find out more about the computer repair program. I

filled out an application and took a math and English test of

about 50 auestions. The receptionist told me that I ~

correct~ pass~ the test. I spoke to an admissions counselor

who told me that I would be working at companies like IBM, Tandy

and a number of other large companies that were familiar to me.

The admissions counselor was a black female named Leslie Ingram,

25-30 years old, thin, about 5’5" tall. Leslie told me I would

be in the very first computer repair class and this would enhance

my chances of getting a job after I graduated. She promised to

get me a job after I was in school for two months. ~eslie said I

would be able to work in computers but she did not say what type

of job it would be. She did not ask me if I was a high school

graduate. She told me the cost of the program was $6500,

including a $i00 per week stipend. Leslie took me to the

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financial aid office to have loan documents filled out.

3. On or about April 18, 1988 I signed a "Student

Enrollment Agreement" for a total cost of $6500 a true and

correct copy of which is attached as Exhibit ! and incorporated

by this reference. The agreement stated that I would be in

school for a tota! of 1200 hours. This agreement is dated Apri!

18, 1988. Calvin in the financial aid office told me that i

would not be eligible for a government grant because I made too

much money the year before. I signed a loan application for the

full amount of the tuition.

4. I began school that next week and was very

disappointed in..the program. There were no books and no

computers. Dennis Hul!, the teacher seemed confused about how to

get books and supplies. After a few days, Dennis brought in some

of his own books. He had us reading the books and taking tests

from the material in the books. In or about June 1988, Dennis

was no longer at NTC. For about, a week, we came to class

there was no teacher, we al! just sat around waiting for

something to happen. Finally, a new teacher was brought in but

he had to teach our group of about 20 students and a brand new

group of 20 students. We were all put together in the same ro~m.

For two to three months, my class just sat around doing nothing

because the teacher was teaching the new students the material

that we had already covered. The teacher told us to read our

books but we were not learning anything.

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5. On or about June 29, 1988 I was called in to

the financial aid office to sign a new "Student Enrollment

Agreement." This agreement, a true and correct copy of which is

attached as Exhibit 2 and incorporated by this reference, is for

a total of $5500. The total number of hours was changed zo 780

in 26 weeks. Mr. Konkol, the Director, told me it was necessary

for me to sign this agreement because there was a problem with

the longer course hours and this was a reduction in the amount I

would owe on my loan. He asked all of the students in my class

to sign new agreements.

6. Approximately three weeks after ! signed the

new agreement, Larry Braxton, another administrator told me

Konkol had no right to offer us the shorter course, the hank

would not accept it, we had to go throug.h the !onger program and

Konkol had been fired. Also, about this time I took out another

loan for about $4800 because the financia! aid people sai! I

would need the money to continue, getting my $!00 per week

stipend. I have been receiving bills for these loans but I have

not had enough money to make any payments because the job that I

was promised by the admissions counselor never materialized. [

brought the bills in to Calvin in financial aid and he said he

would take care of them.

7. In or about September 1988 about ten of us in

the class went to a latter for help.

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8. In the 9th or 10th month of the program we

finally had two computers to use. I only had use of them-for

about 20 days in total. We mainly did book work, I received

about 15-20 workbooks, but only worked in five of them. We only

covered two of the chapters in one workbook on microprocessors

and that was the end of our learning the microprocessor. I

received a digital analog trainer as part of my school supplies.

I still io not know how to use the trainer. After my year at the

school the only thing I can do is replace circuit boards but only

if I am told which ones are down. I cannot determine which

circuit boards need replacing.

9. As we got near the end of the course, there

were on!y two students left from my origin~l class. I

complained to Leslie and to anyone in the administration that

would listen about all of the problems w~th not learning enough

to get a job. It hasn’t done any good. In fact, the students

call the administrator David Kujaowa, "Don’t Come Back Dave,"

because he has the reputation of.always telling students who

complain, "don’t come back if you don’t like it here." Recently,

I went to sign up for interviews at the Placement Office, but

have not received any appointments yet.

I0. I am now in debt for about $ii,000 and I

believe I cannot find a job in the computer repair field because

my training was so bad. Everyone always passed the tests but the

teachers told us exactly where to look, at what chapter and which

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questions for the answers. I did not understand and still passed

the tests. When the investigator from the Department of Justice

interviewed me on or about Apri! 4, 1989, I showed him a test I

had recently taken at NTC. I received an A+ on it. ~He asked me

several questions from the test and I could not answer any of

them. A true and correct copy of that test is attached as


I declare under penalty of perjury under the laws of the Sta~e of



called and sworn as a witness, I could and would competen~!y


Executed on this / day of 1989

, California.

5.

EXHIBIT 7

CEm’iFIED COPY

SUPERIOR COURT OF THE STATE OF CALIFORNIA

FOR THE COUNTY OF LOS ANGELES

PEOPLE OF THE STATE OF ) CALIFORNIA, )

) PLAINTIFF, )

) VS. ) CASE NO.

) C 727 570 NATIONAL TECHNICAL COLLEGE, ) ET AL., )

) DEFENDANTS. )

)

DEPOSITION OF TAKEN BY COMMENCING DAY, DATE LOCATION

PURSUANT TO BEFORE

: RUSSELL ANTHONY CALLOWAY : CERTAIN DEFENDANTS : 10:35 A.M. : THURSDAY, SEPTEMBER 7, 1989 : 2029 CENTURY PARK EAST

LOS ANGELES, CALIFORNIA : SUBPOENA : - C-ARY-LWOLFF, CSR 5764

VOLUME 1 PAGES 1-56

CARYL R. WOLFF CERTIFIED SHORTHAND REPORTER

12021 WILSHIRE BOULEVARD, NO. 298 LOS ANGELES, CALIFORNIA 9002.5

(213) 473-4944

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APPEARANCES

FOR THE PEO

OF COUNSEL:

PLE OF THE STATE OF CALIFORNIA:

DEPARTMENT OF JUSTICE OFFICE OF THE ATTORNEY GENERAL BY MARGARET REITER, DEPUTY ATTORNEY 3580 WILSHIRE BOULEVARD LOS ANGELES, CALIFORNIA 90010 (213) 736-7715

FOR NATIONAL TECHNICAL COLLEGE DEFENDANTS:

SHAPIRO, POSELL & CLOSE BY SIDFORD BROWN, ESQ. 2029 CENTURY PARK EAST SUITE 2600 LOS ANGELES, CALIFORNIA (213) 277-1818

90067

AND

BRENDA HAMER, ESQ. (NOT PRESENT) 12011 VICTORY BOULEVARD SUITE 203 NORTH HOLLYWOOD, CALIFORNIA (818) 508-8485

FOR THE WITNESS:

JULIA C. COLEMAN, ESQ. 1011 EAST ALONDRA BOULEVARD COMPTON, CALIFORNIA 90221 (213) 979-8392

GENERAL

2

CERTIFIED cOPY



PEOPLE OF THE STATE OF ) CALIFORNIA, )

) PLAINTIFF, )

) VS. ) CASE NO.

) C 727 570 NATIONAL TECHNICAL COLLEGE, ) ET AL., )

) DEFENDANTS. )

)

DEPOSITION OF TAKEN BY COMMENCING DAY, DATE LOCATION

PURSUANT TO BEFORE

: RUSSELL ANTHONY CALLOWAY : CERTAIN DEFENDANTS : 3:03 P.M. : SATURDAY, SEPTEMBER 9, 1989 : 2029 CENTURY PARK EAST

LOS ANGELES, CALIFORNIA : SUBPOENA

CARYL WOLFF, CSR 5764

VOLUME 2 - = PAGES 57-133


12021 WILSHIRE BOULEVARD, NO. 298 LOS ANGELES, CALIFORNIA 90025

(213) 473-4944

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APPEARANCES OF COUNSEL:

FOR THE PEOPLE OF THE STATE OF CALIFORNIA:

DEPARTMENT OF JUSTICE OFFICE OF THE ATT~ORNEY GENERAL BY MARGARET REITER, DEPUTY ATTORNEY 3580 WILSHIRE BOULEVARD LOS ANGELES, CALIFORNIA 90010 (213) 736-vv15

FOR

FOR

NATIONAL TECHNICAL COLLEGE DEFENDANTS:

SHAPIRO, POSELL & CLOSE BY SIDFORD BROWN, ESQ. 2029 CENTURY PARK EAST SUITE 2600 LOS ANGELES, CALIFORNIA (213) 277-18!8

90067

AND

BRENDA HAMER, ESQ. (NOT PRESENT) 12011 VICTORY BOULEVARD SUITE 2O3 NORTH HOLLYWOOD, CALIFORNIA (8~8) 5o8-8~85

THE WITNESS:

JULIA c.--CO MAN, ESQ. I011 EAST ALONDRA"BO~JLEVARD COMPTON, CALIFORNIA 90221 (213) 979-8392

GENERAL

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THE WITNESS: YES, I DID.

RESPECT TO WHICH YOU RETAINED MS. COLEMAN?

MS. REITER: OBJECTION; ATTORNEY-CLIENT

PRIVILEGE.

(BY MR. BROWN): WHAT WERE THE CLAIMS WITH

THE WITNESS: WELL, NATIONAL TECHNICAL

COLLEGE HAD ENROLLED ME ON THE PRETENSE THAT THEY

WOULD TEACH ME TO BE A COMPUTER REPAIR OPERATOR. AND

AFTER FIVE MONTHS OF ATTENDING THE SCHOOL, I WAS NO

BETTER OFF F~VE MONTHS AFTER GOING THERE THAN I WAS

THE DAY I STARTED. AND I WAS -- I OWED THESE PEOPLE

$13,000 FOR SOMETHING THAT I WASN’T GETTING.

IS THAT IT TO THE BEST Q. (BY MR. BROWN) :

THAT YOU CAN RECALL?

A.

Q.

PRIVILEGE.

THAT’S THE PRIMARY REASON, YEAH.

DO YOU RECALL ANY SECONDARY REASONS?

MS. REITER: OBJECTION; ATTORNEY-CLIENT

THE WITNESS: SECONDARY REASON WOULD BE THE

WHAT WERE THE PROMISES 14

SCHOOL WAS MAKING A LOT OF PROMISES THAT IT WAS

FAILING TO KEEP. AND WHEN I COMPLAINED ABOUT IT A

COUPLE OF TIMES, THE -- I GUESS THE FINANCIAL DIRECTOR

ADVISED ME IF I WASN’T SATISFIED WITH WHAT WAS GOING

ON, TO SEEK LEGAL AID. SO THAT WAS MY SECONDARY.

Q. (BY MR. BROWN):

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THAT THE SCHOOL MADE THAT THEY DIDN’T KEEP?

A. THE FIRST PROMISE WAS I’D BE WORKING AT A

MAJOR CORPORATION WHILE I WAS LEARNING HOW TO OPERATE

A COMPUTER. AND SOME OF THENAMES THAT THE COUNSELOR

READ OFF TO ME WERE IBM, TANDEM, XEROX. THERE WAS A

LIST OF MAYBE 50 COMPUTER COMPANIES ON IT THAT SHE HAD

POINTED OUT TO ME TELLING ME I’D BE EARNING ANYWHERE

FROM EIGHT TO TEN BUCKS AN HOUR.

Q. THIS WAS TO BE WHILE YOU WERE IN SCHOOL?

A. YES, IT WAS.

Q. OKAY. WHAT OTHER PROMISES DID THEY MAKE?

A. TOLD ME THAT WHILE I WOULD BE ATTENDING THE

SCHOOL, I WOULD HAVE A COMPUTER TO WORK ON THAT SO I

COULD LEARN HOW TO REPAIR COMPUTERS, WHICH THE

COMPUTER NEVER MATERIALIZED.

WHAT OTHER PROMISES WERE MADE THAT WEREN’T

KEPT?

A. I GUESS THAT’S BASICALLY THE MAIN SOURCE

RIGHT THERE, NO. I GUESS THE OTHER PROMISES WAS THEY

WOULD BE TEACHING ME SOMETHING. EVEN WITHOUT THE

COMPUTERS, YOU KNOW, I COULD HAVE BEEN LEARNING

SOMETHING, .YOU KNOW, FROM THE BOOK. AND THEY WASN’T

EVEN DOING THAT OR THEY DIDN’T DO THAT.

Q. WERE THERE ANY MORE THAT YOU CAN RECALL?

A. NOT AT THIS MOMENT. 15

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QUESTION?

A.

HASN’T.

Q. WHEN

I SAID TO THE BEST OF MY KNOWLEDGE, SHE

WAS THE FIRST TIME YOU HAD ANY CONTACT

WITH ANYONE FROM THE ATTORNEY GENERAL’S OFFICE

RELATING TO NTC?

A. POSSIBLY JULY, THE LATTER PART OF JULY

1988.

Q. WITH WHOM FROM THE ATTORNEY GENERAL’S

OFFICE DID ~OU HAVE THAT INITIAL CONTACT?

JOYCE SIMMONS.

WAS THAT A TELEPHONE CALL?

YES, IT WAS.

DID MS. SIMMONS CALL YOU?

WELL, I CALLED HER FIRST AND SHE RETURNED

Q.

A.

Q.

A.

MY CALL.

Q. WHY DID YOU CALL MS. SIMMONS?

A. I, PICKED UP A LEAFLET DOWNTOWN AND IT WAS A

ARTICLE IN IT REFERRING TO VOCATIONAL COLLEGES THAT

WEREN’T TRAINING THE STUDENTS, YOU KNOW, GETTING LOANS

AND GOING IN DEFAULT WITH ALL THESE STUDENTS TAKING

THESE LOANS OUT, WHAT HAVE YOU. AND THEY SAID IF YOU

KNOW ANYONE OR IF YOU ARE ONE OF THOSE PERSONS, CALL

THIS NUMBER.

WHERE DID YOU PICK UP THAT LEAFLET? 17

00013

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YES.

AND SHE DID RETURN YOUR CALL?

YES.

SHE CALLED YOU AT YOUR HOME?

YES.

WHAT CAN YOU RECALL OF THAT CONVERSATION

WITH MS. SIMMONS?

A. I TOLD HER, YOU KNOW, ABOUT THE ARTICLE

THAT I HAD READ AND I TOLD HER THAT I WAS HAVING

PROBLEMS A’E THE SCHOOL THAT I WAS ATTENDING AT THAT

TIME ’AND I JUST GAVE HER AN ACCOUNT OF WHAT WAS GOING

ON.

Q. WHAT DID YOU TELL HER WHAT WAS GOING ON?

A. BASICALLY THAT I WAS ATTENDING NATIONAL

TECHNICAL COLLEGE AND I HAD BEEN GOING THERE FOR ABOUT

SIX MONTHS. AND AT THAT POINT IN TIME, I WAS REALLY

FRUSTRATED BECAUSE I WAS OBLIGATED TO PAY BACK THIS

LOAN UPON GRADUATION WITH THE COURSE, I1-MONTH

COURSE. AND I HAD BEEN THERE FIVE MONTHS AND I REALLY

HADN’T BEEN TAUGHT ANYTHING, YOU KNOW. AND I -- I WAS

FEELING, YOU KNOW, FRUSTRATED ABOUT THE WHOLE THING

AND I NEEDED SOME KIND OF LEGAL ADVICE TO SEE WHAT

DIRECTION I WAS GOING TO HAVE TO GO INTO.

Q. WHAT DID MS. SIMMONS TELL YOU?

A. WELL, SHE REALLY DIDN’T GIVE ME NO LEGAL 19

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FUTURE." BUT IT NEVER WAS TZCH REALLY A NEED.

BUT I DON’T REMEMBER WHETHER IT WAS TWO

SIDES OR NOT.

Q. IT YOUR SIGNATURE ON IT?

A. YES.

Q. DID YOU SIGN IT SOMETIME IN APRIL 1988?

A. YES.

Q. WAS IT ALSO PART OF THE BIG STACK OF PAPERS

THAT YOU WENT THROUGH AND SIGNED?

A. YES.

~MR. BROWN: I’M NOW HANDING ONE MORE

DOCUMENT TO THE COURT REPORTER AND ASKING THAT THIS BE

MARKED AS EXHIBIT 208 AND I’M HANDING YOU A COPY AND

YOUR ATTORNEYS A COPY.

(EXHIBIT 208 WAS MARKED

FOR IDENTIFICATION.)

(BY MR. BROWN) : MR. CALLOWAY, HAVE YOU

EVER SEEN THE ORIGINAL OF THIS DOCUMENT?

A. NO.

Q. AND IS IT YOUR SIGNATURE THAT APPEARS ON

THIS DOCUMENT?

A.

THINK.

NO.

DO YOU KNOW WHO R. BENTON IS?

I THINK IT’S A COUNSELOR. RON BENTON,

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A.

Q.

OF A FELONY?

A.

Q.

AT NTC?

YES.

MR. CALLOWAY, HAVE YOU EVER BEEN CONVICTED

NO.

AFTER YOU TERMINATED YOUR ENROLLMENT AT

NTC, DID YOU EVER LOOK FOR A JOB IN ANY FIELD RELATED

TO COMPUTERS?

A. YES.

Q. WHERE DID YOU LOOK?

A. ~WENT TO, LIKE, MCDONNELL DOUGLAS. BUT I

WAS LOOKING FOR ELECTRICAL ASSEMBLY WORK AT THE SAME

TIME. IT WAS LIKE A OPEN APPLICATION. I WAS WILLING

TO TAKE ANYTHING.

NAME.

WHEN DID YOU GO TO MCDONNELL DOUGLAS?

OH, AROUND JUNE OF 1989.

WHO DID ~OU TALK TO AT MCDONNELL DOUGLAS?

A EMPLOYMENT COUNSELOR. I DON’T KNOW HER

WHICH MCDONNELL DOUGLAS --

LONG BEACH.

-- FACILITY DID YOU GO TO?

DID YOU GO THERE IN RESPONSE TO --

A AD.

-- A JOB LISTING? 65

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OF THEM WERE ELECTRICAL ASSEMBLY EXCEPT FOR ONE THAT I

WENT TO IN GARDENA, CALIFORNIA THAT WAS FOR WELDING.

BUT IT WASN’T ACTUALLY WELDING.

WINDING, SOMETHING LIKE THAT.

Q.

A.

IT WAS LIKE COIL

COIL WINDING COURSE FOR ELECTRIC MOTORS?

YEAH. I ACTUALLY DID THAT AT GARRETT. SO

I ACTUALLY THOUGHT I COULD GET IN WITH THAT

EXPERIENCE. BUT THEY DIDN’T CALL ME.

Q. DID YOU APPLY BACK TO GARRETT AIRESEARCH?

A. NO, I DIDN’T.

Q. OTHER THAN MCDONNELL DOUGLAS, YOU CAN’T

REMEMBER ANY OF THE NAMES OF ANY OF THE PLACES YOU

APPLIED?

A.

Q. NO.

STUDENT AT NTC.

A. NO.

I WORKED AT A PLACE CALLED TRANS-AERO.

THAT YOU APPLIED AFTER YOU WERE A

DID YOU CONTACT ANYONE IN THE PLACEMENT

OFFICE AT NTC TO ASK FOR ASSISTANCE IN FINDING WORK?

MS. REITER: OBJECTION; VAGUE AS TO TIME.

THE WITNESS: YES.

Q. (BY MR. BROWN): WHEN DID YOU CONTACT ,

SOMEONE AT NTC FOR HELP WITH PLACEMENT?

AROUND MY LAST TWO WEEKS OF COMPLETING THE

COURSE THERE, I TALKED WITH A COUNSELOR. SHE TOOK MY

00016

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RESUME AND MADE A APPLICATION OUT, SAID SHE ’WOULD GET

BACK TO ME.

Q. WHO WAS THAT?

A. JOB PLACEMENT COUNSELOR. I DON’T REMEMBER

HER NAME.

Q. IT WAS A WOMAN?

A. YEAH. BLACK WOMAN.

Q. ABOUT HOW OLD?

A. I DON’T KNOW. I NEVER EVEN LOOKED AT HER,

I MEAN, YOU ~NOW.

THAT.

Q.

A.

Q.

DID YOU AGAIN CONTACT THE PLACEMENT OFFICE?

HONEST, I NEVER EVEN THOUGHT ABOUT

YOU WERE STILL A STUDENT WHEN YOU --

YES.

AFTER YOU WERE NO LONGER A STUDENT AT NTC,

AQ

A.

A.

WAS LESLIE.

Q.

A.

THERE SINCE I LEFT.

YES.

WHO DID YOU TALK TO?

THE SAME WOMAN.

WAS THAT ARLENE ROBINSON?

NO.

IF I’M NOT MISTAKEN, I THINK

THE SAME WOMAN?

HER FIRST NAME

DO YOU KNOW IF SHE’S STILL EMPLOYED THERE?

NO. I HAVEN’T BEEN DOWN THERE, BACK DOWN

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Q. AFTER YOU WERE NO LONGER A STUDENT AT NTZ

AND YOU CALLED TO TALK TO THE PLACEMENT DIRECTOR

THERE, WHAT DID YOU FIND OUT?

A. SHE WAS STILL SEEKING PLACES FOR ME TO GO

CHECK OUT.

Q.

A.

A.

Q.

DID SHE EVER GIVE --

NOTHING EVER MATERIALIZED.

DID YOU CALL HER ON THE TELEPHONE?

YES.

DID YOU EVER GO IN TO SEE HER AFTER YOU

WERE NO LONGER A STUDENT?

A. NO.

Q. DO YOU RECALL HOW MANY TIMES YOU’VE CALLED

HER ON THE TELEPHONE?

A. JUST THAT ONCE.

Q. AND ABOUT HOW LONG AFTER YOU HAD STOPPED

ATTENDING CLASSES DID YOU CALL HER?

A. THREE WEEKS. RIGHT AFTER MY KIDS -- MY

KIDS HAD CHICKEN POX -- I MEAN THE MEASLES. IT WAS

ABOUT THREE WEEKS FROMTHE START TO THE FINISH OF THE

MEASLES. SO IT WAS THREE WEEKS LATER.

DID SHE GIVE YOU THE NAMES OF ANY EMPLOYERS

OR SEND YOU OUT TO ANY INTERVIEWS, OR SHE DIDN’T GIVE

YOU ANY INFORMATION?

A. NO, NONE WHATSOEVER. 71

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Q. WAS THERE AN ACTUAL PLACEMENT OFFICE AT NTC

THAT YOU COULD GO IN AND LOOK AT LISTINGS?

A. NO. THEY HAD THIS LITTLE BOARD IN THE

CAFETERIA. BUT IT WAS, LIKE, A CARDBOARD THING AND IT

WAS A JOKE BECAUSE, YOU KNOW, THEY WOULD HAVE THESE

LITTLE THINGS ON THERE FOR JOB PLACEMENT.

BUT I WENT THERE FOR A YEAR AND THE STUFF

NEVER CHANGED. IT WAS THE SAME STUFF WAS ALWAYS UP

THERE.

Q. DID YOU EVER CALL ANY OF THOSE LISTINGS?

A. NO BECAUSE THEY WAS ALL FOR SECURITY GUARDS

AND I WAS GOING FOR COMPUTER REPAIR.

ARE YOU PAYING OFF YOUR STUDENT LOAN?

NO.

WHY AREN’T YOU PAYING OFF YOUR STUDENT

Qo

LOAN?

A. I DON’T HAVE ANY WAY TO PAY IT OFF.

NOT WORKING PLUS I’M GOING ON THE ADVICE OF MY

ATTORNEY.

Q.

FROM THE

STUDENT LOAN?

A. NO.

Q.

A.

I’M

HAVE YOU HAD ANY CONVERSATIONS WITH ANYONE

ATTORNEY GENERAL’S OFFICE ABOUT PAYING YOUR

ARE PAYMENTS DUE UNDER YOUR STUDENT LOAN?

SIX MONTHS AFTER I GRADUATE. SO 72

NOT YET.

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THEY HAD BEEN GIVING ME THE $50 A WEEK, THAT IT WAS

EITHER GOING TO BE FOR STIPEND OR FOR MY TUITION.

YOU TESTIFIED EARLIER IN YOUR DEPOSITION

THAT YOU WERE TOLD THAT YOU WOULD HAVE COMPUTERS TO

WORK ON, BUT IT NEVER MATERIALIZED; IS THAT CORRECT?

A. YES.

DID ANYONE AT THE SCHOOL EVER MAKE

ARRANGEMENTS TO OBTAIN THAT EQUIPMENT AS FAR AS YOU

KNOW?

Ao

EQUIPMENT.

US THAT BY MONDAY, EVERYTHING WOULD BE TAKEN CARE OF.

Q. WHO MADE THOSE PROMISES?

A. FIRST, IT STARTED OUT WITH THE FIRST

DIRECTOR. I THINK IT WAS A HAWAIIAN GUY. I CAN’T

REMEMBER HIS NAME, CAN’T REMEMBER THAT GUY’S NAME.

BUT HE WAS ONLY THERE FOR, LIKE, A COUPLE WEEKS AFTER

I ENROLLED. AND THEN FOLLOWING, THE NEXT DIRECTOR

THEY MADE PROMISES TO OBTAIN THE

EVERY FRIDAY AFTERNOON, THEY WOULD PROMISE

WHICH WAS MR. KOGOL, AND HE MADE

FOLLOWING MONDAY, "DON’T WORRY."

TOLD US, "DON’T WORRY. EVERYTHING

DID ANYONE ELSE BESIDES

PROMISES THAT THE

THAT’S ALL HE EVER

WILL BE ALL RIGHT

THESE TWO ~EOPLE

THE NEXT DIRECTOR WHICH WAS A GENTLEMAN 85

MONDAY."

Q.

TELL --

A.

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NAMED DAVID KAJAWA. "DON’T WORRY. EVERYTHINGWILL BE

ALL RIGHT MONDAY."

AFTER DAVID CAME IN, DAVID GOT TIRED OF US

COMING, OF US COMING IN AND ASKING HIM ABOUT WHEN THEY

WAS GOING TO GET COMPUTERS. SO HE HIRED A LIAISON GUY

WHICH WAS -- WHAT WAS THE GUY’S NAME? I CAN’T THINK

OF H~S NAME. ANYWAY THIS GUY, WE HAD TO GO TO THIS

GUY NOW INSTEAD OF DAVID.

PROMISES EVERY WEEK.

A. YES.

I’M SERIOUS.

GOOD" ?

A.

HE WOULD MAKE THE SAME

DOES THE NAME DENOLO SOUND --

DENADO, DENOLO. THAT’S HIM.

HE WAS THE LIAISON PERSON.

YES.

AND HE MADE THE SAME PROMISES?

BUT HE WAS GOOD. OH, HE WAS GOOD.

WHAT DO YOU MEAN WHEN YOU SAY "HE WAS

BECAUSE YOU WALK UP TO HIM, DENADO AND SAY,

" HE’D SAY, , "WHEN THEY GOING TO GET COMPUTERS, " OH YOU

HAVEN’T RECEIVED COMPUTERS YET?"

AND YOU GO TO HIM THE NEXT DAY AND SAY,

"WHEN WE GOING TO GET COMPUTERS?" "OH, YOU HAVEN’T

RECEIVED YOUR COMPUTERS YET?"

EVERY DAY IT WOULD BE LIKE IT WAS JUST NEW 86

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TO HIM, LIKE, HE HAD NEVER HEARD THIS PROBLEM BEFORE.

AND IT GOT TO THE POINT WHERE YOU’D JUST -- YOU ASKED

HIM EVERY TIME YOU SEE HIM IN THE HALL AND HE’D JUST

SMILED. "WE’RE GOING TO TAKE CARE OF YOU, NO

MONDAY MORNING YOU’LL HAVE YOUR COMPUTERS."

YOU MENTIONED THAT THE FIRST DIRECTOR WHOSE

PROBLEM.

Q.

NAME YOU DIDN’T REMEMBER WAS THERE ABOUT TWO WEEKS

AFTER YOU HAD STARTED SCHOOL?

A. MAYBE LONGER. TWO WEEKS OR A MONTH. HE

WAS A HAWAIIAN GUY. I REMEMBER THIS.

Q. YOU MENTIONED THE NEXT DIRECTOR WAS KOGOL?

A. YES.

Q. ABOUT HOW LONG WAS HE THERE?

A. ABOUT THREE MONTHS.

Q. DID ANYONE EVER TALK TO YOU ABOUT GOING TO

BUY SOME DISCOUNT COMPUTER EQUIPMENT AT TRW?

A. YES.

Q. WHO WAS THAT?

A. THAT WAS MY TEACHER OSCAR OSORIO.

Q. WHAT DID HE TELL YOU?

A. HE TOLD US ABOUT WHERE WHERE WE CAN

PURCHASE COMPUTER EQUIPMENT FOR DISCOUNT PRICES AND

THEY DID THIS EVERY SATURDAY AT THE END OF THE MONTH.

AND HE TOOK US THERE AND HE SAID THAT HE’D OFFER THE

DIRECTOR OF THE SCHOOL TO COME UP AND BUY EQUIPMENT 87

0O022

00004

National ~ Technical

ORIENTATION

ge eval

SCLAIMZR

, have passed the examination, discussed my

career objectives with the College Representative, and satisfied all financial matters with the Financial Aid Department. I hereby certify that no one promised me anything and no one induced me to enroll for any reason other than to receive entry-level job training in the program I selected. No promise of work, money or anything else, other than the discussion of my career objectives took place in my pre-admission prOCeSS.

My/~ ~issions representive’s name is.

~ ’T ~ S SIGNATURE~ TODAY J D

EXHIBIT 8

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DECLARATION OF THOMAS CARRUTHERS

I, THOMAS CARRUTHERS, declare the following:

I. On or about October 10, 1988 a friend gave me a

flier from National Technical College in downtown Los Angeles.

The flier said students receive $I00 a week pay while they attend

school starting after the government grants come in.

2. I went to NTC and the clerk at the front desk gave

me a multiple choice test in math and English and told me to sit

down in the hallway and take the test. The test took about i0

minutes. I thought the test was hard, but the NTC people told me

I passed it. I went to high school but did not graduate and I

studied for one year in junior college.

3. A lady in the financia! aid office told me that I

would sign up for two loans and a Pell grant and that the $i00 a

week came out of the Pel! Grant. She said one loan was an SLS

loan for approximately $2700 and the other loan was a GSL loan

for approximately $2700. She said the Pell grant was for

approximately $2000.

4. NTC personne! also told me that the security guard

course would cost about $5000 and would take 20 weeks of classes,

four days a week from 6:00 to 9:45 p.m. Through the class I was

to receive a firearms permit, a CPR card, a baton card, a teargas

card ~nd a security guard card, as well as books, a uniform and a

special belt, called a Sam Brown belt, for holding the baton and

other items; and shoes.

5. I graduated from the class at the end of April,

1989. 0nly three or four of the approximately 25 students who

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started at the same time I did stayed in the class until

graduation. We had three different teachers. The second.

teacher, a man named Roger Barbour, told us that he gave the

school one week to get him the curriculum he needed to teach the

course and when the school did not, he left. Barbour told me I

should hold out for jobs starting at $7 an hour or more for

security guards.

6. The third teacher was named Dan Mayfield. He told

me I should hold out for security guard jobs paying $8 to $9 an

hour.

7. When I came near the end of the course, I went out

on a couple of jQb interviews. The salaries offered were $4.50

and $4.25 per hour.

8. As.a part of the course, we took a "powers to

arrest" test to get our security guard permits. A person from

outside the school gave the test and signed the temporary guard

card, known as a pink slip. We were supposed to receive the hard

copy, the regular guard card, in two months. After the first

instructor left, Mr. Jenkins, the instructor of another security

guard class told us that we had to take the test again because

the instructor that left did not turn in our tests to the

government agency in Sacramento.

9. I ~ook the test again. When I went on a job

interview, the employer called to check on my temporary guard

card and found that Sacramento stil! did not have a record of it.

I talked to Dan Mayfield about it. He called to check with

Sacramento while I waited. He told me Sacramento still did not

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have the record from my second guard test. The number you call

to check on the security guard cards is 620-5902. Finally, I

took the test a third time and picked up my temporary pink slip.

i0. I told the placement director Lois Coleman about

my problem with the guard cards. She told me that when I went

out on the next interview I should use the card from the second

test and if the employer finds out it is not valid, by that time

I should have the card from the third test. Mayfield told me to

check again on my guard card after June 15, 1989. That would be

about two months after I took the test for the third time. He

said it should be entered in the computer by then.

ii. Dpring the time I was at NTC I did not receive the

CPR card, the firearms card or the baton card. I did not pass

the firearms test. I was told I passed the baton test, but the

instructor told me after I had graduated that the person who gave

the baton test was not licensed.

12. At orientation when I started the course, the

placement director told us that you get a weekly payment for each

week you do not miss more than one day.. I was in school eleven

weeks before I received my first $i00 payment. A woman in the

financial aid office told me that my paperwork was lost and I had

to fill out the paperwork again to start getting the weekly

payments.

13. When I was supposed to graduate, I still had not

received a uniform, shoes or the belt. I had received one book

and a copy of the Penal Code. I also believed NTC owed me about

$400 more in weekly payments. A man by the name of Thomas in the

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financial aid office told me to come back about two weeks_after I

graduated to get my unifor~n and the rest of my payments.

14. I went back to the school on or about May 3, 1989.

I received my diploma and signed for it. The school still had no

uniform for me. I talked to David Kujawa, the director, who said

that he would check on it and told me to come back on Friday, two

days later. I also tried to get the payments I believed I was

missing but the attendance clerk told me she did not have time to

review my attendance.

15. When I returned a couple of days later Kujawa told

me he was stil! working on it. I called him several times in the

next week. Finally, he told me to cal! Ed Benel. I do not know

exactly what Benel’s position at NTC is.

16. I talked to Benel. He told men.that his list

showed I had received the uniform. He gave me the location of

the store where I was supposed to have received the uniform. I

went to that store, located near Figueroa and Flower Streets.

The man at the store pulled out his list and told me my name was

not on the list. He called Benel and told him to look at his

list again. Then he put me on the phone and Benel told me he

could not find my name on the list, so I could return the next

day, a Friday, to pick up a $250 refund for the uniform.

17. I went back to NTC and lid receive the $250

refund. I also asked Benel about the Sam Brown belt. Benel said

his information showed that NTC gave the belt to the former

instructor, Jenkins. I told him I had never received it. He

said NTC can not contact Jenkins. He told me that if I signed a

�. 000060

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paper saying I did not receive the belt and got another student

in my class to sign as a witness, I might be able to get the belt

or a refund. My class has graduated so I cannot easily contact

any of my classmates to sign as a witness.

I declare under penalty of perjury and Under the laws

of the State of California that the facts set forth in this




this ~ -- day of .<<-~--~-<J , 1989 at

¯ - . , C~qifornia.

Executedon

THOMAS CARRUTHERS

C

EXHIBIT 9



THE PEOPLE OF THE STATE oF

CALIFOP~NIA,

Plaintiffs,

-VS-

) ) ) ) )

) NATIONAL TECHNICAL COLLEGE, ) DENTAL TECHNOLOGY COLLEGE FOR) THE HANDICAPPED, INC., VALLEY) UNITED DENTAL LAB, INC., ) ANATOLY BIDNY, SOFIA BIDNY, ) AKA SOFIA BIDN6, ACCREDITING ) COUNCIL FOR CONTINUING ) EDUCATION AND TRAINING, LOS ) ANGELES SECURITY PERSONNEL ) SERVICE, CAREER ADVISING ) SERVICE, THE CAREER PEOPLE, )

AND DOES 1 THROUGH i00, ) inclusive, )

Defendants. )

C 757 570

- VOLUME I

DEPOSITION OF SERGIO CASTRO

LOS Angeles, California

Monday, September 18, 1989

9-3337

COPY

#6275

"COMPUTER-AIDED TRANSCRI.TION"

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THE PEOPLE OF THE STATE OF CALIFORNIA,

Flaintiffs,

-VS -

) ) ) ) ) ) )

NATIONAL TECHNICAL COLLEGE, ) DENTAL TECHNOLOGY COLLEGE FOR) THE HANDICAPPED, INC., VALLEY) UNITED DENTAL LAB, INC., )

ANATOLY BIDNY, SOFIA BIDNY, ) AKA SOFIA BIDNA, ACCREDITING )

COUNCIL FOR CONTINUING ) EDUCATION AND TRAINING, LOS ) ANGELES SECURITY PERSONNEL ) SERVICE, CAREER ADVISING ) SERVICE, THE CAREER PEOPLE, ) AND DOES i THROUGH i00, ) inclusive, )

Defendants. ) )

C 757 570

DEPOSITION O7 SERGIO CASTRO, taken on behalf

of the Plaintiff, at 3580 wilshire Boulevard, Suite 500,

Los Angeles, California, at 10:10 A.M., on Monday,

September 18, 1989, before RENEE DiMENNO, R.P.R., C.S.R.

#6275, a Notary Public within and for the County of

Los Angeles, State of California, pursuant to Subpoena.

SARNOFF COURT REPORTERS (213) 938-2461 O00Z~

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A March or April of 1986.

Q And when did you move to the downtown school

in relation to that?

A Well, in my capacity in those days as a

director of education, I was still teaching and taking

care of the department of education. So it was kind of

hard. So I was going back and forth every day from

downtown to North Hollywood. And after the point that

Mr. Bidny got unhappy with me because I was not doing a

good job in trying to do two jobs at the same time, they

hired a new person as director of education and I was kept

still at the North Hollywood school, but I taught some at

night at the downtown school until finally I requested ti~e

director -- it was Georgia Drakos -- to move me completely

to the downtown school.

When was that move completely to the downtown Q

school?

A

Q

Probably at the end of ’86.

Before March or April of 1986, when the

downtown school opened, were you teaching classes during

the daytime?

A

Q

A

Q

Yes, all the time.

Did you also teach classes in the evening?

Yes.

Was that during the entire time from March of

27

SARNOFF COURT REPORTERS (213) 938-2461

.%

"COMPUTER-AIDED TRANSCRIFTION"

Technical College, was an externship part of the me<lical

office procedures/word processing course?

A I don’t remember very well, but I think it

was .

was there an externship that was part of the

required medical office procedures/word processing course

at any time during your time working at --

A Yes. There was.

Q -- National Technical College?

A Yes.

Q Was that part of the course before you

changed to the Les Angeles school?

A Yes.

~ What was the re~uiremento for an externship?

A To have the completion of all the subjects in

the course and actually was the last four weeks of the

school. -

Was there any requirement as to where a

student should be placed for an externship?

A It was a requirement of the accreditation

bureau because in those days we were with ABHES so they

required.

ABHES would be the accrediting associat~

that accredited National Technical College?

A Yes.

37

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office?

A

Q

And they [-equired placement ill a medical

Yes.

Were students who had reached that place

the medical vrogram always placed in a medical office?

A Not all the time.

Q~ Were there some students who had reached that

point in their program who were not placed in an

externship at all?

A Yes.

Q Did anyone ever ask you to fill out a form

statina that a student had performed an externship for o

student that had not performed an externship?

A Yes.

Q Can you tell me the names of some of the

students that that occurred for?

A Fauzia $iddlqui. Those were actually -- some

of my first students at NTC, Fauzia Siddiqui, Gladys -- I

think her last name is Ali. Jaime. I don’t remember his

last name. That’s some of the ones that I can remember.

I got to see the list of the students in order for me to

remember which ones.

Q Can you tell me approximately how many

students you filled out a form saying that they had d<~

an externship when, in fact, they had not?

3~

SARNOFF COURT REPORTERS (213) 938-246!

"COMPUTER-AIDED TRANSCRIPTION"

MS. HAMER: Objection.

he actually filled out the forms.

that question.

HS. REITER: Thank you.

it’s not in evidence that

You’ve not propouhde~

Q Can you tell me how many students

approximately you were asked to fill out a form showin~

the}’ had completed an externship when they had not?

A Is probably ten or more than that. But no

less than ten.

Q Who asked you to do that?

A I was asked to do that by Mr. Bidny.

Q Was that in a conversation with you

individually7

A Yes.

Q What did he say, if you can recall?

A I remember it was a problem with some of the

students and we were-chetking the files of education and

they were ready to be completed, and that documentation

was never sent or -- I mean the students were never sepal

to an externship and they were ready to graduate and he

told me to do it. I think he received advice in those

days -- we have an adviser. It was Tim O°Neil.

Through his advice, then, it was, .like, w~

what do we have to do now in order to cover that

externship portion of it is to develop the form and saying

39


"COMFUTER-AI DED TRANSCRI ~N"

:tudents who were supposed to go tc an externship but did

A

A

MS ¯ HAMER :

Yes.

Did he tell you to fill it out?

Yes.

Did he tell you to sign it?

Yes.

Objection. _Leading the witness.

Counsel, I really don’t want to object. I want to get

into this inquiry certainly as much as you. Maybe you can

allow this witDess and instruct this witness that he’s

allowed to reconstruct for you in words or substance as o

best he recalls. Maybe he doesn’t understand that he

,io that, that Mr. Bidny said to me, "Sergio, one, two,

three, four." Then we won’t get into answers that I have

to strike.

BY ZS. REITER: -

Do you understand I asked you to tell me

everything he told you to do?

A Yes, I do.

Q I’d like to ask you to look at this document

which we’ll have marked as Exhibit 302 and tell me

recognize this form. First, I’ll show it to counsel.

MS. HAMER: Thank you, Counsel.

THE WITNESS: Yes, it is.

41

SARNOFF COURT REPORTERS (213) ~38-246] (]~0~0 1

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"COMPUTER-AIDED TRA~.~ ,IPTION"

(Plaintiff’s Exhibits No. 301 & 302 were

marked for identification by the

Notary Public and are attached hereto.

BY MS. REITER:

Q Who filled out this form?

A I did. Yes, I did.

Q This form is not very clear.

if you sianed this form?

form?

A Yes.

Q

A

Q

A

Can you te!! me

Did this student serve an externship?

No.

Did anyone tell you to fill out and sign this

Yes.

And who was that?

Mr. Bidny.

A!thou~J~ it’s not very clear at the bottom

right-hand corner, is that what you’re referring to "~,=

you said you signed it? Is that your signature?

It looks like it. If I get it close, yes.

And you recall actually --

I recall signing this.

Is this the Jaime that you were speakinu ~,~?

Yes.

A

Jaime Morales?

SARNOFF COURT REPORTERS .(213) 938-2461 0O031

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"COMPUTER-AIDED TP_hNSCRIPTION"

A (No audible response.)

Q Next, I’d like you to look at a docume~t

which will be marked as 303, which is also on Natio~lal

Technica! College letterhead and begins: "Let this

acknowledge that .... " and there’s a blank space with a

name filled in, "has completed a 120 hours externship at

National Technical College." I should say for the record

it’s the same form as 302, but it has a different name

filled in.

(Plaintiff’s Exhibit No. 303 was

marked for identification by the

Notary Public and is attached hereto.i

MS. HIC~IER: Without interposing an objection,

Counsel, I would reserve the right to ask at least that

you allow this witness to provide the detailed

identification of whatever documents you’re putting into

evidence rather than-doing that yourself.

BY HS. REITER:

Would you take a look at this document and

tell me if you’ve seen that before.

A Yes, I did.

Q Can you tell me if that is the document you

previously described as the form you developed to show

placement of externs?

A Yes, this is the same one.

43

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"COMPUTER-AIDED TRAN~CFII’TION"

Q You had mentioned previously Fauzia Siddiqui

as one of the students who did not do an externship; is

that correct?

A Yes.

Q And that is the same Fauzia Siddiqui who is

listed on this form?

A Yes.

Q Did you fill out this form?

A Yes, I did.

Q Did you sign it?

A Yes.

Q Did you do that at anyone’s directien?

A Yes.

Q Who told you to do that?

A Mr. Bidny.

Q Did Mr. Bidny know that Fauzia Siddiqui did

not do an externship at National Technical College?

MS. HA$[ER:

THE WITNESS:

BY MS. REITER:

Q

A

Q

A

Objection. Calls for mere speculatior~.

Yes, he did.

How do you know that he knew that?

Because we talk about it.

Did you tell him?

I tell him and it was the point at that

moment students could not be re-called to tell them LhaL

SARNOFF COURT REPORTERS (213) 938-246]

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"COMPUTER-AIDED TRANS¢ ~!ON"

true?

A Yes.

Q l’d like to jump ahead to a time when

ABHES -- we’re not jumping ahead in time -- ABHES had

scheduled a visit to National Technical College. Before

any of the ABHES visits, were files ever moved out of

their regular location?

MS. HAMER:

MS. REITER:

Objection. Vague and ambiguous.

Yes, I think so.

Do you understand the question?

THE WITNESS: Kind of, but not clear.

MS. REITER:

Did National Technical College have a file

each student who enrolled?

Yes.

Did the files indicate if that student had

A

!topped the course?

A Yes.

Were files of dropped students ever moved

before an ABHES visit?

A Yes.

Q When was that approximately?

A It was in the downtown school and w~

¯ ke, around eight boxes of files to the 13th

"a~s= we request the office manager to 1- where

SARNOFF COURT REPORTERS (213) 938-246[

00034


these boxes and she told us that we were welcome to put

them on the 13th or 14th floor. I don’t remember. But we

~eved them out of the floor for NTC in downtown.

Q Did NTC have more than one floor in downtown

bes Angeles?

A No. It’s only one floor.

Q Who, if anyone, told you to move those boxes?

A Well, it was an agreement between Mr. Bidny

¯ ~nd, I think, in those days it was Ed Longo. And I don’t

remember very well if George James was already aboard.

Was there a conversation in which you were

"?!d to move boxes of files?

A Yes, because we knew that the dropout or the

~e starts were tee high, and we were showing on the

~-ecerds it was less than what it actually was.

In this conversation, who was present?

Mr. Bidny,’Ed Longo for sure, and myself.

And George James, you’re not sure if he’s not

A

present?

A

Q

That one I’m not sure if he was in there.

Tell me what w~s said in this conversation,

who said what in thisconversation.

A Well, we knew that we’re supposed to show

less records because of the dropouts and it was all

time a discrepancy what we consider a dropout and what we

SARNOFF COURT REPORTERS (213) ~38-2461 00035

"COMPUTER-AI[ ED TPANSCRI F’T! ON"

consider a no start.

Q Let me stop you for a minute.

MS. }[AMER: Than]< you.

BY MS. REITER:

Q My question was: What was said in this

particular conversation?

A To remove files, those files that were

exceeding the numbers we said were in the school.

MS. HAMER: Counsel, I’m not objecting. But wou!~]

.-~u instruct the witness on answering that kind of

¯ t==~ion~ We re not getting it. I’m not objecting to

’.’,’ur cu~tion. __ Maybe he didn’t understand your

’~imonitions in the beginning about what you’re entitled

, but I don’t want to move to strike the answer as being

?i~responsive. If you could just give him another

::struction, maybe. When you say who said what to whom,

~:[d you explain that?

HS. REITER: Sure.

Q Do you understand what her problem is?

A Yes.

Q When I say who said what to whom, you told me

..~i~at, but you didn’t tell me which person said it.

To the best you can recall, who said what i~

i:at conversation? What did Mr. Bidny say --

A Mr. Bidny say was for us to fix the [~les in

5O

00036 SARNOFF COURT REPORTERS (213) 938-2461

"COMPUTER-AIDED TRANSCRI=flON"

order for the files to be right. And Ed Longo and myself,

you know, we were talking about the only way we can fix

those was to remove files or fix the files in the way that

would look less than what actually were.

Q You said that?

A I said that in front of Mr. Bidny and Ed

!Jongo, the same. So Mr. Bidny told us to do whatever was

necessary, but he didn’t want to have any problems in the

.~ccreditation, and for us to request the office manager of

the building to let us put those files upstairs¯

Q "Now, who put the files in those boxes?

A . I did. Together with clerical people,

financial aid. Everybody was involved in that.

What files -- were you looking for particular

files to put in the boxes?

A Tl~e no starts or dropouts.

Q When you-say’"no starts," what do yqu mean by

¯ i;at?

A When a student actually did enroll in school

and didn’t show up probably the second day, within the

first five days.

Q So the student enrolled and they either did

not start school at all, or else they started and

within the first [j.ve days. And that’s what yo~, ,~a]l

Start?

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"COMPUTER-AIDED TRANSG ’ION"

A Yes.

Q You ~ay you also put drop files in those

boxes; is that correct?

A Yes.

Q What do you mean by "drop"?

A Drop file. Students we didn’t know what

!,appened actually to them, a student was in school maybe

two, three weeks, and suddenly stop.

was to take numbers out.

<]~cse boxes?

A

The main objectives

Do you know about how many files you put in

I can only recall there were like five, six,

,even, eight boxes. It was not only one or twe.

How thick are the student files that you were

utting in those boxes, if you can show me?

A Probably -- small. It was only this much.

HS. RE!TER: For the record, I think the witness is

::~-onstrating an amount that seems to be approximately an

~hth of an inch.

THE WITNESS: Probably. Eighth of an inch, quarter

of an inch.

MS. HAMER: Can I see the gesture from the witness?

THE WITNESS: It was small.

~EIfER:

In other words, the files were thin:’

52

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A Yes, they were very thin.

Q I thin]< you already answered this. Then you

did move those eight boxes up to the 13th or 14th floor?

Objection. Asked and answered. MS. HAMER:

BY MS. REITER:

Q

A

Q

The answer was "yes"?

Yes.

Let me backup a minute.

Other than that time that you just described,

was there any other time in which drop or no start files

were removed before an ABHES visit, to your knowledge?

A That was the only time that we removed files.

Q Before ABHES visits to the school, were

documents added to student files to show the files were

complete?

A

Q

A

Q

A

file.

Q

visit?

A

Q

Yes, we did.

Did you participate in that?

Yes, I did.

Did you add entrance tests to the files?

Sometimes, yes, because they were not in the

Did that occur before more than one ABHES

Yes.

Do you remember how many times that occurred?


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A No less than three times.

Not less than three times?

Yes.

Did anyone instruct you to put tests in the

files before the ABHES visit?

A. Mr. Bidny used to tell me that it was my

responsibility. He didn’t care about ho~ long I will be

in school, but he want me to complete those files no

matter what I did. He wanted me to put papers or whatever

was necessary, but he wanted those files to be completed.

Q Did you understand from that, that he wanted

you to make up tests?

A It was his -- I understand when he says

whatever is necessary, because he knew some files were not

there and I used to answer him back, "I couldn’t find some

documentation so it was impossible for me to do it." So

his answer all the time saying he didn’t give a damn, he

wanted me to do it.

MS. HAMER:

THE WITNESS:

MS. HAMER:

THE WITNESS:

BY MS. REITER:

That’s all right.

worse.

He wanted me to --

Didn’t give a what?

Didn’t give a damn.

Damn?

I’m sorry.

Even if it’s that or

Your testimony has to be accurate.

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Can you tell me approximately how many files

you placed an admission test in?

MS. HAMER: Objection.

talking about admission tests.

BY MS. REITER:

tests.

Not in evidence that we’re

Q I believe I used the word before entrance

Do you understand the entrance test to be the

admission test?

A Yes.

MS. HAMER: Objection. Vague and ambiguous.

may be more than one entrance test and it’s not in

evidence as to which we’re really talking about.

BY MS. REITER:

Q

A

Q

tests?

Do you remember the question?

Yes. If I put in entrance exams.

In how many files did you put in entrance

A There were a lot.

that I can say I did only one or two.

exactly how many.

Was it more than ten?

Yes.

More than 50?

Probably less than 50.

There

It was not only one or two

I cannot recall

Q More than 25?

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total?

A Yes.

So somewhere between 25 and 50?

Yes.

Was that on one occasion or was that the

A That was only one occasion.

all the time we have papers missing.

I mean, because

Q So on one occasion you put in between 25 and

50 missing tests?

A Yes.

Q You said that this happened at least three

times. Do you recall for the other times approximately

how many missing tests, admission tests you placed in

files?

A I cannot recall exactly. But it probably

will be the same amount.

Q Approximately 25 to 50 each time?

A 25 to 50.

Q Were there any other documents that you added

to files before a visit from the accrediting association?

A

you mean?

A

Q

Contracts. Educational papers.

When you say "educational papers," what do

Tests.

What kind of tests were these?


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A

pertaining to the paper work of the course.

Q Were those tests also made up?

MS. HAMER: Objection. Vague and ambiguous.

up.

THE WITNESS:

BY MS. REITER:

Final tests or quizzes or any paper work

Made

Q Where did you get those tests from?

A Actually from the file cabinets that I find

them somewhere stocked without any file -- they were nut

filed. Put them somewhere.

Q Let me see if I understand this. Were those

tests that that actual student had done, or were they

other tests? Do you understand the question?

A No.

Q I’m a little confused by what you’re saying.

You say you would place these final tests in the students’

A Yes.

MS. HAMER:

MS. REITER:

files?

Or quizzes.

Or quizzes.

Q And you would find them elsewhere.

A Yes.

Q The test that you found, were they written by

the person whose files you put the test in?


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A

the file?

A

Q

A

A

MS. HAMER :

Counsel.

him.

fes.

The test were there, they simply were not in

Yes.

That’s not true with the entrance test?

No.

Those you made up; is that correct?

Yes. Because some students --

Objection. Leading the witness,

He can clarify his answer without your leading

THE WIT~ESS: Yes, those were made by me. We used

to have a girl named Emma. And sometimes she was the one,

with the help of her we used to put them altogether.

BY MS. REITER:

Q What was Emma’s last name? Was that

Murrillo?

A Murrillo.

Q What was her job?

A She was the registration, secretary, file

clerk. Everything.

Q You also stated that you added contracts to

the file. Where did you get those contracts from?

A From the financial aid. The financial aid

office.


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Q Those were, in fact, contracts that had

already been signed?

A No. Sometimes we used to look for the

student. It was still there. Make thenl sign again the

contract, and sometimes we used to actually disregard the

file if it was a dropout.or the student was not any more

in file.

Q what do you mean you would disregard the

file?

A We would put them on the side and that was

the one of the files we were supposed to have.

Q ~id you ever have someone other than the

student sign a contract to put in the file?

A No. ~

the

in

Q While you were adding the entrance exams~to}/

files before the ABHES visit, was Anatoly Bidny eze~

the same room?

~ A Oh, yes, he used to pass by and check if I~

was doing my job. And sometimes I took long hours, you

know, to do those kind of tasks. And after schoo! or in

between my classes, between 3:00 and 6:00, I used to go

down to the office and start working for those papers.

And Mr. Bidny used to pass by and see if I was doing it.

Q Who is Ed Longo?

A Ed Longo was the administrator for the


59

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downtown school for -- I think it was North Hollywood

also. Because he was switched to the North Hollywood

school. ~

Q Did you ever overhear a conversation in which

Ed Long0 asked Anatoly Bidny why he lied to the students?

A Yes. We many times talk about it because

sometimes Mr. Bidny had the concept of telling people what

they want to hear. And then later he will change his mind

and do what he wants to do.

MS. HAMER: Objection. Nonresponsive to the

question. Move to strike.

BY MS. REITER~

Q In the conversation -- you said you had

conversations. Who were these conversations with?

A Ed Long0.

Q And was Mr. Bidny there also?

A Sometimes.

Q In any of the conversations where Ed Longo

and Anatoly Bidny were both present, did you ever hear Ed

.Longo ask him why he lied to the students?

A Yes.

And what, if anything, did Anatoly Bidny Q

respond?

A He used to have -- he says still the

government was giving him money and that’s why they have

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REITER:

Was he a teacher?

Yes.

David Bidna.

Is there a person who worked at the downtown

campus within the last year whose first name or last name

was Joseph that you recall?

A Jospeh Darden, D-a-r-d-e-n. lie was my

student in word processing and they gave him a job as

receptionist in the night. Then he started helping

placement -~ George James and he was in that capacity,

fi!in~ and doing things like that.

BY MS. REITER:

Ung Ty, U-n-g, T-y, two words.

Ung Ty.

I don’t ~now" if it’s pronounced Ung.Ty or

A

Young Ty.

A No.

Q Last name is,

K-a-o, and the first name,

I believe -- well, it’s spelled

I believe, is

K-h-o-n-d-a-r-e-t-h. Are you familiar with that name?

A Probably if I see him. Like that, no.

Q Kao, K-a-o.

A Can you write it down:’

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"CO[.IPUTEP,-AI DED T~,ANSCR I P ~ I ON"

MS. REITER:

THE WITNESS:

:3Y MS. REITER:

Did you say speak or teach, Counsel?

Speak.

Yes, speak in that language.

Q You testified earlier that you were the

coordinator for the medical word processing course. Were

you the coordinator for any other courses?

A I was the coordinator for the medical

assistant, core, straight word processing and medical word

processing.

Q Were you the coordinator for dental

assisting?

A No.

Q Was there a dental assisting class taught at

the downtown school?

A No.

Q Were there-stu’dents enrolled in a dental

assisting class at the downtown school?

A Yes.

Q When was that?

A It was early 1987. I don’t recall exactly

the month because we only have a few.

Q Approximately how many students were ~nru[]~,~

for the dental assisting class in downtown?

A No more than ten.

107

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"COMPUTFR-AIDED TRANS{ ~TION"

Q

estimate?

A

Q

A

When you say "no mcre than ten," can you

Nine.

Nine to ten?

Yes.

If there was no dental assisting class, what

did these students do after they were enrolled?

A They would put up -- they were sent to the

classroom in the dental technician class.

Whose decision was it, if you ]<now, to do

that?

A

Mr. Bidny.

about this?

A

A

It was mine, it was Paul Sgobba and it was

Did the three of you have a conversation

Yes.

Where wa~ that conversation?

Say that again.

Where were you when you had this conversation

with Mr. Sgobba and Mr. Bidny about the dental assisting

students?

A

L.A. campus.

Q

In the main office on the downtown

Can you tell me what was said in that

I08

and who said i.t?

SARNOFF COURT REPORTERS (213) 938-2461 00041

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That she wanted to .go to her classroom, a A

rental assistant classroom.

A

A

MS. HAMER :

THE WITNESS :

BY HS. REITER:

A

A

students a refund?

A rio.

Did she make that complaint to you?

Yes.

What did you do?

I notified to Hr. Bidny.

I didn’t hear that answer, Counsel.

I notified Mr. Bidny.

What did Hr. Bidny say?

"That he was ready to hire the instructor.

Did you report back to the student?

Yes.

Did Hr. Hidny ever instruct you to offe~ the

When I s~y "%he students," I mean the dental

assisting students.

A No.

Q Did anyone ever tell you that you should

offer them a refund?

A No. Nobody told me that.

Q Was there a dental assisting class at tht$

North Hollywcod school?

A Yes.

!i!

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¯ "CO.~PUTER-AIDED FKAr St...

112 Q Did you ever see the classroom?

A Yes.

Q Did you hear any complaints from the dental

assisting students in North Hollywood?

A Their main complaint was why they were not

using the X-ray machine.

Q How did you know about that complaint?

A BecaUse I used to go to North Hollywood al~d

that’s when I used to -- you know, students used to ask me

when are we ooin~ to the X-ray machine.

. So the students asked you, "When are we going

to get to use the X-ray machines?"

A Yes.

Q When the students asked you that, what did

you tell them?

A ThatI didn’t know. That they better talk to

the director of the s~hooi.

Do you know why they couldn’t use the X-&-ay

machine?

A

Q

NO.

Do you know if the X-ray machine was located

in a separate room?

A Yes, it was on the second floor.

Do you know if that room had lead protecti....,,:’

No, it didn’t have.

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MS ¯ HAMER:

It did not have?

(No audible response.)

Was that required?

Objection. Calls for a

conclusion.

MS. REITER:

THE WITNESS:

BY MS. REITER:

legal

If you know.

Yes.

Q Who required that there be lead protection

for the use of the X-ray machine?

A .When I worked together with the dental

a_sistant coordinator in the beginnina of the setup cf the

program, she told me that it was a requirement from,

think, the state or the board of dental or X-ray -- it was

a requirement from the state if you want to teach X ray

and you want the student to practice with a tea! X-ray

machine. So they have to-have those recuirements in that

particular room.

what was this person’s name who was the

dental assisting coordinator?

A Miss Putlongo.

Q Can you tell me for 1989, from January

present, approximately how many students enrolled in

medical word processing class at the downtown schot, i[’

you can tell me. I don’t want a guess.

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140 question.

Q Did you ever have difficulty getting the

supplies you needed for your classes?

A Yes, sometimes.

Q If you had difficulty, what did you do?

A Many times we requested supplies and Sofia

Bidny started questioning us why all this spending money,

expense on supplies and books. Many times, I mean, I was

accused when I was covering classes in North Hollywood

that I was stealing. Books were disappearing. Actually

what I was doing, I was giving the students the books as

loaners. And Mr. Bidny understood many times. The main

p~oblem I can see was Sofia Bidny because she wanted to --

if you need two pencils, you need two pencils. If you

need three paper clips, we’ll give you three paper clips,

not looking into things because maybe was more supply was

needed to give to the students and Mr. Bidny was all the

time open in that aspect. He never used to like that the

-students were not receiving their books.

Q You said that you got the books and gave them

to the students. How did you get the books?

A Because I used to request them as a loane~-.

And I requested, "I need ten books for typing," so ten’

books were given to me to keep it at the school, and I

used to keep them in there, but sometimes a student would

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"COMPUTER-AIDED TRANSCRI, ION"

used to say, "Well, I would like to practice at ho~e."

he sometimes would take the book and bring it back the.

following day.

Q Did you give the students in your classes

books before they were funded? When I say "funded," I

mean before they received government checks?

A No. But I would like to clarify something.

We have a little section in the program, at least medical

word processing, straight word processing, named core,

c-o-r-e. It was a period of time, four weeks, in which

the student w~s given a handcut of copies of materials

that they’re.supposed to cover during that time. And

after the fourth week when they used to get intothe

regular program, it was a procedure that if a student was

not funded to give them copies of books and things like

that. But we all the time emphasized that to Mr. Bidny,

let’s give them the books as loaners. So sometimes they

did receive the books and sometimes they didn’t.

In the core course when you gave them

handouts, where was that material copied from?

A We sent the original to Sofia Bidny. She

send it to a printer.

that material.

MS HAMER:

nonresponsive to the question.

So the printer used to supply us to

I’ll object to the answer a’s~.being


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"COMPUTER-AIDED TRANSCk_. .ION"

BY MS. REITER:

Q What was the original that you sent to her?

MS. HAMER: Move to strike, sorry.

THE WITNESS: Can you repeat that.

BY MS. REITER:

Q You said you sent the original to Sofia and

she would have it copied. When you say "the original,"

what are you referring to?

A The original paper that’s supposed to be

copied.

Q Was that paper a textbook?

A Sometimes were portions of textbook.

Sometimes were~things that I type on the display writer

for the school.

Q So the handout was, if I understand you

right, a combination of things copied from textbooks and

things that you or some other instructor prepared?

A Yes.

Q Did you have a key to the supply room?

A I used to have a long time ago. But after,

after many complaints Sofia knew that I was walking into

the supply room, they took away that key from me.

When you had the key, did you ever give ~-

take books out of the supply room?

A Yes, if they were needed.

142

SARNOFF COURT REPORTERS (213) 938-2461 ~0~7

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"COMPUTER-AIDED TKANSC~ ION"

Q When you took books out ef the supply room,

did you give them to students?

A Yes.

Q Did you ever give them to students before

their funding came in?

Yes.

Why did you do that?

Because they need them.

Those were books they needed for the core

A

course?

A ~sually it was more to the regular course.

And these were students who were already in

the regular course, but had not received their funding?

A Yes.

Q In the word processing portion of the medical

word processing course and in the regular word processing

course, what word processing program did you teach at

National Technical College? Let me make it shorter.

word processing system. I don’t know the computer

language.

A Software.

Wha t

Q

MS. HAMER: The name of it, Counsel?

MS. REITER: Yes.

THE WITNESS: Wordstar.

what word processing software did you teach?


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"COMPUTER-AIDED TRANSCk~ liON"

.BY MS. REITER:

Q Wordstar?

A Yes.

Q I understand Wordstar has various versions.

Do you remember what number of Wordstar?

A One of the first ones. I think it’s 2.1.

was one of the versions of Wordstar.

Q Do you know what is the most recent version

of Wordstar?

A I think it’s 5.0.

Q "Did you ever have available 5.0?

A .~ No.

Q Did you ever have available any Wordstar

program other than the first one that was available?

A We -- no. We supplied the students with

them. Can I clarify?

Q Let me just ask it again.

the first Wordstar program that was available; correct?

Yes.

And that-number was -- do you recall the

You said you used

A

number?

A 2.1. 2.0, 2.1.

Did you ever have available to teach the’

students any Wordstar program more advanced than the 2.0

or 2.17

It

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SARNOFF COURT REPORTERS (213) 938-2461 00049

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"COMPUTER-AIDED TRANSCR~TION"

A No. But can I clarify? Mr. Farmer is the

other instructor for the word processing as well as Ro~ert

Sencion at the North Hollywood school. Other instructors,

we used to bring our own from home, and many times we used

those in the classroom. So it was -- it’s kind of a -- if

a student was not receiving a Wordstar from the school,

but they were receiving other software because we brought

that soft’are.

Q Why did you bring that software in?

A Because they didn’t buy us another one.

Q Did you think the students should learn the

other software program you brought in?

A At this~moment, yes.

Q What software program or programs did you

bring in for the students to use?

in?

A

A

do you have?"

D Base or Lotus I, II, III.

The school did not provide those programs?

No.

Do you know what program Mr. Farmer brought

The same. We used to compare. I mean, "What

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better."

to run copies of all those programs and give it to the

I say, "Well, you bring yours, I like your~

Then we use that one. So Mr. Farmer -- we used

SARNOFF COURT REPORTERS (213} 938-2461 00050

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DECLARATION OF BUTRINA DAVIS

I, Butrina Davis, declare the following:

i. On or about January 1988, my boyfriend, Juwayne Jenkins

and I were looking for security jobs in the newspaper. I saw an

ad that said "security guard, no experience necessary," I called

the number in the ad, there was no name of a company in the ad.

It was a company on Wilshire Boulevard named the Los Angeles

Security Personnel Services.

2. Juwayne and I went to the offices to fill out

applications. W~ were told by a job counselor that in order to

get a job we would have to sign up for some training. The job

counse!or sent us to National Technical College in downto~ Los

Angeles for the training.

3. When we got to National Technical College we spoke to

an admissions counselor. I Cannot remember his name. He told us

that the security guard training program was a 15 week program.

He said the entire cost of the program, about $3000, would be

paid for with a grant and a loan. He told us that the loan would

no~ have to be repaid until six months after graduation. He said

we would each get $60 per week while attending the program. We

did not go on a tour of the school.

,-~, Juwa~vne and I both signed the !oan papers and *~=

27 contract that was prepared for each of us. I was never given a

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student handbook. No one explained to me the school’s refund

policy. Within a month, I remember a check coming in the mail

for me and I signed the check over to the school. I never

received any weekly sum while I attended the college. Juwayne

went to school for one month before he was told that his loan

request was denied because he had a prior outstanding loan with

another vocationa! school that had not been paid. He was told to

leave the school that day.

5. There were three teachers during the time I was in the

program. Each time a new teacher came, they wasted my time by

reviewing materia! we had already gone over. I was upset that I

was not getting the weekly allowance that had been promised by

the admissions counselor and I complained to the people in the

office. The office seemed to be very disorganized, no one seemed

to be able to give me a straight answer about the money I thought

I was going to be getting.

6. I left the program because I was not learning anything

and because I needed money and had to find work. I was never

offered a job while I was in school as had been promised to me by

the job placement service that referred me to National Technical

College.

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Executed on this day of ;

at ,California.

, 1989

Butrina Davi s

EXHIBIT ii

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DECLARATION OF GRACE DUNN

I, Grace Dunn, declare the following:

i. I was looking for a job near the end of October

1986. I saw an ad in the jobs offered section of the Daily News

that stated, "clerical, typing." No company name was stated in

the advertisement, only a phone number. I called the number in

the ad and was told to come down to the office for an interview.

The company was located on Victory Boulevard. I do not remember

the name of the company.

2. I met with a woman, she was black, medium build,

short hair, very well dressed. She told me about the school next

door, National Technica! College ("NTC"). She said I could get

on-the-job training, make money for the training and when the

training was complete I would have a degree and could make

per hour. She told me I would be paid $5.00 per hour for on-the-

job training. She sent me next door to meet with Richard Bourne.

3. I entered National Technical College at 12001

Victory Boulevard and the receptionist, Emma, gave me a test.

The test was a very easy math and spelling test. I completed the

test and was introduced to Richard Bourne, the admissions

director. Richard asked me if I had graduated from high school.

I told him I had my high school equivalency, GED. He safd he

needed a copy of it. Richard showed me an advertisement from the

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school that listed a number of programs available. A copy of

that advertisement is attached as Exhibit 1 and incorporated by

this reference. I expressed an interest in the dental’ laboratory

technician program. Richard suggested that since I¯ had a

clerical background it would be better if I signed-up for Medical

Office Procedures/Word Processing.

4. Richard said that there is on-the-job training,

that it was real easy to qualify for grants to go to school and

that the school had a placement agency to find clerical work

during training and guaranteed job placement on graduation.

Richard told me the tuition was $4375 including books and

registration fee. .He promised that I would be receiving a living

allowance during the time I went to school. He said I would

receive a total of $250 from my Pell Grant for a living

allowance. I told Richard I was not sure and asked about taking

the contract home. He said I could not take a copy of the

contract.

5. I went home to talk to my husband about it and

Richard called to talk me into signing up for the program. He

said the orientation was on Monday. I decided that since I

really did not have any marketable skills that I would give it a

try. I went back to National Technical College and Richard took

me in to see Donna in the financial aid office. Donna filled out

all of the forms and I signed them. A copy of the application

for the loan is attached as Exhibit 2 and incorporated by this

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reference. A copy of the contract is attached as Exhibit 3 and

incorporated by this reference. No one ever explained the refund

policy to me.

6. I began school on November 3, 1986 when I attended

the orientation. I immediately asked about the part time work.

In or about the middle of December I was put to work in the

office stuffing envelopes for a few hours on two different days.

When I asked in the office about being paid for the work, they

denied that I had worked at al!. The person in the office said

there was no record that I had worked at all. I attended schoo!

all of November and December unti! the Christmas holiday. I then

took a medical leave of absence because I had to have surgery. I

returned to school in March 1987.

7. I felt the school was not providing the education

that Richard Bourne promised me. The air conditioning in the

building rarely worked, the typewriters were usually broken, I

received few text books, mainly xerox copies of books and there

was a rapid turnover of teachers, administrators and placement

directors. No library was provided for the students. I was not

receiving the living allowance that Richard had promised me. One

of the ~nany accounting teachers I had just gave the students the

teacher’s edition of the book because she could not explain the

answers to the students. Finally after the many complaints I

made to the director of the school and the complaints made by

other students to the director and to the owner M~. Bidny, I

00067

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wrote up a petition for the other students to sign regarding the

amount that was promised to each student for living expenses from

Richard Bourne. A copy of the petition is attached as Exhibit 4

and incorporated by this reference.

8. I tried to get the students together to stage a

strike against the school to get some changes made. Many of us

wrote to the accrediting agency and to the State Department of

Education about the problems. Franklin Moore, the administrator

of the school warned me that I could not quit the school because

I would still owe the school the money even if I did not

continue. Mr. B~dny acted very upset when the students were

picketing outside the school. He was yelling at us that he had

come here from Russia and built the school and no one was going

to take it away from him. He said that no one could tell him how

to run his business.

9. Mr. Bidny called us into the school and made some

promises about changes that were going to be made. He said tha~

they would provide text books and refunds for those text books

that were unavailable. He said he would fire Richard Bourne for

making all of the false promises that he did about the living

allowances. Shor_ly thereafter some of the students were issued

refund checks for anywhere from $75 to $200. I received a check

for about $82. I don’t know why some students got more than

other students.

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i0. On or about April 22, 1987 I told Franklin Moore

that I was going to see a lawyer about suing the school. -Mr.

Moore handed me a letter, a true and correct copy is attached as

Exhibit 5 and incorporated by this reference. The letter was a

"Memorandum" about the student dress code. He said "here, give

this to your attorney and get out of the school." Mr. Moore also

handed me a paper that had page 6 typed at the top right hand

corner called, "Institutional Policies" a true and correct copy

is attached as Exhibit 6 and incorporated by this reference.

This sheet referred to conduct and dismissa!. I understood he

was dismissing me from the schoo! because of my leadership role

in trying to get.some changes made in the school.

ll. I left school that morning before lunch and did

not return, but my attendance record says that I was still in

school as of May 1987. A copy of my attendance record is

attached as Exhibit 7 and incorporated by this reference.

12. Shortly after April 22 I received a copy of

Exhibits 5 and 6 in the mail at my home. There was nothing else

in the envelope I received from National Technical College.

13. Approximatell six months later, I do not remember

the exact day or month, I received a message from my husband that

Emma from National Technical College had called and wanted to

know if I wanted to go back to school. I never returned the

call.

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14. I have been paying off my loan monthly at-the rate

of $50 per month (I do not know the exact balance of what I owe),

even though I feel that National Technical College did not

provide what was promised when I originally signed up for the

course and I was dismissed because I was active in trying to make

the students’ complaints known.




called and sworn as a witness, I could and would competen%ly



, California.

, 198~

GRACE DUNN

EXHIBIT 12

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DECLARATION OF RAY ESQUIVEL

I, Ray Esquivel declare the following:

I. I am a student at Rio Hondo Community College in

Whittier in the paralegal course. Last semester I received one

A, two B’s and one C in my classes. I work part time as a

student professional worker at the Los Angeles County Department

of Consumer Affairs.

2. On May 15, 1989 I called in response to an

advertisement in the "employment/business prep" column of the

classified ads in the May 3, 1989 edition of the Wave newspaper.

The advertisement offered employment training and part-time and

full-time jobs for $4.25 to $25 per hour. The ad also offered a

$400 monthly allowance. A true and correct copy of the

advertisement is attached as Exhibit 1 and incorporated by this

reference.

3. The person who answered my telephone call

identified herself as Teresita. She said they were offering

employment training, that there was a government loan and that

the school will place me in a job when I finish the training. I

made an appointment to go into her office on Wednesday, May 17,

1989. A true and correct copy of a transcript of our telephone

conversation is attached as Exhibit 2 and incorporated by this

reference.

4. When I arrived at the address indicated by the

advertisement, 650 S. Spring Street, No. 926, there were two.

people in the room, Ginah and Mando. I mentioned that I had

talked to Teresita. Mando and Ginah told me she was in class

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then. Mando talked to me about the different courses where they

could place me. He gave me a long yellow page with the name

S-T Enterprises at the top, a true and correct copy of which is

attached as Exhibit 3 and incorporated by this reference. It

listed a lot of different programs. He told me they could place

me in a number of different schools including National Technical

College, Webster Career College and Meadows College.

5. I filled out an application. A true and correct

copy of an application form like the one I filled out is attached

as Exhibit 4 and incorporated by this reference. I told Mando I

needed a job to earn some money. He told me that the school will

pay me $I00 a w~ek for six months for a total of $2400. He said

I did not have to pay the money back until six months after I

finished the course and after I had a job. He said I only have

to pay the money back at about $40 to $50 a month. He also said

the schoo! gives me placement assistance to get a job.

6. I told Mando that I thought I wanted to take the

dental laboratory technician course. He told me a little more

about the schedule of the classes. Then Ginah walked me over to

National Technical College ("NTC") at 600 S. Spring Street, next

door to Ginah’s and Mando’s office.

7. As we left Ginah handed me a small pink slip of

paper entitled J’student referral card", a true and correct c~py

of which is attached as Exhibit 5 and incorporated by this

reference. She also handed me a yellow paper with the picture of

a key, with the name and address of S r~ Enterprises, enti" ie! ’~ .....

open letter from S-T ~"~ ~--~e~ ’~=~=~ <.ou~elors "

gOOf172

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correct copy of the open letter from S-T Enterprises is attached

as Exhibit 6 and incorporated by this reference. The open letter

has several numbered paragraphs. Paragraph number 5 states,

"Upon completion of your training, you will be placed working in

that area." Paragraph number 6 states,

"Government financial aid is available. It pays for

tuition, registration fee, books, transportation

(RTD-passes). UP to $400 monthly allowance for

personal expenses (or $i00 weekly) for maintaining good

attendance. These loans are payable after graduation

in small monthly installment payments."

8. As. Ginah walked me over to NTC she told me the

classes would start on Monday and that the dental lab course was

one of the best courses there.

9. When we arrived at the reception area of NTC, the

receptionist gave me an application to fill out. Ginah stood

there while I filled it out. I believe the people there knew

Ginah. Occasionally she would say hello to someone. She talked

with the receptionist. A man wearing a suit came out of one of

the offices and walked by. He told Ginah, "I’ll get that paper

for you."

I0. After I finished filling out the application,

!I Ginah wrote in the upper corner ~’STE, " the abbreviation for S-T

24 Enterprises. She also wrote on the back of the pink student

’ fe__a~ card, . - 25 {I re ~ ~ "2nd week" and "4th week" She told me that T

’).;-~ i~ should go by her office after the second week of class and she

27 iiwould give me a $5 certificate to buy suoplies I mieht need for

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school. She told me to go by her office after the fourth week of

school and she would give me a $i0 certificate to help me out.

She also told me to come by her office after the first week or

two of school and she would get me a part-time job. The person

sitting next to me overheard her comment and said "I need a job."

She told him she could not give him a job because he was not with

her. On one of the forms I filled out, I answered no to the

question which asked if I had a high school diploma.

ii. After Ginah left, a man who introduced himself as

Beau Lee called to me and said, "We’ll get you started on the

test and after you take the test I will see you." Then the

receptionist toQk me to the back, to an area in the hallway, to

take the test. Three or four other people were also seated there

taking tests. She told me it was a 30 minute test and that I

needed 12 answers correct out of 50 to pass the test for dental

lab technician.

12. The questions asked, for example, whether two

words were similar or different. I purposely took a long time

answering the questions and when the receptionist came back I had

finished answering only about 26 or 27 questions. I purposely

answered questions wrong so that I believe I got no more than

about five correct answers.

13. I had noticed while I was waiting near the

receptionist s desk that the receptionist was correcting tests as

she answered the telephone. After ! gave her my test, I turned

to read some of the items on %he bulletin board near the

receptionist s desk. Beau Lee came up to me and said, 1~you

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passed. You got 12 right out of 50. You got a B on the test."

He wrote down the number of points I got correct on the

application form I had filled out before.

14. Beau told me he was busy with someone else and

handed me a pamphlet entitled "Student Handbook" to look at while

I waited. I had to wait a long time before he was ready to see

me.

15.. He took me to his office and started to fill out

papers. He also gave me another form to fill out and asked me to

fill in references. He told me I could not put down the name of

anybody I lived with. I wrote down the names and addresses of my

brother, a friend, my finance’s sister, and one other person.

The form also asked if I had defaulted on any student loans, if I

was in the military and if I went to another school.

16. Beau asked me if I knew how to draw. He told me I

would have to draw teeth from different angles in the dental

technician course. He also told me that in the class we would

make teeth out of wax for dentures and design dentures. He also

told me I would receive $I00 a week. He said~I would receive a

grant that I did not have to pay back and some money from the

government that I would have to pay back. He said the financia!

aid office would tell me more about that and check on my income.

17. While we were talking a girl burst in and

complained that she had been marked absent two days that week

when she was there a!l but one day. After she left Beau

explained to me that if you miss more than one day per week you

do not get the

5.

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18. He told me that I would receive my first check in

about two to three weeks and that the check would be for $200 to

$300. He said that after that I would receive $i00 a week unti!

I graduated. He also told me that I could change my mind and

take a different training program, for example, as a computer

operator. He said, however, that my grade on the test was so !ow

I would have to take another test, but he encouraged me saying "I

can see that you will pass that test."

19. Beau began to fill out another form that was a

triple carbon paper form. He did not tell me what the form was

or what he was filling in. I watched as he filled it in and saw

that he wrote down $4300, then $300 for books and then $4600.

The form also contained my social security number and other

information.

20. Beau talked to me as he filled out the form. He

told me that when I graduate I can move to another state and my

training will help me get a job there. He told me about a girl

who did not want to take the course because she was planning to

move out of state. He said that she took the course and when she

graduated he called a dental office in the other state and got

her a job there.

21. As soon as he finished filling out the triple

carbon form, he turned it to me and said "Now you sign this and

we can hurry and get you to financial aid." So far I had had to

sign every paper at the bottom, i was watching closely to see

which one was the contract before i signed it. He did not ~eii

me that this was a contract and I would not have known if i had

6. 80076

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not been paying close attention to what he was writing. At that

point I told him I was not sure, that everything was going too

fast, and that I did not know if I wanted to sign it. He told me

that after financial aid, I would be set and ready to start

schoo! on Monday. He said that once I started he would see that

I learned and he said, "When you graduate you will get a job."

He said, "The placement office can place you; don’t worry about

it." He told me that businesses come into the school to hire

students and that I can get a job.

22. When I still hesitated to sign, Beau said "Don’t

worry about it, you’re not agreeing to anything. You have three

days to cancel, and until you go to school for one day you don’t

have to pay anything." He looked on the form to see where the

form said that, but he could not find it.

23. I still hesitated and told him I wanted to think

about it. He pulled out a business card with his name on it from

his desk and gave it to me. A true and correct copy of his card

is attached as Exhibit 7 and incorporated by this reference. He

told me to call him before Friday and the sooner the better. He

said he would keep the file right there in his desk. He told me

the classes would start on Monday.

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He also said that if I did not start this Monday I could start on

another Monday.






Executed on this 7 day of

/~-~2/i ~ California

1989 at

c:\wp\reiter\esquivel.dec

8.

EXHIBIT 13

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DECLARATION OF ALEXANDRA ETTINGER

I, Alexandra Ettinger, declare the following:

i. In or about January 1988 while I was looking for a

job, I saw an ad in the newspaper that said, "Earn money and get

training," or words to that effect. The name of the company was

National Technical College ("NTC"). I went down to the Los

Angeles branch of NTC on Spring Street and was told by the

admissions representative about the computer repaar course

offered at the North Hollywood !ocation. I went to the North

Hollywood location and signed up for a nine month course ending

in November 1988 to prepare me to work as a computer repair

technician. I took a very easy admissions exam with some simple

math questions. I passed the exam and enrolled. I was told the

program cost $6500. I signed up~ for a supplementa! !oan for

students for $2200, a Guaranteed Student Loan for $2625, and a

Pe!l Grant for $2100. True and correct copies of the loan

applications are attached as Exhibits 1 and 2 respectively and

incorporated by this reference.

2. I found the math in the computer repair course very

difficult. I had never taken algebra in high school and I was

not able to grasp the mathematical concepts that went with the

program. In April 1988 I asked for a leave of absence for a

month because I had a health problem and I thought the time would

enable me to get my math skills up to par so that I could keepup

with the math being taught at NTC. A true and correct copy of

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the "Notice of Change in Student Status" is attached as Exhibit 31


3. I returned to school on May 16, 1988 and there was

a new teacher, a new administrator and a new secretary. I was

told that the program was now six months long and I was told to

begin from the beginning. I was given another very easy "mock

entrance exam." The a~ministrator said they were testing it on

us for future students.

4. On or about August 9, 1988 M~. Braxton, the Vice

President of NTC,. held a meeting with the electronics teacher and

the students. He said that they had to make this six month

program into an eleven month program again. He also told us

that we could drop out of the program and NTC would "eat" any

loans or monies owed except what was paid to us in stipends and

bus tickets. I decided to take advantage of this offer and leave

the program. I felt I was not learning anything useful. I did

not see that I would ever be able to work as a computer repair

technician with the training I was receiving at NTC. I did not

understand a lot 6f the math and the electronics theory. I

thought when I signed up for the program that I would be learning

how to use diagnostic tools and how to make quick and easy

repairs to the computer. The course was above my head. Also,

since there were no computers made available for us to work on

and practice, on I did not see how we would have the necessary

experience to get jobs in the field. A true and correct copy of

000099

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my withdrawal form dated August 16, 1988 is attached as Exhibit 4

and incorporated by this reference. A copy of my withdrawal

notice indicating a $2789 refund due on my CLAS and GSL loans is


5. The financial aid person told me that they would

sell my contracts to another student, but expected me to pay

$260.10 for a "mini-lab" for circuit building, that I built in

the six month program, plus the amount I received in stipends,

$310.05. I felt that the only amount I should owe NTC was the

money received in stipends and bus fare. A true and correct copy

of NTC’s ledger ~heet for me is attached as Exhibit 6 and

incorporated by this reference. The written figures indicating

the balance were made by the financial aid person.

6. On September 7, 1988 I wrote a letter to Ms.

Harriet Ahearn, the manager of NTC, a true and correct copy of

which is attached as Exhibit 7 and incorporated by this

reference, spelling out my responsibility to pay a total of

$570.15 and their responsibility to absorb all other costs and

obligations involved in my being a student at NTC. Ms. Abeam

signed the letter for NTC dated September 8, 1988. In September

1988 I began receiving notices of a repayment obligation for

$2200 from the Loan Servicing Center/Kansas. A true and correct

copy of a notice dated September 21, 1988 is attached as Exhibit

8 and incorporated by this reference. I tried to contact the

school at least five or six times to get this straightened out

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but have not been successful in getting any cooperation from

anyone there. The last bill I received from the Loan Ser~.icing

Center dated 4/7/89 indicates that I am four months past due and

owe $277.60. A true and correct copy of that billis attached as

Exhibit 9 and incorporated by this reference. In or about April

1989 I received a letter from Diversified Collection Services,

Inc. asking me to call them about my delinquent loan payments. A

true and correct copy of that notice is attached as Exhibit I0


7. It has been a real nightmare and I do not know who

to. turn to for help. NTC has not followed through on their

promise to me and the loan companies say they cannot do anything

to help me.






Executed. on this day of i~ii ~/

at ~ ~ ~/~-" ~ ~"" ’ ." ¯ ~ ° California

., 1989

ETTINGER ~ ~

o 0 0101

EXHIBIT 14

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DECLARATION OF PAT EVERNHAN

I, Pat Evernhan, declare the following:

i. In or about April 1988 I answered an advertisement

in one of the San Fernando Valley newspapers. The ad stated

security job positions available, paying $6 to $12 per hour. The

name of the firm doing the advertising was Los Angeles Security

Personnel Service.

2. I called the number in the advertisement and went

to the office located in Van Nuys. I was interviewed by a black

male, medium build, middle age. I cannot remember his name. I

already had my guard card #GU655790 from the California

Department of Consumer Affairs, Bureau of Collection and

Investigative Services. The man said that I could get a better

paying job in the security field even though I already had the

card, by first attending a 16 week course for security c

He said the cost of the course would be covered by goverT~men~

grants and aid.

3. He sent me to National Technical College ("NTC") in

Sherman Oaks where I took a placement test. I do not remember

what was on the test, but I assume I passed it because ! was

allowed to enrol!’ in the course. The admissions counselor told

me I was "in luck" because a new class was just starting. I

found out later from others in the course that most of the ten

people in the course, had been attending the same course for from

two to six weeks previously. Students were complaining to the

teacher that they were going over material that had already been

covered.

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4. The admissions counselor told me that the entire

course would cost $3800. The admissions counselor told me that

I would get a $2800 grant and that I would be required to repay a

$i000 !oan to cover the cost of the $3800 course. The admissions

counselor also told me I would receive a rebate of between

and $I000 to cover the cost of my own expenses while I was in the

program. Part of the cost of the course included $200 for

books, but I believe the books and supplies I reteived were .....

about $25. I did net receive the books unti! I was in the

program for one month.

5. Most of the course was spent listening to teachers

ramble on about things that had nothing to do with police work.

One teacher took some students to the park to do calisthenics and

talk about jungle warfare. I stayed at the school. I

r_~e_z= a PR24 . .. card and a CPR card but I did not cot a cun

or mace permit as the admissions counse!or promised, i

complained to David C. Kujawa, the administrator of NTC but he

told me if I didn’t like it I could leave. I completed the

course but did not receive a diploma or placement assis=ance to

find a job in the security guard field.

6. I am confused about how much I actually owe on the

loan. I believe I received bills for $2600 but as I stated

above, the admissions counselor told me I would only owe $i000.

I only got $200 from NTC for expenses, not the $900 to

promised at the admissions office. 0



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declaration are true and correct, that they are of my o’~

personal knowledge and, if called and sworn as a witness, i could


Executed on this day of /

, California.

EXHIBIT 15

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DECLARATION OF DAVID FAIRCLOTH

I, David Faircloth, declare the following:

i. In or about August 1987 I was unemployed and

looking for a job. I read an ad in the classified section of the

Daily News offering various immediate job opportunities, free

uniforms, etc. I responded immediately going to the office that

turned out to be next door to National Technical College (~NTC"1

on Victory Boulevard in Van Nuys. I went to the second floor and

spoke with Fir. Hudson, a black man in his mid-thirties, who was

thin and of medium height.

2. Mr. Hudson asked if I was interested in training

and I told him I was only interested in a job. I needed money

very badly because I was unemployed at the time. Mr. Hudson said

that with training offered at National Technical College I could

soon be ready for a job in the security field. Hudson promised

to get me a job when I graduated from NTC that would pay between

$7 to $13 per hour. He said I was in luck because a class was

just ready to open up. Hudson gave me some forms to fill out and

sent me next door to NTC.

3. At NTC I took an admissions test with standard

English and reasoning questions and signed financial aid and

grant forms. I spoke ~,".th an admissions representative and a

financial aid counselor who filled out the paperwork. I believe

they told me the three and one half month course cost $3800, but

I am not ~=~ I think they had me sign uo for a $40000!oan

and a gran~, but I think the grant never came through. I did

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receive about $200 for expenses during the time I was in school

to cover the cost of transportation and other expenses.

4. No one offered to let me visit classes before I

started school. I believe the classes were ridiculous, and

except for one good instructor during a three week period of

time, the course was a joke. There were no books, not even

photo copied materials provided at first. The teacher told me

that was because my loans and grants had not been approved yet.

There was a large turnover of teachers and administrators durin~

the time I was there. One teacher took us out to the park to do

calisthenics and run; he did not teach us a thing. Another

instructor read crime stories to us. Only John Grogin taught us

pertinent rules and regulations during the three weeks or so he

was there. He gave us tests on the materia! he taught and I did

well on the tests. After Grogin left the teacher they replaced

him with again offered nothingmeaningful in the way of training.

5. New students were constantly being added and old

ones dropping out of the class. Approximately 75-80% of the

class was spent going over the same material from the previous

week because of the constant addition of new people. I

complained to the administration and to the teachers about all

the problems with the course, bdt nothing changed. Finally, a

month before the end of the cours{, I dropped out I had no

money and no way of getting~myself to school and the course was

no~ tea~h_ng me anything anyway. T never received placement

assistance from the school.

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6. After dropping out of NTC I got a job as a security

guard for a month. I worked for Tract Security in Canyon Country

and was paid $4.80 per hour. I obtained a temporary guard card

through Tract Security after taking a written test and being

finger printed. My guard card application was rejected in

Sacramento because I had a misdemeanor battery charge on my

record. I was asked to return the temporary card and told that

I would not be issued a new one. No one at NTC ever asked about

my record or told me it would prevent me from getting a security

guard card.

7. I feel that the school was totally misrepresented

to me, that I can never work in the security field because of my

past criminal record and that is something that should have been

screened prior to my being allowed to sign up for the loans.






at

Executed on this

California.

DAVID FAIRCLOTH

a : ~\\fairclot .dec

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DECLARATION OF TODD FRAZEE

I, Todd Frazee, declare the following:

I. In or about February 1988 I was a student at Cal Poly Pomona

majoring in computer information systems when I saw an ad for Computer Repair

Trainee in the Los Angeles Times. The ad said I could make $30-35,000 per

year. I thought it might be a help to me in my education to know more about

the insides of computers because I already knew the programming part of it. I

called the number and was given an address to go to in North Hollywood.

2. The man I spoke to at the agency, I cannot remember the name

of the agency or the name of the man, told me that the training was at

National Technical College ("NTC") next door. He also told me that if I was

having money problems they could get me a job part time.

3. I went to NTC and a man named Bill gave me a test with English

questions and some math matching problems. I asked what the criteria was for

passing and the admissions person answered that he did not have to tell me

that. I didn’t think I passed it but Bill told me I did. I told Bill I

wanted to work as a computer repair technician after I completed the program

and he said that NTC would provide job placement. Bill then gave me a

difficult math test. I had lots of math in my college background and I passed

it and signed up for the computer repair technician program. The program cost

$6500 and was to last about 9 months.

4. I signed financial aid documents for loans. Laurence

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Hernandez was the financial aid counselor. Laurence said I would be getting

$50.00 per week as a stipend. I thought it was a $600 discount, Laurence did

not tell me I would have to pay it back. Laurence told me that I could have

my money refunded at any time. He told me that a certain percent of the money

would be given back to the loan company. I did not see a refund policy and I

did not read the contract I signed. I was rushed through the process. I was

not given a school catalog. I began school on February 22, 1988.

5. Joyce Hobbs was my first teacher. She was excellent. I had a

few good friends in the class and we were all working at about the same pace.

We helped each other and Joyce had the background and experience to teach

basic electronics and the math we needed to know. Joyce left the school in

June 1988 and things went downhill from there on. The course was changed from

a 9 month course to a 6 month course. The new teacher, a man named Amir, did

not have the background and expertise that Joyce had. Supplies were not

provided in a timely fashion. I found myself helping new students who I felt

did not have the necessary background and math skills to be in the class.

6. I did not want to change to the new course. Charles Bendaw,

another student and I were complaining about the changes made in the program

and one day Dave Kujawa, the head of the downtown campus of NTC came to talk

to us about the problem. He made an agreement with Charles and me that he

would administer the tests on the old program. Dave said he would give us,

"any assistance you need." We never saw him again. We were left with working

through the program ourselves with little or no help from the teacher who was

spending all his time with the new students who were in the new program. I

wanted to leave the program but was told by a female administrator (brown

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hair, glasses, 5’7", medium build about 38 years old) that I would owe for all

the loans if I left at that time, July 1988. Instead I took a one month’s

leave of absence in the hope that when I came back the students would be

closer to where I was in the program.

7. I came back in August and caved in and started working on the

new program because I found out Charles quit the program and that would leave

me working through the material on my own. There was a lot less math and much

less of the electronics basics than was in the old program that Joyce was

using. I stayed on until October when I found out I was not even half way

done with the program. I felt so frustrated because the work I was doing at

the school did not provide the education that I originally hoped to gain. I

had hoped to gain a working knowledge of the inside of computers in order that

I could open my open computer repair business after I completed the course. I

stopped attending school on October 18. A true and correct copy of my Notice

of Termination is attached as Exhibit 1 and incorporated by this reference.

8. I owe the $2675 on my GSL and another $2175 on my SLS. I was

never given a chance to leave the program when the change was made from the

original program to the new shorter program. No one gave me a new enrollment

agreement to reflect the shorter course length. NTC did not provide the

education that was promised to me when I first went to the school. Bill

promised me that I would be able to repair computers within 6 - 9 months. I

was at the school longer and still do not have the necessary knowledge to

repair computers because of the lack of experienced instruction at NTC.

I declare under penalty of perjury under the laws of the State of California

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that the facts set forth in this declaration are true and correct, that they

are of my own personal knowledge and, if called and sworn as a witness, I

could and would competently testify to the above facts.


, California.

, 1989 at

TODD FRAZEE

EXHIBIT 17

4

DECLARATION OF WANDA GLEDHILL

I, Wanda Gledhill, declare the following:

I. Sometime during November 1987 I was looking for a jeb.

I read an advertisement in the newspaper, I do not remember which

newspaper. The ad stated, no experience necessary for werd

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hour or more. She told me that if I signed up to attend National

Technical College it would help me earn the money. She said the

education would get me out in the world. She said the course was

seven months attending day school. She sent me next door to

National Technical College.

3. I talked to the receptionist at National Technical

College. Her name was Emma. She gave me a test with true and

false questions in reading and spelling. After I finished the

test and was told that I passed it, the admissions counselor,

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appointment to come to an office. I went to an office on Victory

Boulevard in North Hollywood. I do not remember the name of the

company, i do remember it was right next door to National

Technical Col!ege ..

2._" filled out an application and was inte_v__we_~ ~= ~ by a

black woman, 25-30 years old, medium height, dark hair, wearing

She asked me if I was interested in making $9 - $12 per

8 iiprocessing and typing and there was a phone number; no company

91!name was listed. I called the number and was given an

Richard Bourne took me back to his office. He told me that I

2 l!would learn how to type, how to work in the medical field~ how to

3 ilwork in a doctor’s office. He said I could earn between $9 and

4 !i $18 per hour. I would be able to get a good job in a hospital or

a doctor’s office when I graduated from the medical word

processing program. Richard told me that I could get financial

aid to cover the cost of the tuition, about $4500, I cannot

remember ~he exact amount. He said I would no-_ have to pay the

!oan back until six months after I completed the program. He

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said there was placement assistance upon graduation. He did non

_e_~iv_c one ~_. cive me any handbook or catalog and i never ~ ~=" =" fat=-

He sent me over to the financial aid office where a

14 i!woman filled out al! of my paperwork. I do not remember her

15 i! name. She was tall and heavy set. She told me that I could get a

16 i’. Pe!! grant and a guaranteed student loan which would pay for all

17 ~il the books and supplies. There was no explanation given of the

18 school’s refund policy. She filled out all the documents and

~,told me to sign. She said I should come for an orientation on or

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about November 17, 1986.

5. The school day was from 8 am to 3 pm. Dr. Chan was my

first teacher. He taught English and law in the medical field. I

had Sam Jones for typing and Cindy for medical terminology.

did not receive text books--only xerox copies of text books. I

never saw or heard that there was a library at National Technical

College.

I 6. There was a great turnover of teachers. Bourne was

2 transferred to the Los ~ngeles campus. The job placement

3 was fired and the student body was very upset. Also Dr. Chan was

4 fired after I was in school about four months. I could not

5 understand why he had been fired since he was one of the best

6 teachers at the school. I heard one of the administrators say

7 !Isomething about him coming in late every day. He was not late

8 "that of%an and if he was late it was only a few minutes.

i0 I! 7. When I enrolled I was told by Richard Bourne that there

i! iiwas on-the-job training provided in a hospita! or doctor’s

12 office. I was pl~ced in a trucking company working for eight

!3 i:hours a day for a month answering phones and doing filing. I was

14 {{not able to use or improve any of the skills I learned during my

15 !itraining.

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!8 field for jobs. I could not find work. I could not find a job

Ig category lis~ing medical word processing. I called hospitals and

they told me that,they have no jobs for people called medical

word processors. I feel that National Technical College

misrepresented the availability of work in this field. I was

told that National Technical College would place me in a job in

the medical field and they did not provide any placement

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assistance to me at all.

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declaration are true and correct, that they are of my



Wanda Gledhill

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EXHIBIT 18

DECLARATION OF INTERPRETER

I, the undersigned, say: I am an official interpreter and translator for the Superior Court in and for the County of Los Angeles, State of California; I am familiar with the English and Spanish languages; I have translated the attached "Declaration of Carlos Gutierrez" from Spanish into English; and the foregoing is a true and correct translation of said document.

I certify (or declare) under penalty of perjury, that the foregoing is true and correct.

Executed on June 5, 1989

at Los Angeles, Californi~a.

Madeline Rios CA Int./Trans. ID#060-898-85

DECLARATION OF CARLOS GUTIERREZ

I, CARLOS GUTIERREZ, declare the following:

i. In early 1986 I was looking for a job.

did not speak any English.

At that time I

I looked at the section of the

classified ads offering job opportunities in the Spanish language

paper La Opini6n. I saw an advertisement for National Technical

College ("NTC") that offered both a job and training for dental

technicians.

2. I called the telephone number listed in the ad and spoke

to a woman who identified herself as Azalea Varela. Varelaspo~

to me in Spanish and told me that I could get work and study at

the same time through NTC.

3. I went £o NTC on Victory Boulevard in North Hollywood,

and met Varela. She told me I could work as a telephone

15~:, operator, helping to enroll Spanish-speaking students into the

1611 NTC dental technician training, and at the same time take the

training myself after work. She said the class was taught in

Spanish and they would help me get a government loan to pay for

half of the course. She said that ._h_ course cost $4,200 and

20 the government would lend me $2,300. She told me that I would

have to pay $50 a month when I completed my training and got a

22! jo~ as a dental technician.

4. I also met the owner of NTC, Anatoly Bidny, who spoke to

group of us through a Spanish speaking interpreter. Rebeca

25 Capdeville said that when we completed the dental course we would

earn $15 an hour or more as dental ~,~" ~e~nicians~ and that

would help us find work.

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at approximately 6 to i0 p.~., with the instructor in English,

Mr. Albert. A true and correct copy of my enrollment agreement

is attached as Exhibit 1 and incorporated by this reference. I

did not receive a Spanish language version of the contract.

6. I began working at NTC, answering the telephones during

the day and going to class at night. When people called on the

telephone, I would explain to them the same thing that Mr. Varela

told me: That when they enrolled in the school we would give

them jobs so they could study and work at the same time. My job

was to get people who called to come in for an appointment.

7. Rebecca Capdaviiie was in charge of the employees

answering the telephones at 12011 Suite #201. She said and

Azalea translated to me that I would receive $20 for each student

14ii I signed up, if the student stayed in the course two weeks. When

15’~! Spanish-speaking people came in, they would meet with Azalea or

! me Our job was to get them signed up. New students took an

I?i entrance test. The tests were very easy and people took as much

18i time as they needed to finish the tests. We would tell them a i

19 little about the school, then Azalea or I would give them a tour

201! of the school.

21 8. I had copies of the enrollment agreement partially

22 filled out with the cost of the course. I explained to them what

23 the total cost was and that the government would pay half.

24 9. I only worked for about Ii weeks. Because Rebecca

25 Capdavi!le hired me, before she left, they no longer had a job

26 for me.

27 i0. When i began the dental classes, NTC personnel gave me

28 government loan documents to sign.

2

The documents had been filled

I;.i out and were in English. I do not remember which person gave me

2~~ the forms. That person told me just to sign the documents. I

3 did not understand what they said. I signed because at that time

4 I thought it was a good program and the documents were properly

prepared.

ii Before I started the dental technician course, the only

explanation I received was about the crown and fixed bridge

class. The course was to be 900 hours in length After about

200 hours, the teacher I had at that time told us that there was

10!. also a porcelain class that dental technicians needed to have,

111 that it would take longer if we took that class, and that we

12;i would have to pay more. I was very upset when I found this out,

13 because I had believed from what Bidny explained that I would be

14 ready to get a job as ha dental technician in about six months.

12. Although the instructor, Ben Hinojosa, spoke Spanish,

the book I received, other materials, video tapes, and tests were

in English. One of my classmates who spoke more English than I

18i~, did translated the tests for me.

I@ 13. I did not have the same instructor for the entire

20: course.

21 14. We had one tool for making wax impressions. I cannot

22ii remember the name of the tool, but it was constantly breaking.

15. I completed the dental technician course and received a

2a:i diploma, a true and correct copy of which is attached as Exhibit

25 2 and incorporated by. this reference. I did not receive any help

26 from the school %o find a job as a dental technician, i

27, attempted to find work on my own in an area including San

28,, Fernando, Burbank, y Woodland Hills.

3

Everywhere I went, the

I’i employ%rs told me I did not have enough training or experience to

get a job as a dental technician.

I declare under penalty of perjury under the laws of the

State of California that the facts set forth in this declaration

5 are true and correct, that they are of my own personal knowledge,

and if called and sworn as a witness, I could and would


Executed on this 26 day of May , 1989 at Los

California. 9 ~n~e±es ,

I0

{signature] CARLOS GUTIERREZ

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EXHIBIT 19



THE PEOPLE OF THE STATE OF )

CALIF ORNIA, )

) Plaintiffs, )

) -vs- ) C 757570

) NATIONAL TECHNICAL COLLEGE, ) DENTAL TECHNOLOGY COLLEGE FOR) THE HANDICAPPED, INC., VALLEY) UNITED DENTAL LAB, INC., ) ANATOLY BIDNY, SOFIA BIDNY, ) AKA SOFIA BIDNA, ACCREDITING ) COUNCIL FOR CONTINUING )

EDUCATION AND TRAINING, LOS ) ANGELES SECURITY PERSONNEL )

SERVICE, CAREER ADVISING ) SERVICE, THE CAREER PEOPLE, ) AND DOES 1 THROUGH i00, )

inclusive, )

Defendants. ) )

DEPOSITION OF EMMA LUZ HERNANDEZ

San Fernando, California

Wednesday, September 13, 1989

COPY

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~doing admissions for a while, Heidi Capedeville. And I

think that’s it. I might be forgetting a person, but that

I can recall, those are the ones.

Q So is it correct for most of the time you

worked there, there were either one or two people working

in the admissions office?

A Yes.

Q You testified that after you sent the person

to the admissions person, then they came back to you to be

tested; is that correct?

Yes.

Where did they take the test?

They would take it out front in the foyer

I would stand behind the desk and time

A

A

reception area.

them from there.

Q

A

What was that test?

For the dental lab it was a dexterity and

dimension test. And for every other course, word

processing, medical assistant, it was just a basic English

test.

Q How long did the applicants have to complete

the dexterity test for dental lab?

A ~onsisted of three pages. They had a minute

on each page. The dimension was also three pages, I

believe -- no, two pages, and they had five minutes.

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Q

lab test?

A

Q

And the dimension was als Dart of the dental

Yes.

So the dental lab test had two parts,

dexterity and dimension?

A Dimension.

Q How long did the applicants have to take the

test for the other classes, word processing, medical

assisting?

A I’m pretty sure, if I can remember right, we

gave them about 15 minutes.

Q After the applicants completed that test,

what did you do with the test, if anything?

A I would correct it. I’d grade it whether it

passed or failed, I’d attach it to the back of the

information sheet, and I’d give it back to the admissions

who would then take them back to the office and have them

fill out financial aid forms.

Q You said you attached it to the back of the

information form. Are you referring to the one that’s

entitled Personal Data Information?

A Yes.

Q On the Personal Data Information Form, did

you give students a copy of that form after they filled it

out?

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A NO.

Did it have a carbon copy attached to it?

No.

So that was the only form you gave to the

admissions person?

A Yes.

Q Did anyone give you

administer the entrance tests that we have

about?

A What do you mean?

graded?

instructions about how to

just spoken

Like, how it needed to be

Q Anything about the test. How to give it, how

to grade it, anything.

A Yes, when I first initially got there and I

was shown the test and what I had to give to the students,

I believe it was either -- Sofia and Hank, I think was

admissions at the time, went over the test with me, what

the test was and how it needed to be graded, and they’d

give me the correction form to hold alongside it when I

corrected it.

Q Did you ever see any students that failed the

test?

A Yes.

Q And how did you indicate on the test that

they had failed the test?

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A I would put the low score nd I’d put a fail

on it. And I tended to do it with red pencil.

Q Did you write "fail" or "F"?

A I’d put either "F" or write "fail."

Q Did you see the test papers for any of the

students that you had marked "fail" on their test or "F"

after they came out of the admissions office?

A Yes. Because when -- after they saw

financial aid, the whole packet was given to me to make a

file. And I always go through the paper work, and a lot

of times the tests were either changed or they were

altered. In other words, the test I had given was

completely taken out and there was another test in there,

or it had been altered where they had erased some answer

and then corrected them.

Q How often did you see that happen? If you

can estimate.

A Well, it was different with every bunch. But

if there was -- out of 20, four of them got it wrong, of

those 20 students, three of those tests were more likely

to have been changed.

Q So let me see I understand. You’re saying if

20 students took the test and four students failed, then

approximately three you would later see their tests that

had been changed or they had new tests that did not show a

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failing gru~e?

A Yes.

Q Do you know or do you have any idea who

changed the tests or gave them new tests?

A Well, being that it was either myself or the

admissions that dealt directly with the test, it would

have to have been -- when they left me, they go straight

to the admissions and when they came back from the

admissions is when the test was either changed or altered.

So I would think it was someone in the admissions.

Q Do you have any opinion of the different

people you’ve mentioned -- let’s go through them one by

one -- whether any of these people were the admissions

person during the time when you saw tests changed. Hank

Holloway?

A

Q

A

A

Q

A

NO.

Vicki wallace?

NO.

Frank Rockford?

NO.

Moni Singh?

Moni, I can’t recall to be honest with you.

He wasn’t there that long so I don’t recall whether he

might have or not, but it’s hard to say with Moni.

Rebecca Capedeville?

2O

SARNOFF COURT REPORTERS (213~) 938-2461

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A Rebecca, yes.

Q When you say, yes, you mean that during the

time she was the admissions person, the test would come

back.altered?

A A lot of the tests. Yes.

Q After they had been to the admissions office?

A Yes.

Q Robert Dickey?

A No.

Q Richard Bourne?

A Yes.

Q Jeff O’Connor?

A No.

Q And Heidi Capedeville?

A Yes.

Q Did you ever tell Sofia Bidny that the tests

were being altered?

A Yes, I brought it to her attention a couple

of times, and she didn’t really pay much attention to it.

Q Can you remember what you told her?

A I remember telling her, "Sofia" -- I’d show

them to her -- "these tests have been altered. This is

not my writing. This is not the test I corrected."

She said, "I’ll bring it Anatoly’s

attention."

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Q Did tests continue to be a±tered after you

spoke to Sofia?

A

yes .

Q

Yes, with admissions that was still there,

Was the dental lab admission test ever given

in Spanish?

A No. Simply because .it was -- it was more

like a graph. There was no writing on it. What we did,

we’d start it, they’d have to go through a maze or check

things so it was really nothing -- if the student spoke

Spanish, or the applicant, I’d just explain it to them in

Spanish, but it was really nothing that had to be written.

They didn’t have to read English to pass the

NO.

Did you ever see the admission test for the

Q

test?

A

Q

Dexterity and dimension, no.

Was the other admission test for the other

classes ever given in Spanish?

A No.

Q Was the other test for the other classes

besides dental lab ever given in Cambodian to your

knowledge?

A

Q

classes other than dental lab technician given in any

language other than English?


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Did you correct her test?

Yes, I did.

Did you give her a passing grade?

No, I didn’t.

And you later saw that test?

I did.

And at that time it had a passing grade?

Yes.

Did you ever tell Anatoly Bidny about the

test scores being changed?

A No, because I spoke directly with Sofia. I

dealt directly with her. She then told me she was going

to take it up with Anatoly.

During the time that you worked at National

Technical College, did the accrediting association called

ABHES -- I’ll use the initials -- are you familiar with

the name ABHES?

A Yes.

Q You know that’s an accrediting association?

A Yes.

Q Did they ever send representatives to visit

the school during the time you worked there?

A Yes, on three different occasions.

Q were you involved in any preparations fox

their visit?

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A Yes .

What did you do to prepare for their visit?

Well, about a week before, maybe even two

weeks, Sofia would tell me ABHES was going down. She

would tell me to go through all the academic files and

make sure they had everything in there, the test,

examinations, the information sheet, policies and

procedure forms and rules and regulation forms that the

students signed when they were first enrolled, and she

would have me check and see if they were in there.

A lot of the files did not have them because

the students failed to sign them when they first enrolled

or it was overlooked altogether. A lot of the tests were

not given until the students were already enrolled. Fer

her instructions, I was told to put one in there or find

one -- I guess when she referred to "find one," we had old

tests that we would take for students who either didn’t

qualify or decided they didn’t want to enroll, and we’d

take a test from there and we’d stick it in the file so

they looked -- everything was straight, they had a test,

exams, policies and procedures, so everything was in

there.

Q If I understand you, Sofia Bidny instructed

you to go through the files, and if documents were

missing, such as the entrance test, that you were to put a


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"COMPUTER-:AI DED TRANSCRIPTION"

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test in?

A Yes.

Q And you were to either use a test that

someone else had taken or to make up a test?

A Yes.

Q And did you do that?

A Yes.

Q Did she also tell you to put in policies and

procedures forms if they were not in there?

A Yes.

Q I’m sorry. That was "yes"?

A Yes.

Q Did the policies and procedures form require

a signature from the student?

Yes, it did.

I take it the forms you.put in were not

A

signed?

A

Q

A

helped me.

Yes.

And did you sign them?

I would or -- there used to be somebody who

I don’t remember who it was because I had

several students that would help me part time, but yes, we

would.

Q

A

Again, that was at Sofia’s instruction?

Yes.


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Q Other than the entrance ~ ~ts and the policy

and procedures forms, were there any other forms that she

instructed you to make sure were in the files before the

ABHES visit?

A Just the exams if they weren’t in there.

Q The entrance exams?

A Entrance exams.

Q Did Anatoly Bidny ever tell you to put in

tests or policies and procedures forms in the student

files?

A He might have told me. Sometimes it’s real

hard for me to remember whether it was Sofia or Anatoly,

because they both tended to be there. If she would be

telling me something, he would stand by and agree with, or

if he told me, she’d agree. I don’t recall. Most of the

time I took my orders directly from Sofia.

Q You do recall Sofia telling you this?

A Yes.

Q You mentioned that many of the student files

would not have entrance tests in them. Do you know how

that happened?

A They were enrolled without being given the

test or -- either that or they failed the test and they’d

tell them to give them at a later time where they can

practice and they just never gave it to them.

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Q Did students sometimes by~ ss the entrance

test when they came in and go directly to some other point

in the procedure?

MR. BROWN: Objection. It’s vague.

BY MS. REITER:

Q Do you understand?

A When you say "bypass," you mean pass the test

altogether, not take it?

Q Not take the test. Were there some students

you did not give the test to when they first came in?

A Yes.

Q Why was that?

A Sometimes because there was quite a bit of

students -- admissions would take them directly to

financial aid so they would skip coming back to me

altogether and said, "We’ll give them the test later."

And they never came back to me.

Q In addition to going through the times as you

have described before the ABHES visit, did you do anything

else before the ABHES people visited the school?

A Well, we had these books, daily logs that

we’d keep status, dropouts, terminations, graduates, those

that were placed in jobs, those that just walked in, how

many people actually walked in through the door, they

wanted to see that when they came in. What we would do,

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or per Sofi~ s instructions, I was to w~ d out a lot of

the terminations and drops so the status would like --

they would look better on the overall report, that there

was less drops and terminations than there actually were.

What we do is box them and put them in the back room where

they have the tapes so it was as if those filesdidn’t

exist.

Q The files that you were talking about that

you would box and put in the back rgom, were these

students’ files?

A Yes.

Were they called academic files?

They were academic and financial was also

Q

A

with him.

As I understand it, you said you had logs

that you kept?

A Yes, they were binders that we kept with

status of actual walk-ins -- people that actually came in

the door, of those how many enrolled, how many dropped

out, how many terminated.

Q Where were those books kept?

A They were kept at the front desk where I sat.

Q Now, the files that you boxed and removed,

were those the -- did those include the binders or just

the student files?


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A

binders?

A

Just the files.

Did the binders show the correct statistics?

The binders would show what we --okay.

Let me ask it differently.

Did you also change the statistics in the

Yes.

Q So there were sort of two parts. You changed

the statistics in the binders; is that correct?

A Yes.

Q And you also removed student files for

students who had dropped and terminated?

A Yes.

Q And put them in a box. And then where did

you place the box?

A We’d place it in the back room where they

kept all the video cassettes for the dental lab course.

Q Was that an area where any other student

files were kept?

A No.

Q Did Sofia tell you why she wanted you to do

that?

A Sofia and Anatoly. Because they wanted the

status -- in other words, I’m trying to think of the word.

Q Statistics?


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A Statistics. There you gc To seem less than

they actually were. They didn’t want them to show they

had such a high drop rate or termination rate.

Q Anatoly also told you that?

A Yes.

Q Well, were there any other things that you

did in preparation for the ABHES visits?

A Well, one thing, I know this sounds probably

unusual too. We had a lot of students at the time --

couple of the ABHES visits, two, I believe were made

because of complaints of students. Before ABHES would

come down, Anatoly or Sofia would try to get me to have

those students either absent that day or keep them in the

classroom that day so they couldn’t see ABHES. In other

words, so they wouldn’t come out and try to talk to them.

Q How did you do that?

A A lot of times those students were absent to

begin with. Normally, when a student was absent more than

two days I would call them. I would say, "I need you in

class, you missed such and such amount of hours." If they

were absent a day or two, I either wouldn’t call them to

get them in, or if they were in class, keep someone

occupied so they wouldn’t see the ABHES people walking up

and down the halls.

Who instructed you to do this?

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A

alterations?

A

No, I don’t.

And the alterations were what kind of

Answers would be changed then recorrected.

Sometimes the tests would be different altogether. It

would be a different test put in with the name erased or

someone, like, retook the test. It was different things.

Either different test altogether, a test where the name

had been changed or just answers had been changed to give

it a passing score.

I believe you testified that you knew which

admissions officers had been making these changes in the

tests and you testified that it was Rebecca Capedeville,

Richard Bourne and Heidi Capedeville; is that correct?

A Yes.

How did you know that they were making Q

changes?

A Because they were the admissions people at

the time when I was the one getting the tests back. They

were the admissions people at that time when the tests

were being altered. They were the ones that were

interviewing the people, taking them in and sometimes

giving them the tests themselves. If there were 20

students out front, I’d give ten of them a test and the

other ten were taken back and given the test by


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admissions.

Q When you say sometimes there were new tests

altogether, were these new tests, forms of tests you had

seen or were these completely new to you?

MS. REITER:

THE WITNESS:

BY MR. BROWN:

Objection.

Forms.

Ambiguous. Vague.

What do you mean?

Q Well, the test questions that were on these

new tests that you saw that you had not seen before, were

those questions that you had seen on other test forms

before or were they entirely new to you?

A What it was was a completely blank test that

they took again.

Q It was the same questions?

A Same questions. We just had Xerox of the

tests.

Q And when was it that you told Sofia Bidny

that tests were being altered?

A I told her the very first time I spotted one.

Q When was that?

A Probably some time in the middle of ’86,

about the time Richard started working there.

Q And what was ~her response?

A

into it.

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She just told me that she’d have Anatoly look

That she would tell him. She shrugged it off


EXHIBIT 20

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DECLARATION OF DEBORAH I’I~T,T,w

I, Deborah H~II, declare the following:

i. In or about May 1988 I responded to an

advertisement in the Penny Saver which stated that I could

receive training in dental technology, security or word

processing at National Technical College ("NTC"), 12001 Victory

Boulevard in Van Nuys. The ad mentioned receiving compensation

for living expenses after a number of months of enrollment. I do

not recall how many months the advertisement stated.

2. I went to NTC. I was given a test that included

some English and math questions. I was told I passed the test.

I spoke~ with Mr. Bill Erwin in the Admissions Department. He

told me about the career opportunities in the dental assisting

field. He said that a dental class module was just finishing and

a new one was starting. I decided to sign up for the program.

3. I filled out financial aid papers for a loan of

approximately $3000 and an application for a Pell Grant for a

total of approximately $5200. I believe the course cost between

$4200 and $4600. Mr. Erwin told me that I would receive a $i00 a

week stipend while attending school. The program was a thirty

week course requiring attendance Monday through Friday, four

hours per day.

000166

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4. I received $I00 a week for six weeks. There were

three to five students in my class. I did not receive agy of my

books or dental equipment for about six weeks after I started

school. I complained to the teacher about this lack of text

books and the teacher told me that the material had not been

ordered yet. I had to spend approximately an hour and one half

out of the four hour class waiting at the xerox machine to make

copies of lessons. After I signed the checks from the grant and

loan I got equipment and books.

5. A true and correct copy of the course outline is

attached as Exhibit 1 and incorporated by this reference. The

notes next to the typed sections indicate my dissatisfaction with

the instruction. For instance, Module Ar #12, Chairside

Assistance was only taught for 45 minutes in the entire time I

attended the program. I had almost no practical training. Most

of the course was lectures or reading. I was very unhappy with

the schoo! work. Teachers would spend most of their time devoted

to one or two students and leave the rest of us floundering.

I felt that I was never going to learn enough to get a job.

6. I dropped out after seven weeks. I found out the

school kept the second half of my Pell grant, about $Ii00. I

told the administrator that they were not entitled to the grant

and they promised they would refund it to the government. I �

wanted to attend another school and wanted to have that money

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available to go toward the new school’s tuition. I have no idea

if they actually sent the money back.’

I declare under penaYty of perju~ under the laws of


declaration are true and correct, that they are of my o~



Executed on this

a:\Hall.dec

0t}0168

EXHIBIT /

Course ,Description

Objective"

To introduce the student to the role of Dental Assistm:t in tod~’¢’s dental P~ofession.

!nzensive train±n~ is given in fron~ ~d ba~ den~al office pr~es, donna! physiol~" ~nd ~holo~’. denta! ~ecialities, i.e., ; or~h~ontics, ~d~ont!cs "~-~e~.’, den~al x-.~ coronal ~ " ¯ ~ ", ~ishtn:. the use ~d ca~ o= den~a] insT~_~nts ~ui~n~, ~nd ~atient c~e. ~is course qua.lilies the ~adua[e for entv,’-ievei

~i~ in dental offices ~]d ulinicS~

course is 30 ~,:--.:;~ ..... for ":’.- in,... ?~,T’"~ mnd 60 we÷ks for the - 20

I. Skele=a! Svs~em.~i!~inate I~r.ression and Study .Xlode ~. s / "

2. Parien[ Education nzr~uca[ion to Coronal ~lishin~ rand F!o~iae

3. Secre~_rial Procedures

(10.5

4. Dental Accounting

(5.5 Weeks - 160 Hours) �

EXHIBIT 21

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DECLARATION OF GEORGE JAMES

I, George James, declare the following:

I. From approximately April to November 1987, I worked

as the placement director and personnel director and was also in

charge of payroll at the Nationa! Technica! College ("NTC")

located at 600 S. Spring Street in downtown Los Angeles. I had

previously worked for five years as a placement director in

another private vocational school.

2. Anatoly Bidny ("Bidny") told me when he hired me

that he owned four schools. Besides the two in the Los Angeles

area, he said he owned schools in Detroit and Chicago. Later, I

sometimes talked by telephone to personnel at the other schools

in Detroit and Chicago.

3. As placement director at NTC, I was responsible to

find jobs for graduates and to place students from medical

assisting and medical word processing/office procedures classes

in unpaid, medical extern positions.

4. I had a very difficult time placing the denta! lab

technician graduates. I estimate that I was able to place no

more than five percent of the graduates. Dental labs I called

would refuse to hire students, explaining that they had previous

experiences with graduates of NTC who did not have enough

experience to work in a lab. Even when I was able to place

students, approximately 95 percent of the time the lab would call

me back to complain that the student did not know even the basics

necessary to work in a dental lab. The jobs available paid

between $5.00 and $7.00 per hour.

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5.- I was able to place in jobs paying $5.00 to $7.00

per hour about ten percent of the graduates of the medical word

processing/office procedures classes and most of the medical

assisting graduates who wanted to be placed. Often the medica!

offices where these students were placed would also call me back

to complain that the student did not know how to do the work.

6. I spoke to new students at their orientation

meeting. I told them that they would earn $6.00 to $.700 after

they graduated. Students complained to me that the admissions

representatives had told them they would earn much more, in the

range cf $13.00 to $15.00 per hour. At that time, Tom Coombs was

the admissions director. I told both Coombs and Bidny that

Coombs could not continue to tel! people they would earn those

salaries. I told them those salaries were not rea!. I told them

that some students would not even earn the $6.00 to $7.00 amount.

Coombs told me to stop telling the students such low salaries

because that would stop them from coming in to the school. The

students’ complaints continued.

7. The admissions representatives also made certain

that students passed the entrance exam. Sometimes I would

receive complaints when a student who did not speak English we~l

came to my office with someone to translate and complained that

they co~d hot do the work because they could not read English.

I asked how the student had passed the entrance exam. They told

me that Coombs had given them the answers~ After I received

these complaints, I began to monitor the entrance exam process.

My office was near the reception area. I saw that students-were

f 00173

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allowed to take the same test over and that admissions

representatives gave them the answers or sat with them t~ explain

the questions.

8. NTC paid the admissions representatives and the

recruiters by commission. As personnel director I sat in on the

discussions of pay when the admissions director hired new

admissions representatives. The admissions representatives were

paid approximately $40 to $45 if a student enrolled,

approximately $100 if the student was funded, that is, if the

school received the first payment of the Pell grant or GSL !oan,

and another amount, I believe approximately $85 if the student

stayed in schoo} a certain number of days.

9. As a part of my personnel responsibilities I often

visited classes to check on the teacher attendance and students

would often come to me if no teacher had arrived to teach their

class. Often when I entered classrooms, teachers were telling

personal anecdotes or jokes or were not there. It was the

responsibility of Sergio Castro, the education director to obtain

substitute teachers. I spoke to Bidny many times when there was

no teacher or substitute in a class. He always told me that

Sergio would take care of it, but Sergio did not take care of it.

I saw classes that went for weeks without a teacher. Sometimes

one of the student~ would try to teach the class. I also was

aware from my payroll work that there was a constant turnover of

teachers.

i0. I did not calculate the pay for recruiters, but

did pick up their checks from Sofia Bidny in North Hollywood and

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deliver them to the admissions director. The recruiters often

came to me if they had a complaint about not being paid. I

remember one time when a new recruiter was in my office along

with Tom Coombs. The recruiter said he was having difficulty

getting people to come in. Coombs told him, "Tel! them anything

to get them in. Tel! them we’ll get them jobs, clothing,

housing, or whatever."

ii. I often heard Bidny say about the~students, "Keep

them happy until the checks come in, then fuck them." Every day

if Bidny could not reach the director, Ed Longo or the financial

aid director, he would call me to ask if any loan checks came in

and to tell me tb get the checks to Sofia right away.

12. Many times I told Bidny that he was going to get

caught; that it w~s illegal for the recruiters and the

advertisements to pretend there were jobs available to get people

to come in. Bidny told me more than once, "We run this school

like we do in Russia. My lawyer wil! protect me."

13. Bidny was very concerned that NTC might lose its

accreditation because without the accreditation, NTC would not be

eligible to receive federa! financia! aid funds. One time before

an’accrediting agency visit, Bidny called me to come to his

office at the North Hollywood location of NTC. When I arrived he

tried to hand me what looked tJ be about $200. He told me to go

to the homes of graduates and offer them $20 or $30 to sign a

waiver, stating that they did not want help with placeme~t. I

refused the money and walked out. The following day he was

waiting for me at my office. When he started yelling at me~ I

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told him that he could.fire me if he did not like it, but I was

not going to do it.

14. Before one of the visits by the accrediting

agency, Ed Longo told me that Bidny wanted me to move several

boxes of files from the financial aid office out of NTC space, up

to the 15th floor so that the accrediting agency would not see

these records. I moved three or four boxes of files.

15. Bidny fired Arlene Robinson, who was the placement

director at the North Hollywood school. Bidny told me that some

students had written to the accrediting agency to complain about

the firing. Bidny asked me to write a letter for him to give to

the accrediting agency, saying that I knew she was on drugs. I

refused to do so, but I did agree to write a letter saying the

placement records at the Spring Street schoo! were in disarray.

16. In November of 1987 Peter Hall, an administrator

at NTC, told me he wanted me to get 50 to 75 jobs lined up, of

any kind, to have in NTC’s records so that if the accrediting

agency asked, we could show them that we had a !or of jobs

available for students. He wanted me to do it in two days. He

did not want me to try to place students in jobs, he just wanted

the~ for show. I refused to do it and he fired me.

17. No one from NTC had contacted me after November

1987 until late March 1989 when I receiv~ ~ a telephone call from

Steven Purdy and Anatoly Bidny. They were on a speaker phone.

Purdy had been the admissions director at the Spring Street

school, but Ed Longo fired him shortly after I started working

there. Purdy told me he was again working at NTC. They to~d me

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that I might be contacted by someone from the Attorney General’s

Office, and they told me I did not have to talk to anyone from

the Attorney General’s Office. Bidny said he was sorry about

what had happened (that I had been fired) and that he and I got

along fine. He asked if I was interested in a job at one of his

schools in Detroit or Chicago. I told him no. He then said he

would have a position for me in about two weeks at the North

Hollywood school and offered me two weeks pay in ~advance.

18. An investigator from the department of justice

interviewed me about NTC on or about March 23, 1989. The next

day I received another telephone call from Purdy and Bidny.

Purdy started the conversation by asking, "What did he say?" i

asked who he meant. He said, "Wasn’t the guy from the Attorney

General’s Office there?" I asked how he would know that. He did

not answer. Again they offered me a job. They wanted to know

what I told the investigator. They said I did not know anything

about the students being unhappy or about financial aid, so I

could not tell him anything. I have received two or three more

telephone calls from Bidny and Purdy since then. Each time they

promise me a job and try to find out if I have talked to the

investigator again. In the first part of May when they called,

they suggested we get together for lunch. From their comments

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and the circumstances,-they made it clear to me that. the offer of

the job was to keep me from telling the investigator what I knew

about NTC.






Executed on ~2~L\ day of ~,?/’~ I/ , 1989, at

!’i’~ /~"" ~ ~.I.i ~< : ~<.~ , California. /O~/&~.. ’/~

GEORGE JAMES

a:\James.dec

EXHIBIT 22

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DECLARATION OF TERRY JO~INSON

I, TERRY JOHNSON, declare the following: ..

i. On or about May 20, 1987 I was in Los Angeles for

about two to three months. I responded to a help wanted ad. A

true and correct copy of the advertisement is attached as Exhibit

1 and incorporated by this reference. While walking on Spring

Street in downtown Los Angeles, on my way to the help wanted

office, someone handed me a flyer from National Technical College

that stated "Immediate Job Opportunities." A true and correct

copy of the flyer is attached as Exhibit 2 and incorporated by

this reference. I continued on to the company that had

advertised in the help wanted ad. I do not remember the name of

the company I went to. It was located at 600 S. Spring Street.

I met with a man, he was black, heavy set, and about 5’9" tall.

He toli me that getting a job in a warehouse was pretty hard

these days and he asked me about my plans for the future. He

asked me if I ever thought about going to school. I told him I

was willing to try anything. I was desperately in need of money

to pay my rent. He gave me a referral card to National Technical

College ("NTC") which was next to his office on Spring Street.

2. I went to NTC and the secretary paged someone from

the back. I believe it was a man named Richard Bourne. He was

white, wore glasses, had blond curly hair, was about 6’ tall and

in his early 30’s. We went to his office. He d~scussed

financial aid, told me that I could get $75 per month while I was

enrolled in school. Richard told me I would not have to start

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paying back the loan until six months after graduation and I

would have ten years to pay it off. He said that it would be

three to four weeks before I got a reply to my application for

financial aid and then I would get a check. He signed me up for

Dental Laboratory Technician. He said I could earn between $13

to $15 per hour after completing the course. He did not talk

much about the program. He did not show me a catalog or take me

on a tour of the school. He said I would have to bring in my

cousin’s tax returns for 1985, 1986. I was living at her house

temporarily.

3. I brought in my cousin’s 1985 tax return the next

day. A true and.correct copy of the return is attached as

Exhibit 3 and incorporated by this reference. He had me fill out

the paperwork and then he had me redo it al! several times during

the first few days of school. He did not tell me why I had to

redo it. A true and correct copy of one Application for Federal

Student Aid that I filled in is attached as Exhibit 4 and


4. I received a copy of the Preliminary Award LetZer

from the financia! aid office that indicated $300 was to be used

to pay me $75 a month for four months. A true and correct copy

of that letter is attached as Exhibit 5 and incorporated by this

reference. Du ±ng the time I attended school I only received

three checks of $75.

When I began school I received a box of used tools.

I complained to Richard and he told me that I would get new

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equipment when the loan came through.

6. It was not until a group of thirty to forty

students got together to start complaining about the

misrepresentations, the lack of equipment, and the late payments

of the "stipends" that we received some text books. About four

months after I started school I got a copy of the student

handbook from another student or a secretary. A true and correct

copy of the NTC handbook is attached as Exhibit 6 and

incorporated by this reference. The handbook listed the name of

the accrediting agency. On or about February ii, 1988 I sent a

letter to the~.~_~~~.__~ agency, ABHES. A true and correct copy.

of that letter is attached as Exhibit 7 and incorporated by this

reference. I received a response from ABHES dated February 22,

1988, a true and correct copy of which is attached as Exhibit 8

and incorporated by this reference, stating that ABHES was no

longer the accrediting agency for NTC. ABHES referred me to the

Council on Noncollegiate Continuing Education.

7. At NTC students wandered the halls because many

teachers did not show up. Teachers were fired and replaced.

Many of the teachers did not seem to have any previous experience

in.teaching the subjects they were supposed to teach. Equipment

that was supposed to be provided was not given until the

complaining began. For ~.~ample, a laboratory jacket was supposed

to be supplied. It wasn’t until three months into the co~rse

that the laboratory jackets were p " "~~ ~i ~u~, 2 ~

8. The flyers and the ad told me that the school would

help find me a job while I was in school. NTC did not refer me

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to any jobs until after I complained about it. Finally, about

five to six months after I started classes, NTC sent several of

us to apply for jobs at two companies. One company wanted us to

talk dirty on a 976 number. The other job was at McDonalds. I

was never offered any of the jobs listed in the advertisement or

flyer.

9. Richard Bourne said that the job placement office

at the schoo! would be able to provide a job paying $13 to $15

per hour when I graduated. I graduated on February 2, 1988. A

true and correct copy of my diploma is attached as Exhibit 9 and

incorporated by this reference. NTC did not send me on any

interviews for d~ntal technician jobs. I tried to find a job in

the field but the only thing I could get was at minimum wage and

I could not afford to pay my living expenses and pay for the loan

expenses on a minimum wage job.






Executed on this 30 day of

at L~ ~J~/~ California.

/

, 1989

Terry

a:\Johnson.dec

EXHIBIT

NATIONAL TECHNICAL COLLEGE

STUDENT HANDBOOK & CATALOG

!98<.-!987

12001 Vic~Dry 5z~levard ~brth Holl>~cod, CA. 91606 (818) 762-0958

600 Scutin SprinT StreeU Si xti-. Flcor

(2!3). 624-8937

~ICAL ASSISTII~

Adult Scales Pe~ atric Scales Steam Autoclaves H~ters OB/Gyn Tables Mayo stands Gooseneck lamps 4 place centrifuges Flat Physical Exam Tables

Sphygmm nc ters Teaching Stethescopes (dual hea~d). T~aching microscopes with oil

im~ension capacity Assorted.hand/surgical instmm~_nts Articulated skeletons (full size) Anatcmical flip charts (ease_l m~unted) Prepared Bio/physio miu~uscope_ slides Manual Electrocardiograph Machine

(12 Lead)

AEMISSICNS

ADMISSIONS POLICY

The College admits as reqular students only persons wh~ are at least 16 years of age, and have a certificite of graduation from a schcol providing secondly education (high school diploma) or the recognized equivalent of such certificate (G.E.D., California Proficiency. Exam), or persons whD are beyond the age of co .~sory schcol attendance in (in California, 16 years of age), and who have the ability to benefit from the training offered. The_ ability to b~_nefit is determined on the basis of a standardized te~ (D=_xterity/Dim=_nsion Te~ or Word Processing Test), or other verifiable indicators such as written reccrm=_ndations frcm professiona! educators, counselors, or persons who are not enplgy, e~ mr =_ffi~.~*~ with ek= College or. relat~=d to. the student applicant.~All students are re~red ~-~~.

~A~crediting Bureau of Health EducatiOn Schools (A~P~_S) to submit results of

~ rec~_nt T.B.Test and VDRL Test. /"

CONSIDERATIONS

~st people entering a new field of lea_~ning have a natural concern in the back of their minds as to whether or not they will succeed. Each new applicant is carefully screened and tested to assure th~n, and the schoo!, that they do indeed have every chance for success. The desire to acccm- plish a .coal is the first step in achieving that goal. ~The admission test dete_~%ines your abilities in the field you choose. R~%~_r one thing; at the end of the traiming period, you will have gained a new profession. It is something no one can take away from you.

CLASS ~TION

Prospective applicents are permitted to attend and observe classrocm instruction cn a basis of one to five days before making a decision to enroll in the College. This opportunity is given to prospective applicants wh~ are int~res~e~ in learning m~re about the_ College and its programs before making a d~-cision to apply for admission.

EXHIBIT 23

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DECLARATION OF BETTY KELLY

I, BETTY KELLY, do hereby declare under penalty of

perjury under the laws of the State of California that the

following is true and correct:

i. I am a resident of Canyon Country, California.

2. In or about March 1988, I saw an advertisement in

the "help wanted" section of the Valley News (also known as the

Daily News) newspaper for a security job. (A copy of the

advertisement is attached as Exhibit 1 and incorporated by this

reference.) The ad stated that they had 280 positions open and

that no experience was needed. The pay was $6.25 to $14.75 an

hour. I called the number given in the advertisement and made an

appointment.

3. On or about March 17, 1988, I went to fil! out my

application and for an interview. The interviewer said I had an

impressive work record and that I would make a very good security

guard. He wrote his name on a card, a copy of which is attached

as Exhibit 2 and incorporated by this reference. He told me to

go see William E~in at National Technica! College ("NTC"), 12001

Victory Boulevard, North Hollywood, California.

4. That same day, when I arrived at NTC, Mr. Erwin

was waiting for me at the lobby door. He said he knew I was

coming. He took me i~o his office. He asked me some questions

about my skills and education. I told him I had only completed

the tenth grade and did not have a GED. He asked me to sign a

form he had been filling out while we talked. Then he said I was

enrolled in the private security guard program at the college

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(NTC). I never took any sort of admission test. He further

claimed that by taking this security course I would get a.good

high paying job that others who did not take the course would not

be able to get. I knew nothing about security at the time so I

asked how long was the course, what do I learn and how much does

it cost? Mr. Erwin said the government would most likely pay for

the $3,800 course; I could get a grant and not have to pay it

back because it was for a better education. He also said the

course was for 13 weeks in which we would learn and be qualified

in the areas: CPR/first aid, baton, tear gas/mace and fire arms.

He also told me I was "in luck" because a class was starting

Monday night.

5. I went to school that Monday night only to find

out that the class had been going on for the last two months.

Different people had been in the class for two months, one month,

two weeks, one week and three of us started that night. Two more

were added two nights later and that is the way it kept going.

As far as the instruction, it was not good. The teachers often

came without books or notes and just chatted. During the weeks

about all I learned was how to tell the difference between an

assault and a battery and robbery and burglary. We kept going

over the same thing because NTC kept adding new students to the

class.

6. During approximately the first six weeks I had no

books so I could study. I asked the administrators where were

our books and when would we get them. I was told as soon as our

loans were approved we would get our books. The reason they.gave

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for not giving them before was if we quit, NTC would lose its

money. Because I had never missed a class and I complained to

the administrator that I was learning very little about security,

they finally let me have my books.

7. The loan officer at NTC had filled out loan

documents for me pending approval of the grant. About half way

through the course NTC staff informed me that the government

grant was turned down because of the $12,000 in benefits from my

husband’s social security and pension. NTC put a loan through

the Bank of America. At that point, I was stuck paying for the

course myself which presented a great hardship.

8. I-had to change my school hours to days because I

had to work the night shift. The day teacher taught me how to

pack a back pack with enough food to last three weeks and how to

craw! on my belly in the jungle and survive in jungle warfare.

This continued for about two and a half weeks. Then they fired

the jungle warfare teacher, the financial aid counse!or and the

administrator.

9. The fol!owing week we got a new teacher, M~

Grogin, who has a security company of his own and who started to

teach us what I felt we went there to learn. The first day he.

set up for us to take CPR/First Aid; then for our baton class on

Thursday and Friday. The baton class was t~ught by someone else.

According to the law the baton course is 12 hours long. We

arrived at 8:30, but the instructor did not show up until,10:30.

He showed us a video for one hour and some actua! jabs, power

swings and arm locks for one hour, then we watched more video.

3.

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The next day we watched the same video, he showed us the jabs,

swings, etc., and lectured for thirty minutes. The next class,

which was on the following Thursday, they gave us our baton

permits and none of us in our class really knows how to use them.

i0. Because I became curious, I checked prices for

this training at other schools. The general figure was $350.00

for the same permits and complete course in security guard

training.

ii. The Menday after our baton class I asked the

administrator of NTC why it costs so much at NTC and why after ii

weeks I had been taught virtually nothing. The administrator

said they could ~harge what they wanted and not to spread it

around the school to the other students. Because fifteen of the

eighteen students I knew well at NTC told me the security company

also referred them to NTC, I asked the administrator of NTC what

kind of kickbacks the security company received for sending us to

NTC.

12. Later that same Monday, .Mr. Grogin was called out

of class at a 10:30 break and when he returned he then told us

the school would not let him teach us what he felt was important

but, the school would have a packet with what the school told him

to teach that would be ready at the end of the day. Two weeks

later no packet had arrived and we spent class time go_ng over

the same thing or doing nothing. The administrator gave us

excuses why the packet was not available such as, it’s at the

printer, it’s upstairs being examined or it’s been taken back to

Los Angeles.

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13. I quit after about i0 weeks of class. I am still

paying on two student loans for the course with monthly payments

totalling $105.

Executed in Canyon Country, California, on

~" ~" / 1989

HETTY KELLY

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SUPPLEMENTAL DECLARATION OF BETTY KELLY

I, Betty Kelly, declare the following:

i. Attached as Exhibit 1 and made a part of this

declaration is a true.and correct copy of a letter I wrote on or

about June 8, 1988 and sent to many government agencies to

complain about National Technical College ("NTC"). In that

letter I said,

"I answered an ad in the Valley News for a security

job, the ad read at that time 480 position’s open employment

at once and the rest of the ad read as does the one I’m

enclosing."

When I signed the declaration for the use of the Attorney

General’s Office in the case against National Technical College I

did not notice that it was different from what I said in my

letter. Paragraph 2, lines 8-12 of my original declaration said

the ad attached was the ad I saw. It should have said what I

said in my origina! letter. The ad attached to my original

declaration offered 280 immediate openings, instead of 480 like

the ad I saw. I am not certain, but I believe the ad I saw said

the pay was from about $7.00 to $14.75 per hour instead of $6.25

to $14.75 per hour. Otherwise, the ad attached to my original

declaration was like the ad that I answered for a security job

that turned out was NTC, not a security job.

2. Attached as Exhibit 2 to this declaration is a true

and correct copy of a paper the attorney for NTC showed me in my

deposition. I had never seen it before he showed it to me. It

00159

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is titled National Technical College Final Grades,-it has my name

on it and under where it says "Grade" it shows several B and C

grades. John Grodin was the only regular teacher of my security

guard class at NTC who gave us tests. I got good grades. I did

not get B’s and C’s. Attached as Exhibit 3 to this declaration

are true and correct copies of tests I took when John Grodin was

the teacher. I received A+, Perfect, and A+ on the attached

tests.

3. Attached as Exhibit 4 to this declaration is a true

and correct copy of a three page test called "Scholastic Level

Exam." It has my name on it, but I did not do this test. I

never saw it before the Attorney General’s Office sent it to me.

4. Paragraph 4, lines 6-8 of my original declaration

in the Attorney General’s lawsuit against NTC is not entirely

correct. M~. Erwin told me the. government would pay for part of

the course because I could get a grant and not have to pay it

back because it was for a better education. He told me I would

have to pay for part of the course after I finished the course

and was working.

4. The financial aid counse!or told me when I enrolled

that I would receive money every week for my expenses while I

went to school. I never received weekly payments. ¯ Finally,

after about 2 months I received a check for about $2700.




personal knowledge and, if called and sworn as a witness, i could

00160

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Executed on this .. day of,/~-;,

Kelly2.Dec J3

1989

00~_6~_

WONDERLIC

SCHOLASTIC. LEVEL EXAM __

READ THIS PAGE CAREFL,’I.LY. IX) EXACTLY AS YOU ARE TOLD. DO NOT ~ OVER THIS PAGE L,,’~TIL YOU AR~

T~ b ¯ te~ o~ problem solvin& abLtit~. It �ontaJa~ va.ticmzs .tT-pes o~ cpaest~ons. Below is ¯ sampi~ ~ ~

1 ob~-_ 2 chee~. 3 (ontLnue. 4 ~ S sow [Sl � r~

i

F(

1

ZS. CA,%’VASS CANVAS -- Do the~e words have 1 sim:~ar meaninl~s, :2 contradictorY, 3 mean neithef ~me nor op~teP __ _ _

26. In ~e +ot]owm~ set o+ words, which wor~ is different from the other? ~ spree. 2 sce-~. 3 sour. 4 fume. 5 ~or ................

27. Our ba~ball team lost IS games this sea~ ~is was s;~ of all they play~. How ~ny gam~ did ¯ ~ p~)" ~is ~ason? .....

~. A~ the meanings of the foilowin~ senlenc~ (1) similar. (2) conlrad~o~, ~mi~r nor contradictor? Always ~e well dt~ ~en when be~m~ it is not ~e fine �~t ~t ~k~ the fine gentleman+

29. 1~ 2~ tons ot slone cost 520. what will 3~ ~ons coslP 30. How ~)- oE the five pa~rs ot items lisled ~low are eta~ duplicate?

~l+e~ ~ O. ~1~ ~. O+

~m~ ~ ~. ~m~ k ~ "

Joh~ ~. D. John~ ~

3L Two of ~e following proverbs ~ve simi~r meanin~ Which ones a~ the?

4. A~n~k~t~�~~

3Z A mf + mp~ned on 7 ~antlinEs. each 6~ f~ Ion6. At 70 cents a running fmhow mu~ did

33. ~i~ humor in the ~ollo~in~ srou~ o~ num~ reprints th~ ~11~ 1 2 .88

~. ~re ~e ~anin~ ot th~ following ~tenc~: (1) similar. (2) contrad~o~. ~r no~ con~adi~o~’Y ~o do,or at all is ~er t~ n thr~e. ~e mo~ d~o~

~5. ~n ~ p~ce of chain increased from 16.4 cents to 20.~ cents, what ~as

~. Out ~11 tea~ lost 9 ~am~ tEis s~a~ ~is was ~k o~ all they ~la~. ~ow ~ ~v this ~ason?.,

~7. ~o~ ~)" ~uare var~s are t~ere m a ~r which is ~ fe~t Ion~ bv ~. One humor in the ~oilowin$ ~ti~ ~oes not fit in wzth the ~a~em s~ by

~t humor be? 8 9 I~ 13 16 17 39. ~ oi ~e followin~ E ~ can ~e fi~ed tog~her ~ ~ch a wa~ as to

42. (3.

46.

47.

48.

49.

foil

50. In pnntlne an +~ti¢le of -~7.000 wnrds, a ;~+rmler d,.cidL., to u~ two s,zL.s of Ivpe..I.’sin~ the

al’~Zcf+ ~ alloled .~l bali pa~vs m a mac.azme, l{.w manv ~’a~.~ must t~.. m the Smaller

I 2

EXHIBIT 24

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DECLARATION OF GEORGE KHAIR

I, GEORGE KHAIR, declare the following:

1. I worked as a dental laboratory technician ("DLT°’)

intructor at National Technical College ("NTC") from

approximately April 1985 through October 1985. When I first

started at the school there were only 8 or 9 students in the

program. There were approximately 26 students in my class when I

left. Also there were two additional dental laboratory

technician classes with approximately 23 to 26 students in each.

still do. The name of my laboratory is Khair Dental Lab.

trained in dental technology at Los Angeles City College

("LACC"). The program was a two year, very comprehensive

program. I graduated from LACC in or about January 1983. I

opened my own laboratory in or about September 1982 before I

graduated from LACC. I am a Certified Dental Technician. In

order to become certified I had to pass a full day exam both

written and working in front of an examiner. One cannot apply

for the exam unless they have two years of college and three

years of experience or five years of experience working in the

field. I became certified in or about December 1985. I have

approximately 7 years experience as a dental laboratory ¯ G<

.technician in crown and bridge,~acrylic veneer> ~o~ dentures, partial dentures, ceramics and orthodontics. I hire

I owned my own dental laboratory at the time and

I was

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emFloyees to work in my dental laboratory and I am familiar with

tn~ going rate of pay for both beginning and experienced

technicians. I also know the going rate of pay for technicians

who can work with porcelain and other aspects of the job.

3. In or about April 1985 I was reading the classified

ads and noticed NTC was advertising for a DLT instructor. I

answered the ad and was hired by Anatoly Bidny, the owner of the

school. Mr. Bidny told me about the video tape course he had

produced. I thought it was an interesting concept. ~

~h~_way .~ ~-l~ara ~ - the-4en~al-~~-iel4-~ut-I thou~Z

~_.~e~_.innova~. I tried having the students use

the tapes. I knew there was something ~ong with the tapes but I

could not quite put my finger on it. I decided to take my best

student, Elizabeth Khem and have her follow the lessons cn the

video tapes. When she was through with the set of teeth she was

working on she brought it to me to review. She knew something

was wrong with the finished product but she did not know what. I

looked over the teeth and I realized that the whole set of teeth

were bac~ard. The set was made in reverse. It occurred to me

that watching the tape is like watching a mirror image,

eve~hing on the right on the tape is actually on the left while

working on it.

4. I immediately told Anatoly about the problem with

the video tapes. I told him that he needed to have them remade

and that we should not be using them in the classroom. Bidny

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tcll me that it was too expensive to have them remade and to use

them anyway.

5. Supplies were not provided. I asked Bidny to

provide good textbooks for the students but he said to make do

with what he had. Sophia Bidny, the owner’s wife complained to

me when I used the photocopy machine to make copies of my notes

to give to the students. She told me I use the machine too much

and she said I should cut down on using the machine.

6. The students were not happy with the program at

NTC. Many of the students believed they would be receiving a

porcelain course as well as training in crown and bridge. Denta!

lab technicians who work in porcelain make a lot more money than

those who are only trained to work in crown and bridge. A good

technician in porcelain can make about $15.00 per hour but a

person trained in crown and bridge usually tops out at $7-8.00

per hour. The students thought they would be getting full

training in both crown and bridge and porcelain. The first 300

hours of the course is the same for both programs. After 300

hours the student was always sent to crown and bridge.

7. The students were also dissatisfied because the

school was not teaching the Acrylic Veneer portion of the course.

A true and correct copy of the petition signed by the students

requesting the Acrylic Veneer ~rtion of the course is attached

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as-Exhibit 1 and incorporated by this reference. This segment of

the course was listed in the 1984-1985 Student Handbook on page

14 titled "DENTAL LABORATORY TEC~INICIAN CROWN AND BRIDGE, but was

not being offered to the students at all. Mr. Bidny told me the

materials were too expensive and he felt the procedure was not

used in commercial laboratories. I told him it was a very

important part of the dental technician process.

8. In or about June 1985 Rick Davis, the administrator

called a staff meeting to discuss the students’ complaints about

not getting the porcelain course. Mr. Bidny said the students

were only entitled to one course or the other, not both. In that

meeting Mr. Bidny said that the students could have an

opportunity to choose between crown and bridge and porcelain

after the first 300 hours of anatomy and morphology.

While I was there the choice was never put into effect. No

supplies were provided to conduct a porcelain class in the time I

was there. In order to run a porcelain program the school needed

to purchase a furnace and the porcelain powder and other

necessary supplies. None of those supplies was purchased while I

was teaching at NTC. After the meeting Bidny told me to direct

the students to crown and bridge at the end of the 300 hours.

9. I made up a petition for the students who wanted

the porcelain course. A true and correct copy of that petition


decided to help the students by submitting both petitions to Mr.

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Eidny on the day before my last day. A true and correct copyof

~y letter of resignation i~ attached as Exhibit 3 and


i declare under penalty of perjury under the laws of the State of


and correct, that they are of my own persona! knowledge and, if



Executed on this

at G~e~nd~e, California.

001

October 30, i9~5

Dmatoly Bidny, President

George Khair, Instructor

Acrylic Veneer Portion of Course

The undersigr.ed students are requesting the Acrylic Veneer

portion of ~he course, ~nich is part of their Crown & Brid~e

pro~i~ram, bu~ Mr. Bidny is refusing to gi~e ~h~n the Acryli=

packing mat+rial saying that. "not too mmny labs do ~e

acrylic veneer anymore." As their witness and Instmactcr,

I, George ~-~.ir, ~te dnis letter.

Oct=bet 30, 1985

Armtoly Bidny, President

George Khair, Instructor

Porcelian Course

The undersigned students are requesting the Porcelain Course,

and as their Irmtr~ctor, I approve and feel that they are

eligible and fully capable of learning and understanding the

material(porce!ain). The Porcelain program was requested

many ~imes fr~ Mr. Bidny. He w~s stalling and delaying the

s~udents on purpose in-order not .~o give th~_~n the Porcelain

course and he wanted us, tlne teachers, to talk th~ ou~ of it.

Sincerely,

October 30, 19~5

TO: Anatoly Bidny, President

FROM: George Khair, DLT Ins=ructor/l

RE: Resigna t/on

Please accept ~is letter as official notice of my

inten=io~, to resi~ as DLT Ins=ructor/l at ~National

Technica! Coi!_o_.

Please be advised ti~t ~,ursday October 31, 1985 will

be my last ~’~’ of ~-_.~ioy~.ent with NIE.

GEORGE k~A!R

12001 VictoD" Boule’,’a.rd No~d~ Holl.vwood, C~ 91606

Tel. (213) 762-0958 00194

EXHIBIT 25

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DECLARATION OF ELIZABETH KHEM AKA CHY THEANG

I, Elizabeth Khem also known as Chy Theang, declare the

following:

i. I was recruited to attend National Technical

College in late 1985. A middle aged Cambodian male came to my

apartment and told me that I could study at no cost to me and

learn valuable training. The recruiter told me that the dental

technician course offered by National Technical College was one

of the best in the schoo! and would guarantee me meaningfu!

employment when I graduated. After the recruiter left I

immediately went to National Technical College ("NTC") on Victory

Boulevard in Van Nuys.

2. I spoke with financial aid people who arranged for

me to receive a grant and a loan to cover the approximate $4600

cost of the course. The admissions people told me that I would

be able to get a good job when I graduated from NTC. I signed up

for the course and began attending classes on or about January 2,

1985. A true andcorrect copy of my enrollment contract is


3. Most of the people in my class were Cambodian,

Vietnamese and Mexican, but most of the course was taught in

English. There were 8 to I0 Cambodians in my class. Most of

them did not speak English. Because I spoke English, I often

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translated for them. Mr. Bidny, the owner of the school, often

told me he would pay me for translating but he never did. The

Vietnamese students were as lost as the Cambodians and they often

relied on a student who spoke broken English to do the

interpreting for the instructor. I did not receive any

textbooks, dental utensils or a work kit for a number of weeks

after I began. The instructors changed often, most of them not

staying more than a month or so. Each new instructor went over

the beginning materia! again. Most of the students spent the

majority of the time working in small groups waxing and coloring

teeth. None of us really knew what we were doing.

4. I felt I was not learning anything and I wanted to

quit. Mr. Bidny stopped me. He told me that if I continued with

the course and continued to translate he would find me a good job

after I graduated. I was getting straight A’s in the course and

I decided to stay.

5. Many of the other Cambodian students wanted to drop

out. Mr. Bidny instructed me to tell them that if they dropped

out he would have them put in jail because the government was

paying for the course. I told Mr. Bidny that the Cambodian

students were not learr[ng in the class and he told me to tell

them that they were just lazy and did not study enough.

6. After graduation the teacher George Khair arranged

several interviews for me but I could not find a job. I went to

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a number of dental labs and took a skills test including waxing

teeth, that I could not pass. The personnel at the denta~ labs

told me that NTC fails to teach students anything worthwhile and

they would not employ me. I told both my teacher, George Khair

and one of the administrators about my problem finding a job.

Based on what I saw in the class, I believe most of the students

could not get jobs as denta! laboratory technicians. My diploma

is in crown and bridge technology, but I am working as a clerk in

a warehouse. I believe I owe approximately $3000 on the loan.






Executed on this ~ day of ~ ~Z~4..

at C~~. P~ ~ , California.

LI ZABE~H KHEM ALSO KNOWN AS CHY THEANG

, 1989

¯ XI--!IBIT /

¯ ~, ~: ’ "" ,":-~: -:’~" ~ RETAIL iNSTALLMENT CONTRACT/STUDENT ENROLLMENT AGREEMENT .... :. : ..-..=. :. ~ ".

This contrsc! snd all attached sneers are one agreement’and all Ihe ,nformation, clauses and convenants in th~ contract a~’e ~ncorOorated in

the attached sheets as mougn set out in full therein, however, if any clause, disclosure or covenant m this contrac: shaft differ or be ~n confhc:

with any snO all.attac.~,eO sneer or sneers, this contract an,~ its covenants shall govern. . .... . . ..:... .. .. . The undersigned scflooL college Or universdy, hereinafter known as Belier, P~ereby sells and the undersegne~’stu~’e’nt. ~ere~nafte, known 3S

Buyer.or you. hereby ~urC;naseS. subiect to thP~ terms and conditions herein set out. the follow,ng course(s) an: me[end;S: .

,M,~.~__~ ,,,.~{,~ ~S~/I~ " " " ’L" ".. .. . " ’ " ’ ’ ’ .. YOU understand that you Shall attend the Morn. Afternoon

session for ¯

consecutive week~month~ Total number of houm

I hereOy guarantee oay~ent of all obligations of the a’~;fer,(Stude~tL] hereunOer ro t~e 5e~let (Sc~ooO or ~ts assignee¯ ":&P

Pnnt Name " ....

HomeTe[( .: -1.: : Wor~.TeL(.-.:..’.).

S~ial Security NO: .......

By sK~ning below. Buyer (Sludent! acx.nowledges.a.re~:eil~t "~’.C~m~le~’e" and tr~e co~y’of this’Retail ~nstallmenrContmct,lnd_

agrees to ill the terms anO condilions inc!~ding tho~ ~et f~Hh o~ the

EXHIBIT 2 6

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DECLARATION OF DORIS KINCHELOW

I, Doris Kinchelow, declare the following:

i. In or about November 1986 I was looking through the

classified advertisements of the Daily News. I saw an ad that

stated "medical, clerical office work." The ad had a phone

number and no company or school name. I called the number in the

advertisement and was told to come down to National Technical

College for an interview.

2. I was given an exam by the receptionist at National

Technical Schoo!u The test had spelling, and some math. After I

finished the test I was introduced to Richard Bourne, the

admissions counselor. Richard is under 6’, has blond hair, wears

glasses. Richard told me about the school. He said it would be

easy for me to get a grant because I was unemployed and receiving

state aid. Richard said the total cost of the program was $4375.

He told me there was placement assistance and the schoo! would

get me a job when I finished with the program. Richard said

there were computer teachers to teach computers and typing

teachers to teach typing. He also promised me a monthly

allowance for living expenses, transportation, and so on.

3. He filled out the contract, true and correct copy of

the contract is attached as Exhibit 1 and incorporated by this

reference. Then he took me in to the financia! aid office where

the woman, I do not remember her name, filled out the application

000247

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for a loan. I was not offered to observe any of the classrooms

before I signed the agreement. Richard wrote on the second page

of the contract the date of my orientation, November 24 at

12:30 pm. The financial aid person gave me a form called "Notice

of Financial Aid Award" a true and correct copy is attached as

Exhibit 2 and incorporated by this reference. I do not remember

receiving a class schedule as is stated on the award notice.

4. After a couple of weeks of attending classes regularly

I began to speak to some of the other students. We compared

notes about how we all answered advertisements for jobs and were

switched to signing up for school. The other students who had

been there for a while were upset about the constant change of

teachers and the lack of textbooks.

5. The students, after some months, I believe in March,

1987, talked to the owner about the misleading advertisements in

the papers. Mr. Bidny, the owner told us that the advertising

was being changed. The students talked about the promised money

for transportation, and living expenses that was not being paid.

Mr.’Bidny told us that Richard Bourne would be fired for lying

about the money for expenses. Shortly after, Richard was not

working at the school but, I would see him around the office all

of the time.

6. On May 28 1987 I wrote a letter about all of my

complaints to the accrediting agency ABHES. A true and correct

2.

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copy of that letter is attached as Exhibit 3 and incorporated by

this reference. Sometime at the end of June 1987 I stopped

attending NTC. I did not receive a diploma. When I left there

was no placement director at the school.

7. In August 1987, on my own I completed the work for my

GED. I tried very hard to get a job but I knew my skills were

not good enough. Attached as Exhibit 4 and incorporated by this

reference is a true and correct copy of a list I made of all the

places I went to look for employment. I knew that I needed to

get more training to become employable.

8. In or about March 1988, I enrolled in the Van Nuys

College of Business under a JTPA contract. I spent four months

learning word processing and other clerical office skills. I

learned college English and business math. My typing speed

improved from about 25 wpm to 60 wpm during the time I was at Van

Nuys College. I left that school feeling confident that I had

job skills that would make me employable.

9. Since I left the National Technical School I received

billings from many different companies but, the latest billing

was from Payco-General AmeriCan Credits, Inc., dated February 21,

1989. A true and correct copy of that bill asking for $2735.32


made only two payments for a total of $45.00 toward the repayment

of the loan.

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-/ Executed on this -I~2~

EXHIBIT 27

007.19

ORIGINAL. SUPERIOR COURT OF THE STATE OF CALIFORNIA

FOR THE COUNTY OF

PEOPLE OF THE STATE OF CALIFORNIA,

PLAINTIFF,

VS.

NATIONAL TECHNICAL COLLEGE, ET AL.,

DEFENDANTS¯

LOS ANGELES

) ) ) ) ) ) ) )- ) ) ) ).

CASE NO. C 727 570

DEPOSITION OF : TAKEN BY : COMMENCING : DAY, DATE : LOCATION :

PURSUANT TO BEFORE

DONALD LAMB CERTAIN DEFENDANTS 9:25 A.M. FRIDAY, SEPTEMBER i, 1989 2029 CENTURY PARK EAST LOS ANGELES, CALIFORNIA SUBPOENA CARYL WOLFF, CSR 5764


12021 WILSHIRE BOULEVARD, NO. 298 LOS ANGELES, CALIFORNIA 90025

(213) 473-4944

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APPEARANCES OF COUNSEL:

FOR THE PEOPLE OF THE STATE OF CALIFORNIA:

DEPARTMENT OF JUSTICE OFFICE OF THE ATTORNEY GENERAL BY MARGARET REITER, DEPUTY ATTORNEY GENERAL 3580 WILSHIRE BOULEVARD LOS ANGELES, CALIFORNIA 90010 (213) 736-7715

FOR NATIONAL TECHNICAL COLLEGE DEFENDANTS:

SHAPIRO, POSELL & CLOSE BY SIDFORD BROWN, ESQ. 2029 CENTURY PARK EAST SUITE 2600 LOS ANGELES, CALIFORNIA 90067 (2~3) 277-1818

AND

BRENDA HAMER, ESQ. (NOT PRESENT) 12011 VICTORY BOULEVARD SUITE 203 NORTH HOLLYWOOD, CALIFORNIA (SlS) 50S-S485

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MR. BROWN: OKAY.

MS. REITER: THAT’S FINE.

Q. (BY MR. BROWN) : ¯ I’M GOING TO HAVE SOMEBODY

COME IN AND MAKE COPIES OF THESE AND THEN I’LL GIVE

YOU BACK THE ORIGINALS.

AND THOSE ARE ALL THE DOCUMENTS THAT YOU

HAVE BROUGHT ~TODAY?

A. YES.

MR. BROWN: OFF FOR JUST A MOMENT.

(DISCUSSION HELD OFF THE RECORD.)

Q. (BY MR. BROWN): MR. LAMB, HAVE YOU EVER

HAD YOUR DEPOSITION ~AKEN BEFORE?

A. NO.

Q. HAVE YOU TALKED TO ANYBODY ABOUT TAKING

THIS DEPOSITION TODAY?

A. JUST TALKED TO MARGARET.

Q. WHEN DID YOU TALK TO MARGARET?

A. LAST NIGHT ON THE PHONE.

Q. WHAT WAS THE SUBSTANCE OF YOUR CONVERSATION

WITH MARGARET?

A. BASICALLY WHAT THE DEPOSITION IS AND TO

LOOK OVER -- TO GO AHEAD AND LOOK OVER THE DECLARATION

AND BASICALLY, LIKE, TELL THE TRULTH AND STUFF LIKE

THAT. CLEARING IT OUT.

GOING ON, WHAT TO DO.

LETTING ME KNOW WHAT WAS

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DO YOU RECALL ANYTHING ELSE THAT YOU TALKED

ABOUT OR THAT SHE TOLD YOU?

A. LET’S SEE. SHE TOLD ME A LOT. LET’S SEE.

BASICALLY SHE -- WE WENT OVER -- SHE ASKED ME ABOUT MY

DECLARATION, IF THERE WERE ANY CHANGES SINCE THEN.

DO YOU RECALL ANY PARTICULAR PARTS OF THE

DECLARATION YOU DISCUSSED WITH HER?

A. WE COVERED THE WHOLE THING.

Q. WAS THERE ANYTHING IN YOUR DECLARATION THAT

YOU TOLD MARGARET WAS NO LONGER ACCURATE?

A. I .TOLD HER THAT THEY WERE WEREN’T QUITE

ACCURATE, YEAH.

WHAT PARTS OF THE DECLARATION DID YOU SAY

WERE NOT QUITE ACCURATE?

A. LET’S SEE. MAY I SEE IT.

LET’S SEE. ON i, INSTEAD OF ",

WOULD BE PAID WHILE I LEARNED," IT’S A SHE.

SEE, LET’S SEE. THAT’S

AT THE TIMERIGHT NOW.

HE SAID I

LET’S

ABOUT IT THAT I CAN REMEMBER

Q. DO YOU REMEMBER IF THERE WERE OTHER THINGS

THAT YOU REGARDED AS INACCURATE; YOU JUST CAN’T

REMEMBER WHAT THEY WERE?

BASICALLY.

Q.

YEAH. THEY WERE JUST WORDED STRONGER �

THE DECLARATION WAS WORDED MORE STRONGLY 8

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Q. WHAT KIND OF ODD JOBS?

A. LIKE, I’D HELP SOMEONE WORK PAINTING ON A

HOUSE AND GET PAID FOR HELPING OUT WITH THAT. LET’S

SEE. I PLAYED ~IN A COUPLE OF -- WITH A COUPLE OF

PEOPLE GUITAR AND THAT IN A COUPLE OF BARS. AND LET’S

SEE, AROUND THE HOUSE TO HELP PAY MY RENT.

Q. IS THE ADDRESS IN GLENDORA THAT YOU HAVE ON

YOUR ENROLLMENT FORM STILL CURRENT?

A. STILL CURRENT.

Q. WHAT WAS THE FIRST CONVERSATION YOU EVER

HAD WITH ANYONE FROM THE ATTORNEY GENERAL’S OFFICE

REGARDING NTC?

WITH DENIS FLOOD.

WHEN WAS THAT?

THAT WAS WHEN? A. LET’S SEE.

AWHILE BACK.

THAT WAS QUITE

DO YOU RECALL ABOUT WHEN?

I DON’T, NO. I DON’T EXACTLY RECALL.

WAS IT MORE THAN A YEAR AGO?

HALF A YEAR.

WAS THAT CONTACT

YES.

DID MR. FLOOD CALL YOU?

NO. I CALLED MR. FLOOD.

YOU CALLED MR. FLOOD?

A TELEPHONE CONVERSATION?

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SCHOOL. I WENT THERE TO GET A EDUCATION.

WASN’T ANY TEACHING GOING ON.

Q.

A.

YES.

WHY DID YOU CALL MR. FLOOD?

HIS -- BECAUSE THINGS WERE GOING ON IN

THERE

HOW DID YOU KNOW TO CALL MR. FLOOD?

I TALKED TO SOME STUDENTS THAT HAD ALREADY

TALKED TO HIM AND --

Q.

A.

DALLAS

AND DEAN.

WHO DID YOU TALK TO?

LET’S SEE. I DON’T HAVE LAST NAMES.

LET"S SEE, I JUST KNOW FIRST NAMES. DALLAS

Q. AND DALLAS AND DEAN WERE OTHER STUDENTS IN.~

THE COMPUTER REPAIR CLASS?

A. YES. THEY WERE IN THE CLASS AHEAD OF ME.

Q.. WHAT IF THEY TOLD YOU WAS MR. FLOO~’S

INTEREST IN NTC?

A. HE SAYS THAT -- HE TOLD ME THAT THEY WERE

INVESTIGATING’ THE SCHOOL FOR QUITE A WHILE.

AND I DECIDED TO GO AHEAD AND CALL THEM.

Q. DID YOU CALL HIM FROM YOUR HOME?

A. I CALLED HIM FROM THE SCHOOL PHONE.

Q. FROM A PAY PHONE AT THE SCHOOL?

A. PAY PHONE AT THE SCHOOL.

Q. WAS THIS DURING YOUR REGULAR CLASS HOURS?

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Q. SO WHEN YOU SAY HE TOOK DOWN YOUR

DECLARATION, WHAT DO YOU MEAN BY THAT?

A. OKAY. HE ASKED ME QUESTIONS ON -- ABOUT

THE SCHOOL AND ASKED ME TO EXPLAIN WHY I CALLED AND --

Q. WHAT WERE THE QUESTIONS HE ASKED YOU?

A. BECAUSE I COULDN’T ANSWER.

Q. WHAT DO YOU RECALL?

A. THEY’RE, LIKE, BASICALLY ALL AROUND THE

QUESTIONS: WHEN I STARTED, HOW LONG I HAD BEEN THERE,

IF I HAD BEEN THERE REGULARLY. LET’S SEE, THEN HE

STARTED ASKING QUESTIONS ABOUT -- LET’S SEE, OKAY, HOW

I GOT A HOLD OF THEM, OF THE SCHOOL, THROUGH WHAT

ADS. AND THEN MY COUNSELOR, WHO MY COUNSELOR WAS AND

SOME TEACHER’S NAME I STARTED WITH. LET’S SEE, AND

WHAT WENT ON DURING CLASS.

Q. WHAT TO THE BEST OF YOUR MEMORY DO YOU

RECALL TELLING MR. FLOOD WENT ON IN CLASS?

A. OKAY, FOR THE FIRST WEEK, WE HAD A

TEACHER. AND THEN THE NEXT THREE WEEKS WAS, LIKE, WE

HAD A TEACHER THERE, BUT THE TEACHER DIDN’T KNOW THE

MATH. SO A STUDENT FROM THE CLASS THAT KNEW THE MATH

WAS TEACHING THE CLASS.

Q. YES.

A. AND THEN AFTER WE WENT THROUGH THAT CLASS,

WE WENT THROUGH A PERIOD OF TIME WHERE WE WENT 2O

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THEY WERE JUST SORT OF STARTING OUT. THEY’RE STARTING

TO TEACH THEM IN DIFFERENT ORDER OF CLASSES NOW... AND

BETWEEN THAT, LET’S SEE, WE HAVE NINE STUDENTS IN OUR

CLASS, I TOLD YOU, OKAY. AND LIKE --

(INTERRUPTION.)

THE WITNESS: WE HAVE BASIC PROGRAMMING AND

WE HAVE, LIKE, TWO COMPUTERS BETWEEN THE THREE

CLASSES. AND SO AFTER LUNCHTIME IF YOU GET A

COMPUTER, YOU’RE LUCKY BECAUSE THE OTHER -- THERE’S

ONE COMPUTER IN THAT CLASS BETWEEN THE NINE AND THE

OTHER COMPUTER’S IN THE OTHER CLASSROOM. SO AFTER

LUNCHTIME IS -- YOU’LL HAVE A LECTURE FOR AROUND MAYBE

AN HOUR OR SO. THEN IT’S WORK ON PROGRAMS WHICH YOU

REALLY CAN’T DO UNLESS YOU HAVE YOUR COMPUTER THERE.

SO YOU DO IT ON PAPER OR YOU READ A BOOK. THAT’S UP

TO WHERE WE’RE AT RIGHT NOW.

Q. (BY MR. BROWN): THAT WAS BASICALLY WHAT

YOU TOLD MR. FLOOD DURING THE INTERVIEW?

A. AT THE INTERVIEW WE WERE UP TO, LET’S SEE,

bIGITAL AND WENT PAST THAT. I TOLD HIM TO A POINT

WHERE WE DIDN’T HAVE A TEACHER -- WE HAD A TEACHER BUT

HE WAS BUSY TRYING TO GRADUATE THE OTHER CLASS.

THAT’S ABOUT -- THAT’S THE POINT I WAS UP TO WHEN HE

TOOK THE DECLARATION. ,

Q. SO IT SOUNDS LIKE THINGS HAVE IMPROVED 24

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.SOMEWHAT SINCE YOU GAVE THE DECLARATION.

MS. REITER:~ OBJECTION; MISSTATES THE

TESTIMONY.

Q.

A.

(BY MR. BROWN) : IS THAT CORRECT?

OKAY. WELL, THEY’VE IMPROVED AND THEY

SLOWED DOWN. THEY IMPROVED. AND RIGHT NOW WE’RE

WAITING FOR COMPUTERS. LIKE, WE CAN’T WORK ON

COMPUTER REPAIR UNLESS WE HAVE COMPUTERS TO WORK ON

AND WE DON’T HAVE ANY. WE JUST HAVE TWO WORKING

COMPUTERS, ONE OF WHICH IS IN THE CLASS.

Q. SINCE YOU GAVE THIS DECLARATION, HAVE YOU

HAD A REGULAR INSTRUCTOR IN YOUR CLASSES?

A. LET’S SEE, AFTER THE DECLARATION, WE WENT

FOR -- LET’S SEE, I STILL GO TO ONE CLASS WITHbUT A

TEACHER.

Q. WHAT WAS THAT?

A. THAT WAS DIGITAL. I WENT FOR, LIKE, TWO,

THREE WEEKS WITHOUT A TEACHER. AND THEN THEY SENT US

BACK TO THE OTHER CLASS THAT WAS CATCHING UP. SINCE

THEN, WE’VE HAD A TEACHER. IT WAS JUST LACK OF

EQUIPMENT.

Q. SO SINCE THEN, YOUR MAIN COMPLAINT HAS BEEN

A LACK OF COMPUTERS RATHER THAN A LACK OF INSTRUCTION?

A. OKAY. WE HAVE THE INSTRUCTION NOW, BUT ALL

IT CAN DO IS BE BASICALLY THEORY. 25

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A.

AND THAT.

BECAUSE YOU DON’T HAVE THE COMPUTERS?

YEAH. LIKE, WE’VE LOOKED INSIDE A COMPUTER

BUT AS FAR AS WORKING ON THEM, WE’RE

SUPPOSED TO GRADUATE SEPTEMBER 25 AND SUPPOSED TO

GRADUATE IN COMPUTER REPAIR. WE HAVEN’T TOUCHED THE

INSIDE OF A COMPUTER. NO ONE HAS.

Q. AND YOU DON’T KNOW WHETHER YOU WILL GET TO

IN THE NEXT MONTH BEFORE YOU GRADUATE?

A. LIKE I SAID, THEY KEEP SAYING THE COMPUTERS

ARE GOING TO BE HERE TOMORROW OR NEXT WEEK.

Q. BUT THEY HAVEN’T ARRIVED?

A. THEY HAVEN’T ARRIVED. THEY WERE -- LET’S

SEE, THEY ORDERED.~THE COMPUTERS SINCE -- BACK WHEN

THEY WERE TAKING THE DECLARATION FOR THE CLASS BEFORE

US. AT LEAST THEY SAID THEY WERE. AND THE CLASS

BEFORE US, THEY WERE WAITING FOR THE COMPUTERS.

THAT’S WHY HE WAS HAVING SUCH A HARD TIME IN TEACHING,

TRYING TO TEACH THAT CLASS BECAUSE THEY HAD A COUPLE

OF BROKEN DOWN COMPUTERS.

Q.

A.

DENOLO TEACHES MICROPROCESSORS.

WHAT IS THE NAME OF YOUR TEACHER NOW?

SEAN -- LET’S SEE, RIGHT NOW I HAVE MR.

AND THEN AFTER LUNCH

SORRY.

RUDY DY.

DEE?

I HAVE RUDY DY.

Q. I’M

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A. NO.

Q. "HOW DID YOU FIRST HEAR ABOUT NATIONAL"

TECHNICAL COLLEGE?

A. OKAY. THROUGH ONE OF THOSE AD PAPERS, T~

"PENNY SAVER." I WAS READING IT AND WENT THROUGH THIS

CAREER SECTION, SAW THIS AD FOR JOBS -- A JOB WHILE

YOU’RE TRAINED ON COMPUTERS. BASICALLY ONE OF THOSE

EARN WHILE YOU LEARN.

Q. WERE THOSE OTHER ADS SIMILAR ADS IN THE

"PENNY SAVER" WHEN YOU SAW THAT AD?

A. NO~ FOR THE SAME SCHOOL.

THOSE ADS WHERE IT WAS JUST JOBS.

IT WAS ONE OF

RIGHT.

SO I FIGURED IT WAS A JOB.

YOU THOUGHT IT WAS A JOB WHEN YOU --

YEAH. IT WAS A JOB AT A TRAINING LEVEL.

AND YOU TELEPHONED THE NUMBER THAT WAS

LISTED IN THE AD?

A. YES.

Q. AND WHO DID YOU REACH WHEN YOU MADE THAT

TELEPHONE CALL?

A. THE NAME, I DON’T RECALL.

Q. DO YOU RECALL WHAT KIND OF AN ORGANIZATION

IT WAS?

MS. REITER: OBJECTION; VAGUE. 33

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TO GO TO SCHOOL.

COUNSELOR.

Q.

THE WITNESS: OKAY. THEY REALLY DIDN’T

.~ZLL ME ANYTHING. THEY HAD ME COME OUT THERE, FILL

OUT A APPLICATION, BASIC. IT WAS LIKE A JOB

APPLICATION. THEN I WAITED THERE UNTIL THEY HAD --

THEY CALLED ME IN.

THIS LADY TOLD ME THEY HAVE JOBS EXCEPT

FOR, "YOU’LL NEED SOME TRAINING BEFORE YOU GO THERE.

IF YOU’RE WILLING, I’LL SEND YOU DOWN TO A SCHOOL AND

WE’LL TAKE CARE -- WE’LL TAKE CARE OF MAKING A

APPOINTMENT."

SO SHE BASICALLY MADE AN APPOINTMENT FOR ME

I WENT TO THE SCHOOL AND SAW THE

(BY MR. BROWN): IT WAS YOUR UNDERSTANDING

THAT THE AD HAD BEEN PLACED BY THE ORGANIZATION THAT

REFERRED YOU TO NTC?

A. OKAY. I THOUGHT IT WAS SOMEWHERE LOOKING

FOR PEOPLE TO TRAIN, COMPUTER WORK ON COMPUTERS AND

TO -- THAT WAS GOING TO BE TRAINING THEM AND HIRING

THEM. HIRING THEM AND THEN TRAIN THEM, I MEAN.

Q. BUT YOU DON’T KNOW WHO PLACED THE AD IN THE

THE -- I DON’T KNOW.

BUT IT WASN’T NTC?

MS. REITER: OBJECTION; CALLS FOR

"PENNY SAVER"?

A.

Q.

34

00228

EXHIBIT 28

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DECLARATION OF EDWARD LONGO

~ EDWARD LONGO, declare the following:

i. From approximately November 1986 through December

1987 I was the director of the National Technical College ("NTC")

extension campus at 600 South Spring Street in Los Angeles.

During approximately November 1987 to December 1987 I was also

the director of NTC located on Victory Boulevard in North

Hollywood. Anatoly Bidny ("Bidny") talked to me on the telephone

several times every day and came to the Spring Street school

approximately two or three times a week during most of my

emp!oyment at NTC. I spoke with Sofia Bidny on the telephone

almost every da~.

2. I met Anatoly Bidny where I previously worked as a

vice president at Mitsui Bank in the San Fernando Valley. I knew

nothing about the vocational schoo! business before I began my.

job at NTC.

3. Steven Purdy was the general manager of the Spring

Street school before I started working there. When I became

director, his job was director of admissions. He was in charge

of all the admissions representatives and the outside recruiters.

4. Due to the holiday vacations I had only worked a

few weeks at NTC, when, in the early part of 1987 I received a

message that students wanted to meet with the administration in

one of the classrooms. The message contained astatement of

grievances. Because I was not yet that familiar with the school,

I asked a number of staff to go to the meeting, in case there.

were questions I could not answer. There were approximately 100

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DECLARATION OF DONALD LAMB

I, Donald Lamb, declare the following:

i. On or about August i, 1988 I learned about National

Technical College ("NTC") from an ad in the Penny Saver. I

responded to an ad that stated "earn while you learn." I went to

Pasadena to a company called Dy-Time. The Dy-Time representative

told me that there were many jobs in the computer repair field

and that once I completed a training program I would be eligible

for that type of job. He said I would be paid while I learned.

He made an appointment for me at Nationa! Technical College in

Los Angeles.

2. I went to National Technical College and met with

admissions and financial aid representatives. I had to take an

easy math and English test. I spoke with Charles Huffman, the

admissions representative, about the computer repair technician

training. Mr. Huffman told me the program was 48 weeks long and

cost $6500. I signed up for the program on or about August i,

1988. A true and correct copy of my enrollment agreement is

attached as Exhibit 1 and incorporated by this reference. I then

went immediately to t.le financial aid office and took out a

series of loans to cover the cost of the course and the $100

weekly stipend I was to receive during my training. One of the

loans was for $5200 and the other for $4000.

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3. When I began school there were 16 people in the

computer repair class. I noticed people in the street carrying

bedrolls being approached by NTC recruiters to sign up for the

programs. The course was taught in a module system. Each module

took from 3 weeks to one month. After the first week of class we

did not have a teacher for the next three weeks. Students taught

the class during that time. Many of the original 16 dropped out

of the program after the first month. About half of my time at

NTC was spent without an instructor. My class was moved back and

forth between teachers. I complained a number of times to Mr.

Dee, the man in charge of the computer program at NTC. M~. Dee

told me things w6uld get better, but they never did. During

March and April 1989 there were only four lectures and one

assignment. The rest of the time we spent studying in work books

with no instructor available to help.

4. All of the classes are mixed up, everyone doing

different modules and passed back and forth between groups. I

really have not learned anything but assembly type work or clean

up type work on computers. I built a kit to test computer cards

on ~ computer but never had the use of a computer to test the

cards. My teacher right now is a man named Shawn. ~He is trying

to get the class ready to gradu6.~e in September 1989. Even

though I was supposed to learn computer repair I have never

worked on an actual computer.

5. I owe about $i0,000 in loans and feel that I have

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not gotten my money’s worth out of the NTC program.

an expensive waste of my time..

It has been

I declare under penalty of perjury under the laws of the Sta~e of





Executed on this

a t ~=~ , California

DONALD LAMB

\

EXHIBIT 29

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students at the meeting. The students were very upset with the

schoo! and complained about a number of items including the lack

of books, supplies and equipment, the lack of placement or

placement in lower paid jobs than they had been led to believe

would be available and the financial aid process in which the

students felt rushed and did not understand what they were

signing. The students also complained that they had gone to

employment agencies as a result of advertisements in the help

wanted columns of newspapers, but instead had been sent to the

school and talked into enrolling.

5. I called a staff meeting and asked the staff if

things were really as bad as the students said. They confirmed

what the students had said. The teachers also said that many of

the students should not even be there; that they were not capable

of handling the material. The teachers believed that the

admissions representatives were helping the students cheat on the

entrance tests.

6. I informed Steven Purdy about what the students and

teachers had said. He told me that the agencies ran their own

advertisements and that although he told them that they were not

supposed to run ads for jobs, he did not monitor the ads. He

said the agencies could do anything they wanted. I said it had

to be against the law. He told me that they were licensed

employment agencies and that there was nothing wrong with what

they were doing. He also explained that NTC paid these

"agencies" a referral fee for each person sent.

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7. I had a number of conversations with Purdy after

that discussing the problem that students were being misled in

the recruitment process. He often told me,

"You don’t understand. It’s a numbers game. We need

to create enough numbers. If you throw enough shit against

the wall, some of it sticks. That’s what we have to do. If

we get enough people in, some will stay."

8. I also learned that students were being promised

jobs as dental lab technicians at $13 to $15 per hour. I told

Purdy not to let the admissions representatives quote wages.

Although he agreed, I still continued to receive complaints.

9. As. I learned what was going on, I also confronted

Bidny about the complaints about false promises of high wages,

good jobs and pay while the students were in school. I told him

such tactics would destroy the business, that he had to stop.

Bidny replied that the rules did not say anything about it; that

the agencies were not his employees, they were regulated by the

state employment department. If people went to the employment

agencies for jobs and were not qualified there was nothing wrong

with telling them to come to school.

10. As time went on, I often heard Steven Purdy refer

to the recruitment methods of NTC as "bait and switch." He used

tl.e term to describe both the ads for jobs placed in the help

wanted columns of the classified ads and the recruiters’ tactics.

He explained that recruiters walked the streets in downtown Los

Angeles and promised people jobs, high wages, and pay while they

were in school. I repeatedly told Purdy that the school was

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filled with students who could not read or write or succeed in

the classes. His response was that the bait and switch method

was the only way technica! schools could survive.

ii. Once when I received yet another complaint that

had been sent to the accrediting agency, ABHES, I went into

Purdy’s office and told him we had to get rid of the recruiters

who were causing the problems. That time he did terminate the

relationship with some recruiters.

12. On more than one occasion I overheard very voca!

arguments between the receptionist and people who had been sent

by recruiters who said the school was interviewing for jobs with

AT&T. When I talked with Purdy, he said there must be some

mistake, that the people were stupid and did not realize it was a

school.

13. Approximately a half dozen times I tried to

convince Bidny that he had to fire Steve Purdy and stop these

bait and switch practices. Bidny did not want to fire Purdy

because, Bidny said, "Purdy delivers the bodies to school and

that’s what’s important."

14. Bidny often told me the most important thing was

how many bodies came in the door, how many enrolled and how many

showed up for the first day of class. I often overheard Bidny

yelling at ~rdy, Franklin Moore, (the director of the North

Hollywood school for a time) and someone at Bidny’s Chicago

school. He said words to the effect that, "If you can’t get me

eight "starts’ a week I’ll fire you." I also heard Bidny yel! at

Purdy, whose office was next to mine, asking why Purdy did not

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have 25 people a day coming into the school. A frequent question

to me was ~How many people came through the door today?"

15. Bidny finally agree to let me fire Purdy, but not

because of my concerns. Bidny told me that Purdy-negotiated all

the contracts with recruiters and Bidny had come to believe that

Purdy must be receiving kickbacks from them.

16. Over the remaining period when I was the director

of NTC, I had numerous arguments with Bidny about the practices

used to get students into the school. After I fired Purdy and

tried to reduce the false representations by the recruiters,

enrollment fell at the NTC downtown location. Bidny started

yelling at me about getting "starts". One time in particular I

remember he told me that the Chicago school got him 38 starts in

one week and I only got him five.

17. Another big problem area was the lack of supplies

and equipment. Although there was a supply room at the Spring

Street schoo!, it had practically nothing in it. The supplies

were kept at the North Hollywood schoo!. Sofia Bidny was in

charge of signing the checks and requisitions and ordering

supplies. Shortly after I began working at NTC, I received a

complaint from a teacher coordinator, that he could not get the

supplies he needed. I received the same complaint from other

coordinators also. I told Sophia the teachers complained that

they would order of five or ten of something and get one. She

said they were throwing things away or stealing them. Sh~ also

said she did not want students to have supplies before they got

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the federal funding or the students would quit and keep the

supplies.

18. After the meeting with the students I talked to

Bidny about the supply problem. He called Sofia and yelled at

her, telling her to send the supplies needed. Supplies were more

readily available for a couple of weeks, then the complaints were

the same as before. I spoke to both Bidnys about once a month

about continued problems with supplies. The coordinators of each

program ordered supplies. When a coordinator told me they had

two or three unfilled requisitions, I asked for copies of the

requisitions and called Sofia. She read through the items

questioning, for. example, why they needed three dozen cotton

balls for medical classes and complaining that she had just sent

that amount recently.

19. After the students’ complaints, I also tried to

get the equipment needed. Several months later when I left I had

obtained most of the equipment, but it had taken months to do so

and we still did not receive all the equipment I had requested.

20. Bidny planned to offer a course in dental

assisting. A woman was hired to prepare the curriculum and teach

the course. Bidny ordered me to enroll students for the course,

even though no curriculum was ready. At the same time Bidny

wanted students recruited, he tol~ me to fire the woman who was

hired to prepare the curriculum for the course. There never

really was a dental assisting course at the Spring Street

location.

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21. In about September 1987 I saw the x-ray room at

the North Hollywood location. It still did not have a lead

shield and was not ready to use as an x-ray room for the dental

assisting class. I told Bidny at least a half of dozen times

that the room had to be completed. He kept telling me that he

was going to have a dentist friend of his come in and get the

program going. When I left in December the x-ray room was still

not ready for use~although there was an ongoing dental assisting

class.

22. When I complained to Bidny about the various

things that were wrong with the way the school was run, he would

tel! me, "Congress wants the money to be used like this because

it keeps people from rioting."

23. There was no.library. I had ordered some shelves

to try to set one up, but it was not functioning before I left.

24. Bidny often complained that if students came and

dropped out within the first few days of school, he stil! had to

pay the recruiters and admissions representatives but did not get

the federal funds. He often told me it was my responsibility to

make sure the teachers kept the students entertained and

motivated, until, as he said, "I get my financial aid." He

always referred to it as his financial aid.

25. Once at a meeting with the achr’.nistrative staff,

Bidny told us that he had a brilliant idea for keeping the

students in school. He said we should sign the students to the

maximum amount of financial aid and then pay them weekly if their

attendance was 80% or better. The financial aid director

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immediately said that was a disgusting way of keeping the

students in school and said he would not cooperate in processing

the financial aid on those terms. A number of the others of us

also spoke up and said we did not agree with doing it that way.

26. Both Anatoly and Sofia Bidny were always telling

me to fire teachers. They wanted to fire almost everyone at one

time or another. Sofia would complain that teachers were

stealing or coming late to work. I thought the constent turnover

in teachers due to firings would be bad for the school and tried

to minimize the number of teachers fired by putting the Bidnys

off.

27. W~enever Bidny had a teacher or administrator

fired I would hear him tell others at the school that the

school’s problems were going to be solved now because the persen

fired was a liar or a thief or cheated the students.

28. Once the then director of the North Hollywood

school, Mr. McKeating called to talk to me about complaints he

had received from students about harassment by Richard Bourne,

the admissions director at the North Hollywood school. McKeating

and I said that Bourne should be fired, but Bidny did not agree

to.fire him. Instead, we moved him to the Spring Street schoo!.

Within a few weeks, I received another verbal complaint about his

harassment and was able to fire him then.

29. After ABHES notified NTC about complaints received

against the Bidnys, Bidny gave me a questionnaire to distribute

to the teachers and ordered that all the teachers fill it out,

sign and return it. The questionnaire asked if the teachers had

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complaints against the Bidnys and similar questions. I advised

ABHES that I did not believe the teachers felt free to put down

negative comments about the Bidnys on forms they had to sign.

30. Once, before a scheduled visit from the

accrediting association, ABHES, Bidny told me to have George

James, the placement director move a number of files from the

financia! aid office on the fifth floor of the Spring Street

building up to the fifteenth floor so that ABHES would not be

able to review them. The files contained information showing the

number of students who had dropped out. ABHES had critized NTC

about the high dropout rate and Bidny rather than try to improve

the dropout situation, devised this method to fool ABHES.

31. At one meeting of ABHES, the commissioners told

Bidny that he needed to get out of the day to day operations and

turn it over to me. Bidny said that he would do that. Bidny

told me to write a letter for him to send to ABHES telling them

that he was removing himself from the day to day operations. I

wrote the letter and he signed it, but nothing changed. The

Bidnys remained fully in control as before.

32. Bidny often discussed with me his concern that

ABHES was going to take away NTC’s accreditation, which he needed

to keep getting the federa! funds. During 1987 Bidny applied for

accreditation from another accrediting association, the

Accrediting Council for Continuing Education and Training

("ACCET"). He told me he was applying to get that accreditation

as a backup, because it would be good for the school. He also

told me that he wanted to switch accrediting associations because

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he did not like ABHES interfering with how he ran the school or

because he believed ABHES was going to pull his accreditation.

33. In late November or early December 1987 I received

a telephone call from ABHES. The person I spoke to told me that

someone had anonymously sent them an advertisement from the help

wanted section of the newspaper. ABHES had called the telephone

number in the ad and it had turned out to be a recruiter for NTC.

At that time NTC had a boiler room set up at its .North Hollywood

school with about 10 people on the telephones. I spoke to Mike

Wheeler who had set up the telephone operation and told him to

remove that ad immediately. I also told Bidny about the

misleading ad and the telephone call from ABHES. All he said Was

to tel! them we were withdrawing from ABHES because we were going

to be accredited by ACCET.

34. In the last two months before I left the school, I

had numerous arguments with Bidny about his continuing use of

bait and switch practices, the lack of supplies and equipment,

and the lack of meaningfu! instruction. Most of my time at NTC

was spent trying to dea! with the complaints about these

problems.

35. Shortly before I left NTC I had a conversation

with either Hugh Woosley or Jeanne Glankler from ABHES in which I

told them that Bidny was as much in control of the school as

ever. I told them I tried to remove the student ads but it was

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difficult because Bidny controlled everything down to the number

of paper towels ordered.




persona! knowledge and, if called and sworn as a witness, I could


at

Executed on this. / ~’ day of //$’~/ ~ 1989

EDWARD LONGO

EXHIBIT 30

Superior Court of the State of California

For the County of Los Angeles


Plaintiff,

VS.

NATIONAL TECHNICAL COLLEGE, et al.,

Defendants.

No. C 727570

(ABBREVIATED CAPTION.)

DEPOSITION OF FRANKLIN MOORE

Los Angeles, California

Tuesday, September 19, 1989

Volume I

COPY

REPORTEI3 BY:

CAROL JEAN ZURBORG, CSR NO. 7921

J

Sarnoff Court Reporters, Inc. CERTIFIED SHORTHAND REPORTERS . ’v

5757 W1L.~Hil~F.~ BOULKN’ARD; SUITE; 473’

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MR. PANZER: I’m sorry. I’m confused here.

thought the witness had said this was-a subject of

continuing discussion. I am a little confused.

MS. REITER: Thank you. I will rephrase it.

Q Can you straighten out of your mind any

particular one of those conversations in which you discussed

making the files adequate?

A Not specifically.

Q Can you te!l us the gist of those

conversations --

A Yes.

Q -- that dealt with that topic?

A Yes. ~ would go to them and let them know what

was missing out of the student’s folder and what had to be

done in order to bring it up to date.

Q What did you tell them had to be done?

A We had to put a test score in with a sheet.

Q Did Anatoly Bidny have any response when you

told him that?

A

correct."

A

Q

A

"Do what you have to do to make the folders

Did Ed Longo have any response?

Not that I remember.

Did you put a test in those files?

Not only test, yes, but other documents also.

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We will start with tests, then we will get to

Where did you get the tests that you put other documents.

into the files?

A Just go So get a blank test and takeit and put

it in the folder.

Q When you say "take it," in other words --

A i did it.

Q You wrote down the answers?

A Yes.

Q Did anyone else, to your knowledge, fil!

tests to out in the files?

A Yes.

Q Who else?

A Erda.

Q While you were filling out teszs to out in

files, was Ana~o!y Bidny ever present?

A Not that i recall, no.

Q You szated that other documents were also added

to the files. What ozher documents were those?

A Some cf the folders did not have medical

clearances, and Allied Health School had a very strict

qualification that you must have a physical before you come

into an Allied Health School to be trained, and a !or of the

students jus~ did not have those forms in the file.

Any other forms?

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A Not that I can recall specifically¯

Q Going back for a moment to the tests that you

put in the files, when Anatoly Bidny told you, and I don’t

want to misquote you, I think it was something along the

lines of "Do whatever you have to do," what did you

understand that instruction to mean?

MR. PANZER:

testimony.

BY MS. REITER:

Objection, misstates the witness’s

you have to do so make the folders complete."

BY MS. REITER:

Q Let me just ask you --

¯ "Do what you have to MR PANZER: The witness said,

¯ "Do what The witness testified that Mr Bidny said,

Q

there.

Q

Is that a correct statement of your testimony?

That’s correct.

What did you understand that to mean?

If there was something missing, put it in

In some of the folders that you were looking

at, you testified that they were students who were no longer

at the school; is that correct?

A That’s correct.

Q When you found files that did not contain the

medical clearance, what did you do?

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EXHIBIT 31

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DECLARATION OF FRANKLIN MOORE

I, FRANKLIN MOORE, declare the following:

i. In or about April, 1987 I saw an advertisement for

the Job of Director of ~iacement. I called and set up an

interview. The job offered was for director of placement at the

600 S. Spring Street location of National Technical College

("NTC"). In the course of interviewing for tha~ position, I

learned from the Director of that location, Ed Longo, that the

position of Director of Administration of the North Hollywood

location of NTC was available. I interviewed with Ed Longo

("Longo~), Sofia Bidny and Anatoly Bidny ("Bidny") for the

Director of Administration position on or about April 20, 1987.

In that meeting I was told that some students had filed

complaints against the school. No one explained where those

complaints were filed or what was the substance of those

complaints. No one told me a student strike had occurred in March

1987. Bidny told me he wanted me to bring in I0 new students per

week. I was offered the Job and accepted it. I gave a short

notice where I was working and started working at NTC two to

three days later.

2. Starting in or about 1974 or 1975 I had a

maintenance business called M & M Services in the Inglewood area.

The business was a cleaning service. About a month after I

started working at NTC I happened to mention that business to

Bidny. He said he was having a problem with his recruiting

office upstairs because it was affiliated with NTC. He said that

the organization that accredited the school, ABHES, told him that

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a~missions director named Richard Bourne had been transferred to

the L.A. school. Ed Longo told me he fired Bourne from the L.A.

school. Within a short time after that I saw Bourne come in

every week for about three weeks to get paid by Bidny for

recruiting.

i~. In or about late May or early June 1987 ABHES was

scheduled to visit NTC. Before the visit of ABHES, Bidny asked

me to go through each and every file of every present student,

graduate, dropouts or whatever from front to back to insure that

all the compliances had been met as far as their enrollment at

the school. Emma Murillo and I spent about three days going

through the files. George James and Ed Longo helped at times.

Bidny, Longo and I had several conversations about the files.

Some files did not have entrance tests in them. I understood

those tests were required by the school, the accrediting

association and the federal government. We gave two kinds of

entrance tests. We gave the dental lab technician students a

dexterity type test. We gave the other students the Wonderlic

test. Some files did not have medical clearances ABHES required.

When I told Bidny about the incomplete files he told me "Do what

you have to do to make the files complete." I understood his

instructions were to make up tests, medical clearances and

whatever other documents were missing to complete the file.

That’s what I did. I took blank entrance tests and filled them

out and put them in files that were missing entrance tests. I

looked at other medical clearance forms in other student files

and Just transferred the information off of that form onto a

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blahk formand signed a name to it.

i~. During July and August 1987 the accountant at NTC,

a man whose first name was Ed, asked me to try to get about 18 to

20 students who were no longer in school back in school so that

the school could get their loan checks signed, i remember that

at least two of these students had been out of school for nearly

six months. I recall at least three students that I convinced to

come meet with me at NTC and to come back to class. I showed

them around the school and all the changes we were trying to

make. At the end of the conversation, I said something to the

effect of, "Oh by the way, we have a loan check here for you. If

you can get back in school immediately, we would like for you to

sign the check so we can get you back in school and get you

educated." Within a week each of the three I convinced to come

back was gone again. ~

~. On two occasions Ed, the accountant, gave me

checks for students who had officially dropped or who were

officially on a leave of absence. Bidny later asked if Ed talked

to me. I told him, yes, I had the checks. Bidny wanted to know

when I was going to get the checks signed. I told him they were

officially dropped and officially on a leave of absence. Bidny

said words to the effect of, "Then why don’t you see if you can

go out to their homes and get them to sign them?" I said I would

and left the school with the checks, but I did not go to their

homes or ask them to sign because I believed that was very wrong

and illegal.

~. In or about June 1987 ABHES wanted to know how

EXHIBIT 32

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DECLARATION OF TRINIDAD MORALES

I, TRINIDAD MORALES, declare the following:

i. In or about September or October 1985 I was

unemployed, I had two children in school and I was receiving

welfare. I went to the welfare office at the corner of Whittier

and Atlantic Boulevards in Los Angeles and asked my socia! worker

if she could help me get into a training program so that I could

learn a skil!. She gave me a paper with an address in North

Hollywood and pictures of teeth on it. I thought it was for a

course in dental assisting.

2. I took the bus to National Technical College at the

address in North Hollywood listed on the paper. A person in the

office there asked me the name of the person who sent me. Two

people who worked in the office explained a little about the

school and said that the school would get me a Job related to my

course of study while I was in school so that I could earn money

at the same time I was learning. I was afraid I would not be

able to learn the material because I had only completed the third

grade in Mexico. They said I would be able to do the class work.

They told me that everyone who goes to school there finishes the

course and gets a .job. They gave me an appointment to come back

another day to see if I could get government help to pay for the

course.

3. About five other Spanish-speaking people were there

for an appointment on the day I returned to National Technical

School. A man who spoke Spanish explained to us that we h~d to

take an exam. The exam was drawing some lines on a paper. I

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didn’t finish the exam in the time allowed, but he told me that

was okay and he helped me finish the exam. He alsohelped the

others finish their exam. He said all of us passed, whether or

not we had finished the exam.

4. Two men who worked at NTC then explained that the

course was ve_~y good, that we would earn $16.00 to $17.00 per

hour to start after we finished the course. Although I was

interested in denta! assisting, they said that the denta!

technician class would be better because I would earn more money

as a dental technician. I believed them and thought I should try

to learn something that would pay more for my children’s sake.

They told us that the course would be taught in Spanish, but that

it would also include English, because we would need English to

get a job in a lab. They said that after we studied cro-~ and

bridge, we could study porcelain.

5. The National Technical College personne! also told

us that the government would pay for half the cost of the school

and that we would have to repay the other half at about $50 a

month starting about six months after we graduated. They said

that would be easy to do because we would be able to earn a lot

of-money after we finished the course.

6. The people at National Technical College filled out

all the paper work for us. It was al! in English. ho one

explained it to us in Spanish. They Just gave us the papers and

told us what to sign.

7. After we finished with the paper work we received a

tour of the school and were told us we would start the next week.

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No one offered to let us visit classes before we started school.

8. The first week of schoo! I was very excited I

expected I would be starting to work soon and I was very happy

because I had no profession before and now I would have one.

9. After I was there a little while I found out that

every three or four weeks there was a new teacher. Each teacher

would start from the beginning and we would go over the same

things. ~

i0. I received one or two books in English to study

from. The video tapes and the exams were also in English.

ii. There were between 15 and 30 Spanish-speaking

students in the ~lass, some of whom also spoke some English.

Sometimes the teacher would translate things into Spanish, but

most of the class was in English and, although I understood some

English, I could not understand most of sit. Because many of us

could not understand the tests given in English, one of the

teachers we had gave us the answers to fil! in.

12. After I started schoo!, I found out that we had to

pay extra to take the porcelain class.

13. When the loan checks arrived someone from the

office would call students out to sign them. Once, some of the

students did not want to go. The person from the office left and

the ~.-~ner, Anatoly returned. The students told him that what

they had been before they enrolled was not true and they wanted

to quit. He said that it did not matter, they had signed,

contracts and would have to pay for the whole course anyway and

he would send letters so that the students would have to start

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paying right away if they did not sign.

14. No one ever told me I had a right to cancel and

not pay for the whole course if I decided to quit. I could not

pay for the course if I did not get a good paying job as promised

so I stayed in the course hoping I might be able to get a job

with the little I was learning.

15. At one point during the course our teacher quit

and our class did not have any teacher for about two weeks. Many

of the students did not come to school. The school told us we

had to come back. The schoo! sent us to another class that was

already filled with students. After we did not have a teacher,

some of us also ~ent to see an attorney at the legal aid office.

16. I finished the course and got my dip!oma in or

about June 1986, although I did not understand the work and could

not do the work necessary to get a job as a denta! technician. A

true and correct copy of my diploma is attached as Exhibit I and

incorporated by this reference. National Technica! College never

sent me to work in a laboratory. Even the best students told me

they could not get jobs in dental laboratories so I knew I would

not be able to get a job in a lab. When we had nearly completed

the course, National Technical College sent us to East Los

Angeles College to get directions for our placement in jobs.

17. I went East Los Angeles College and they told me

about a job for four hours a day cleaning rooms in a hotel. The

job was a long way from my house.

18. After I finished school I received a notice asking

me to pay $75 a month on my loan. I did not have enough money to

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pay that amount every month because I could not get a high-paying

job like National Technical College promised. I called and asked

if I could pay $25 a month and was told no. They said that they

would send it to a collection agency or their attorney. Now they

have been taking money out of my income tax refund.




persona! knowledge and, if called and sworn as a witness, I could


Executed on this day of , 1989 at

, California.

a:\Morales.dec MR2,

TRINIDAD MORALES

EXHIBIT

DECLARACION DE TRINIDAD MORALES

YO, TRINIDAD MORALES, declaro io siguiente:

i. En torno de Septiembre u Octubre de 1985, yo es~aba

4 desempleda y ten~a dos ni~os en la escuela; estaba recibiendo ia

asistencia phblica. Fui a la oficina de asistencia pi~blica en ia 5

6 esquina de Whittier y Atlantic Boulevard en Los Angeles, y

? pregunte a mi trabajadora social si ella podria ayudarme a

inscribirme a un programa de entrenamiento para poder aprender

una profesi6n. Ella me dio un papel con figuras de dientes, y

con una direccion en North Hollywood. Pense que era para un I0 curs& de asistente denta!.

12 2. Fui en au%obus a "National Technical College" en North

13 Hollywood a la direcci~n anotada en el papel. Una persona en esa

la oficina me pregun~6 el nombre de la persona quien me envi6. Dos

15 personas quienes trabajaban en la oficina me explicaron un poco

I~ acerca de !a escue!a, y me dijeron que la escuela me conse~uir~a

17 un trabajo relacionado con el curso de estudios mien~ras yo

IS es~aba en la escueia, para poder ganar dinero al mismo tiempo que

~ aprendia. Yo tonga miedo de no poder aprender el material,

20 porque solamente habia completado el tercer grado en Mexico.

21 Ellos me dijeron que yo podria hacer el trabajo de clase. He

22 dijeron que cada uno de quienes iban a esa escuela finalizaba el

2~ curso y logr-ba un empleo. Me dieron una cita para que regresara

24 otto dia y viera si podria recibir ayuda del gobierno para pagar

25 el curso.

3. Aproximadamente otras cinco personas que hablaban

2? espa~ol estaban aili por una cita en el dia que regres4 a la

2~ escuela "National Technical School." Un so,or quien habla

I espa~ol nos explic0 que teniamos que tomar un examen. E1 examen

2~ consistia en dibujar algunas lineas en un papel. Yo no ~ermine

3 el examen en el %iempo requerido, pero 41 me dijo que estaba

4 bien, y me ayud6 a terminar el examen. Tambi@n ayud6 a o~ros a

5 finalizar sus examenes. Dijo que todos aprobamos, sea que

6~i finalizaramos el examen o no.

7 4. Dos so,ores quienes trabajan en NTC explicaron entonces

S que el curso era mu~° bueno, que ganariamos de $16.00 a S!7.00 pot

9!~hora para empezar ~espues de finalizar el curso. Aunque yo

10.es~aba interesada en asis~encia dental, ellos dijeron que la

II clase de %ecnico den%a! era meier, porque ganaria mas dinere

12i~como tecnico dental. Yo los crei, y pens4 que deberia aprender

13 algo que pagaria m~s pot el bien de mis hijos. Ellos nos dijeron

14 que el curso se ense~aria en espa~ol, pero que tambien incluiria

15 ingles, porque necesitariamos ingles para conseguir un empleo en

]6 un labora~orio. Dijeron que despues de es%udiar coronas y

17 puentes, podriamos es~udiar procelana.

5. E1 persona! de "Na~iona! Technical College" tambien nos

~£ dijo que el gobierne pagaria !a mitad del costo de la escue!a, y

201!que nosotros tendriamos que pagar la otra mitad a la raz~n de

21 aproximadamente $50 pot mes empezando aproximadamente seis moses

22 despues de graduarnos. Dijeron que f~cilmente podriamos hacerlo,

23 porque podriamos ganar mucho dinero despues de finalizar el

2~ curso.

25 6. Las personas de "National Technical College" llenaron

26 todo el papeleo para noso%ros. Era todo en ingles. Nadie’nos io

2Z!lexplic6 en espa~ol. Solamente nos dieron los papeles y nos

28~dijeron que era io que teniamos que firmar.

;

7. Despu4s que finalizamos con el papeleo, nos dieron un I I~ recorrido pot la escuela, y nos dijeron que empezariamos la 2

3 siguiente semana. Nadie se ofreci6 a dejarnos visitar las clases

4 antes de empezar la escuela.

5 8. La primera semana de la escuela, fui muyemocionada.

611Crei que empezaria a trabajar pronto, y me sentia muy feliz,

7.I porque no %enia profesi6n antes, y ahora tendria una.

8 9. AI poco ~iempo de oscar alli, descubri que habia nuevc

@ profesor cada tres o cuatro semanas. Cada profesor empezaba todo

10 de nuevo, y revisabamos el mismo material.

11 i0. Recibi uno o dos iibros en ingles para estudiar. L~s

12 videos y los examenes %ambi@n eran en ingl4s.

13 ii. Habia entre 15 y 30 estudiantes en la clase que

14 hablaban espaSol, algunos de !os cuales tambi4n hablaban a!go de

15 ingl4s. A veces e! profesor traducia las cosas al espaSol, pero

16 la mayor parte de la c!ase rue en ingl4s y, aunque yo entendia

17 algo de ingl4s, yo no podia entender la mayor parte de la clase.

18 Ya que muchos no podiamos entender los examenes que venian en

19 ingles, uno de los maestros nos dio las respuestas para

20 completarlas.

21ii!I 12. Despu4s de empezar la escuela, descubri que teniamos

22~i que dar un pago extra para tomar la clase de porcelana.

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13. Cuando los cheques de F"4stamo llegaban, alguien de ia

oficina llamaria a los estudiantes para que salieran a firmarles.

Una vez, algunos de los estudiantes no quisieron salir. La

persona de la oficina se fue, y el due~o, Ana~oly regres6. Los

estudiantes dijeron que no era cierto io que les habian dicho

antes de incribirse, y que querian renunciar.

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E1 dijo que no

I importaba, que ellos habian firmado los contratos, y tendrian que

2 pagar el curse complete de cualquier manera, y que 41 mandaria

3 cartas per laso cuales los estudiantes tendrian que empezar a

4 pagar inmediatamente si no firmaban.

5 14. Nadie he dijo nunca que yo tenia derecho.de cancelar y

6 no pagar el curse compieto si yo decidia renunciar. No podia

Z pagar el curse si no conseguia un trabajo bien pagado come he

8 prometieren, y per ese me qued4 en el curse, con la esperanza de

@ poder conseguir un trabajo con io poco que estaba~aprendiendo.

10 15. En cier%o punto durance el curse, nuestro profesor

11 renunci~ y nues~ra clase no ~enia ning~n profesor per cerca de

12i, dos sehanas. Huc~os de los estudian%es no vinieron a la escueia.

13 La escueia nos di~o que teniamos que regresar. La escueia nos

14 envi0 aotra ciase que ya tenia redes sus estudiantes. Despu~s

15 de no tener profesor, algunos de nosotros fuimos aver un

16 abogado a ia oficina de ayuda legal.

17 16. Finalice e! curse, y recibi mi diploha aproximadamen~e

18 en junio de 1986, aunque no en%endia el trabajo y no podia hacer

19 el ~rabajo necesarie para obtener el ehpleo de t4cnico denza!.

20 Una copia fie! y correcta de hi diploma se adjunta come Prueba #i

21 y se incorpora per esta referencia. National Technical College

22 nunca me envi6 a trabajar en un laboratorio. Aun los mejores

23 estudiantes me decian que no podian conseguir empleo en

24 laboratories den%ales, y per eso yo sabia que no podria conseguir

25 trabajo en un laboratorio. Cuando apenas ibahos a cohpletar el

2~. curse, Na%ional Technical college nos envi~ al East Los Angeles

27.. College para recibir instrucciones acerca de come recibir una

28 posici6n de empleo.

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17. Fui a East Los Angeles College y me dijeron acerca de

un trabajo de cuatro horas al dia limpiando cuartos un un ho~el.

E1 trabajo era lejos de mi casa.

18. Despues de finalizar la escuela, recibi una

notificaci6n pidiendo que pagara $75 al mes sobre mi pres%amo.

Yo no tenia suficiente dinero para pagar esa cantidad cada mes,

porque no podia conseguir un empleo bien pagado como me prome%i6

National Technical College. Llame y pregunt4 si podria pagar $25

al mes, y me dijeron que no. Dijeron que enviarian mi cuenta a

una agencia de cobros o a su abogado. Ahora ellos ban es%ado

qui~anl~ dinero de mi reembolso de los impuestos scbre la ren~a.

Dec!aro ba~o pena de perjurio conforme alas !eyes del

Estado de California que los hechos manifestados en esza

declaraci6n son verdaderos y correctos, que son conecidos

persona!mente pot mi, y que si me llamarian y me juramen%arlan

como tes~igo, yo podria competen%emente testificar acerca de los

hechos anteriormen~e mencionados, y asi io haria.

O~orgado es~e dia ~,2 de /~: ~, de 1989 en

, California.

.. , _ ,: 11,.-, "" .... ",__./’ L..,°" TRINIDAD MORALES

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28 a: \HoraLes.dec (spanish)

HRZ, 5 non.,1o?

!’

E~VH!£1T /

EXHIBIT 33

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DECLARATION OF LAURA MUNOZ

I, LAURA MUNOZ, declare the following:

i. In early August 1985 I was looking for work in

the job opportunities section of the classified ads in the

Spanish language newspaper, La Opinion. Attached as Exhibit 1 ±s

a true and correct copy of an advertisement like the one I

noticed in the job opportunities section. I was attracted to the

advertisement because it promised both a job and training and I

wanted to try to get ahead with training as well as a job. I

called National Technical College ("NTC"). atthe telephone

number listed in the advertisement and spoke to a person who

identified himself as Raul. Raul told me the program would be

explained in greater detail if I went to NTC in person.

2. On or about August 14, 1985 I went to NTC !ocated

at 12001 Victory Boulevard in North Hollywood where Raul

explained more about the school. Raul said that I could earn as

much as $20,000 a year as a denta! technician and that NTC could

train me to become a dental technician in about six months. He

also said that when the course was completed, NTC would help me

find work as a dental technician. He said NTC would help me

apply for a government loan to pay for half of the training

course and that I would be able to pay the loan back after I

finished the course. He also told us that the course would be

taught in Spanish.

3. Attached as Exhibit 2 and incorporated by this

reference is a true and correct copy of a form I signed, dated

August 14, 1985 and entitled Retail Installment Contract/Student

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Enrollment Agreement.

4. At the beginning of my training course, I received

loan papers from Richard, who handled the loan documents. They

had been completed with the exception of my signature. Richard

told me that the documents were for my government loan which was

to be used to pay for my training. I signed the documents

believing the money I was getting for the course was worthwhile

because I would be able to work as a dental technician. I do no~

recall ever signing any checks.

5. For persona! reasons I left the course for about

three months, i completed the course in or about July 1986 and

received a diploma, dated September 12, 1986, a true and correct

copy of which is a~tached as Exhibit 3. During the course I had

three different instructors. Each time an instructor ~it, the

new instructor would give handouts from the same book over the

same materia! we had already covered. For several weeks after

our teacher Mr. Enriquez quit, we did not have any instructor.

During that time al! we had to do was work on the materia! given

to us. When we had no teacher, some of us went to the San

Fernando Valley Legal Service for help.

6. Although the instructors spoke Spanish, the one

book I received, the handouts that were copied from that book,

the video tapes and the tests were all in English. I also

received some wax, three or four dentist type tools and some

metal castings. ,

7. Before we started our class, NTC personne! told us

about the denta! technician course in crown and bridge and that

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we would be able to obtain Jobs when we~ finished. Later, after

the course had started one of our instructors, Benny Hinojosa

told us that we also needed to learn porcelain if we wanted to

get good paying jobs. He also told us that we could take the

porcelain class when we finished the crown and bridge class, but

that we would have to pay more money.

8. When I completed the course, I tried to find a job

as a dental technician. I went to dental labs from Santa Monica

to Monrovia looking for jobs. No one would hire me. They told

me training in crown and bridge was not enough and that I needed

two to three years experience. No one from NTC ever helped to

arrange any interviews, for me. Once, after I graduated I did

receive a telephone call from a woman who said she worked at NTC

and asked if I had gone out on job interviews. She did not offer

to help me get a job.






Executed on /~ day of ~~ , 198~at

~ ~~, California.

a:\Munoz.dec

EXHIBIT 34

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JOHN K. VAN DE KAM.P, Attorney General of the State of California

HERSCHEL T. ELKINS, Senior Assistant Attorney General

MARGARET REITER, Deputy Attorney General

3580 Wilshire Boulevard, Room 800 Los Angeles, California 90010 Telephone: (213) 736-7715

Attorneys for Plaintiff, The People of the State of California



~HE PEOPLE OF THE STATE OF CALIFORNIA,

Plaintiff,

~ATION~ TECHNICAL COLLEGE, DENTAL ~ECHNOLOGY COLLEGE FOR THE HANDICAPPED, [NC, V~LEY UNITED DENTAJL LAB, INC., ~NATOLY BIDNY, SOFIA BIDNY, aka SOFIA BIDNA, ACCREDITING COUNCIL FOR CONTINUING) EDUCATION AND TRAINING, LOS ANGELES ) ECURITY PERSONNEL SERVICE, CAREER ) ERVICE, THE CAREER PEOPLE, ) ~ND DOES ! T~OUGH i00, inclusive, )

) Defendants. )

) )

) ) ) ) ) DECr_~-RATIONS OF ) FRED N~!<7_MU~ ~D ) MICHAEL BO~!N IN ) SUPPORT OF ORDER TO ) SHOW CAUSE RE ) PRELIMINARY INJUNCTION

AND TEMPORarY RESTRAINING ORDER

DEPARTMENT: DAZE: 6/3 / 9

MICHAEL BOTWIN :INiSUPPORT’~OF~:ORDER~

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DECLARATION OF FRED NAKAMURA

I, FRED NAKAMURA, declnre the following

I. I am an attorney duly licensed to ~

the state of California and employed as an attor~

San Fernando Valley Neighborhood Legal Services,

2. On October 29, 1985 I took the dep~

Anatoly Bidny in the case of Dental Technology Cc

Handicapped, Inc. v. Chun C. Long. Attached to t

ractice law in

ey by the

Inc.

sltlon of

llege for the

his declaration

as Exhibit I are true and correct copies of page~ from that

deposition.

3. On April 24, 1987 I uook the depos tion of I

Ung-Ty in the case of Ly,May v. Dental Technolo4 College for the

Handicapped, Inc. Attached to this declaration as Exhibit 2 are

true and correct ~opies of pages and one exhibi~Ifrom that

deposition.

I declare under penalty of perjury.under the laws of



hnow!edge and if called and sworn as a witness, ] could and would


Fred Nakamura

a:\Nakamura.dec

JUN 12 ’8£ 13:42 87367883 PAGE.002

COUNTY QF LOS ANGELES, STATE OF CALIFORNIA.

DENTAL TECHNOLOGY COLLEGE FOR THE HANDICAPPED, INC., et al.,

Plaintiffs,

VS.

CHHUN C. LONG, et al.,

De fend ant s.

AND RELATED CROSS-ACTIONS.

) )

) ) ) ) ) ) ) ) ) ) )

No. 150742

DEPOSITION OF:

TAKEN ON:

ANATOLI BIDNY

October 29, 1985

IDEBRA VANATTA COURT REPORTING SERVICE

2:~2C19 D~rWOLFIE ROAD

(213) 259.3490 (808) 2,S4-1028

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in to the instructor?

A Uh-huh, or together with instructor. Because

the instructor try to teach him English the same time;

He say to him, "Wha~ this word, buccal?" Right? Bucca!.

He show him how to write it.

Q Does the instructor speak either Cambodian,

Laotian or --

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A

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uhe ~es~.

He speak through the translators.

Does an instructor grade the quizzes?

Definize!y.

Dces a student ever fail out of the course?

Then he give him second chance to take again

if zhe’:’ fai! the quiz they retake the quiz?

A -~ dental technology t.h.e.y more impor<anc no

whau you read i~., wha: you can do with your hand.

Q Buz the quiz is --

~ " ~e~eaz to you is important no wha~ vc,~ write

whaz you do w~:h ,your hand, practical work.

saving ~hat it’s not impor:anu what Q

you write?

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A

R. ght.

Euu it’s wha~ you do with your hands?

Exac:!y. Because the owners to the job measure

not how to do well quiz, of what you can do wi~h your hand.

Q But ~he quizzes are in writing?

A ~ ~n writing.

EXHIBIT

.DECLARATIONS OF FRED NAKAMURA AND . MICHAEL.BOTWlN IN SUPPORT OF ORDER i:~i.I,,TO~SHOW.CAUSE RE PRELIMINARY

LOS ANGELES JUL ~IAL DISTRICT

FOR THE COUNTY OF LOS ANGELES, STATE OF CALIFORNIA

LY, MAY, et al.,

Plaintiffs,

VS.

DENTAL TECHNOLOGY COLLEGE FOR THE HANDICAPPED, INC., et al.,

Defendants.

) ) ) ) ) ) )

) ) )

CERTIFIED COPY

No. 168988 VN

DEPOSITION OF:

Taken on:

UNG-TY

April 24, 1987

DEBRA VANATTA COURT REPORTING SERVICE

NEWHALL. CALIFORNIA g13"J’1

(’)1:3) ~.59-3490 (805) 2.~4.1CI28

DECLARATIONS .OF FRED NAKAMURA AND ~:

MICHAEL!BOTWIN IN~..SUPPORTiOF~iO~D~R~

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the end of the year?

A I believe the end of the year.

Q After your emp!oyment with Marcer ended, did

you obtain employment with the National Technical College?

A Not employment.

MR. WULFSBERG: Wel!, -- okay.

BY MR. NAKAMURA:

Q Did you enter into any kind of business

relationship with National Technical College?

A We have -- Mr. Bidnv have a contrac~ between

me and him.

Q Hr. Bidny is president of Naticna! Technical

Col ~e~ lea .

A Yes.

Q Was that contract for you to recrui~ students

for this school?

A Yes.

Q i’m going to show you a copy o: a contrac<

that I obtained from the school.

Do you recognize this agreement?

A Yes.

Q Is that your signature on the bctzom?

A Yes. Yes, this is my signature.

MR. NAKAMURA: Have you seen it? Yeah, okay.

I’m going to mark this Exhibit "A"’

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Mi~. ~2LFSBE~G: For the record, the exhibit is a

two-paged document; the second page purports to be a schedule

of fees paid for services rendered under the agreement.

HY MR. NAKAMURA:

Q Is this the agreement that you entered into?

A Yes.

Q Did anybody associated with National Technical

College instruct you how to recruit students for the school?

A No.

Q Did thev~ =~’=~r tell you they wanted students

who are eligible for PELL grants?

Nc.

~id they tel! you

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who are eligible for GSL?

A NO.

t,~_y wa students Did they tell you that ~= nted

who are over the age of 187

A Hold it a m{ ~= _nu=~. Say that again.

Q Did they tell you that they wanted you to

recrui: people who are over the age of 187

A No.

Q Did they say that "We don’t want any ch~d-=__ ~_n"~.

A No.

Q Did they give you a general idea of the type

of people they wanted to recruit to this school?

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of charge?

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free?

No.

Did you ever tell anybody that the schoe! was

A No.

Q Did anybody at National Technica! College tell

you to tell the people that the classes will be taught in

Cambodian?

A I -- I believe that I have one guy and I

him translate to the students in Cambodian. I had one people

that I paid to translate to have me to translate to my people

because i really wanted to have my people translate.

.... "= ~= who s~eaks Ca=hodia~ to held You hit=~ som_o,,_

you translate?

A Yes.

Q Is that translate in recruiting students?

A Yes.

Q What is the name of that oerson?

A K-a-o, last, K-h-o -- I’m sorry. I think

K-a-o, and the chahged name to you is Brian, Brian.

Q B-r-i-a-n?

A I don’t know how to spell it, but I’m -- I think

Brian is his name. We call him Brian.

Q Is this person a woman?

A He’s a man.

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~%II!;DECLARATIONS .OFFREDNAKAMURA AND ;!I~-I:IMICHAEL~-BOTWININ. SUPPORT.:0F ORDER

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Were you also in the classrooms assisting

Not often, no, no.

Did you tell the students when you were

recruiting them that there will be an interpreter in the

classroom to help them understand?

A I explained to them how they have a chance

to try for two weeks.

Q A chance to try the class for two weeks?

A It’s suitable they could go alone with It; if

they feel free, they have a right to drop; and if they have

any cuestions, go ahead and ask Kao.

Q Do you know when Kao was .e.=_ by the schco!?

A I don’t think Kao was employed hv the school.

MR. STABILE: Assumes fa~ " " " ~s not ~_n ev~aence.

BY MR. NAKA~4URA:

Q Did you pay Kao cut of your monies?

Q When did you first start paying Kao?

A I don’t remember. I have no recall.

Q Do you recall if it was around the time you

first started recruiting for National Technica! College?

A Yes, I started to have him.

Q Do you know when you stopped paying? When

did you stop paying Kao?

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A I don’t remember. I think -- I left. I left.

Q Was Kao still going to the school after you left?

A I don’t know. Maybe the school hire him or

maybe the school try to get someone. I don’t know.

Q Do you remember when you last paid Kao?

A I don’t remember¯

Q Do you remember about what season it was? Was

it early in the year?

A I don’t remember.

Q Did you pay him for many, many months?

A Because first -- not -- net se much months.

Just a couple of months.

Q Just a couple cf months?

A Uh-huh.

Q Why did you stop paying him?

A Because I get another job.

Q Did you ever tell any person tiat they did not

need to know how to speak English in order tc learn dental

technology?

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No, that’s not -- No.

Did you tell them that they needed to learn

English in order to learn dental techno!egy?

A I must tell you a story. The time before that,

I was a job developer; before that, I was a job developer.

I never instruct my people without going to ESL and going to

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Q Do you know what agencie~ ~ere recruiting

students to National Technical College?

A No. Not my business. I don’t know about that.

Q But are you aware that there were some other

people recruiting for Nationa! Technical College?

A Yes, I believe so.

Q Do you know if any of those people were

associated with any State funded agency?

I don’t know about that.

How did you recruit most of the students to

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the school?

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Q

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How I recruit; is that right?

Yeah.

.. I check throuch the -- the -- by telephone book,

make a phone call, and go visit them and explain to them.

Q Did you look for names that were Cambodian?

A Yeah, sure.

Q So you didn’t start at the top of the phone

book; you were looking for a certain type of name?

A Yes.

Q And it was Cambodian names and Laosian names

and Vietnamese names; is that right?

A Yes.

Q Were there any other types of names that you

were looking for?

DECLARATIONS .OF FRED NAKAMURA AND MICHAEL;BOTWlN IN~.SU_[FORT~OF,,.ORDER ~i

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A No.

Q Why were you recruiting people with those

types of names?

A Because I called -- My idea is to talk on the

telephone to someone speaking the same English like me, and

I try to explain to them about the program and if they --

someone really were interested, about taking the training.

That -- that’s it.

Q And then you went to their homes?

A Yes, sure.

Q How did Mr. Bidny or National Technical College

pay you for your services?

A I tn_n:, tha~.YOU have a con~= . You. read it.

Q Did they pay veu according to this contract?

~ A Yes, sure. They pay according to the contract.

Q Did they give you any additional monies?

A No.

Q Did they pay you for having Hr. -- I can’t

remember the name of the person that you hired.

MR. WULFSBERG: First name was K-a-o.

BY MR. NAKAMURA:

Q Did National Technical College give you any

additional money for Mr. Kao?

A No.

Q Did you ask National Technical College for any

27

DECLARATIONS..OF MICHAEL;

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I don’t remember. o

Do you have a record of it somewhere?

No, I don’t have a record.

Did you pay him wi~h cash?

My check, yeah.

Personal check?

Yeah, my personal check.

In your contract, it says that you will be

paid if the student stays a certain amount of days; is that

righ =..

A Yes.

un~_ ~h_ s ent Q Did you provide a translator ’ ~~ tud

stayeJ the min’imum of 30 days?

A Yes.

Q Is that why you paid Mr. Pao to stay and

transla~_ in the class during this time?

Not just like that. My heart is the one ebat A

help --

MR. STABILE:

THE WITNESS:

"Help."

-- the refugee to understand. He spends

more hours, hot.just spends eight hours; he spends a lot of

time in that school.

BY MR. NAKAMURA:

Q Mr. Kao?

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DECLaRatioNs OF FRED~NAKAMURA~AND~ MICHAEL~.BOTWIN

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MR. WULFSBERG:

BY ~R. NAKAMURA:

Q

A

Q

What do you do?

I’m a pastor.

A pastor?

Yes.

Like in a church?

Yes.

At which church?

New Life Church of the Nazarene.

New Life Church of the Nazarene.

Can you give me the address of the church?

1800 East Anaheim, Long Beach, California 90813.

Do you need my phone?

Yes, please.

Area code 213, 599-0368.

Did you at any time in 1985 have a permit from

the State of California or from the superintendent of Public

Instruction to recruit students?

A No.

MR. STABILE: I ’m sorry. Could I have that question

back, please, the last question.

(Whereupon the court reporter read the

last question.)

BY MR. NAKAMURA:

Q Did you ever obtain such a permit to recruit

DECLARATIONS

~:’~.= TO

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~ Did you get paid if ~hey stayed one week?

A No. You rea~ the contract, you see.

Q So they had to stay more than 30 days for you

to get paid; is that right?

Yes. A

course?

A

contract.

for me.

Did you get paid more if they completed the

No. In the contract, everything inside the

I could not do anything. It’s not easy to pay

MR. NAKAMURA: Can we go off for a second?

(A discussion was held off the record.)

MR. NAKAMURA: Back on. Just have a few mere questions.

l~Le,, instructional Q Did you ever translate any wr’~" -

materials for the students a: National Technical College?

A No.

Q Do you know if any person translated educational

materials for the students?

A I don’t know_~nside. How could I K,,ow’-, o.

Q Did you ever pay Mr. Kao to translate --

MR. WULFSBERG: That’s his first name.

BY MR. NAKAMURA:

Q Did you ever pay him to translate any

educational materials for the students?

A No.

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educational materials in Vietnamese language?

A I don’t understand about that.

about that.

Q

Do you know if he ever did that?

No, I don’t think he did that.

Do you know if the school ever provided

I don’t know

Do you know if they ever provided any

translated materials in Cambodian or Laosian?

A I saw one time, but I don’t know officially.

It passed through my mind, and Bidny showed me about

translation like, translation like kind of terminology. They

show me one time.

Q And what he showed you, was ~h_~ in Cambodian?

A Was Cambcdian.

Q was that just one page that you saw?

A I think. I don’t remember. A couple of pages.

Q Did you ever provide any counselling services

to any of the students that you recruited?

A I don’t do any counselling.

that to go to school, try to take a chance.

I just tell them

Did they come to you if they said they didn’t

like the school and they wanted to drop out?

A They have a right to drop within two weeks.

They’re not supposed to come to me.

Q But did you ever talk to them about dropping out?

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~ ~"

the school?

A No. I don’t know. Say that again.

Q Did you explain to the student the contract

with the school?

A I think I have Kao to go along with the contract

with my -- my -- with my people in the financial aid.

Q Was that in the financial aid office?

A Yeah, I believe so.

Q And Kao translated the contract to the student?

A Kao tried to help if someone don’t understand.

Someone don’t understand, need some help, Kao try to help.

. ~ -=~bal word. He exDlained to them verbal, by v__

Did Kao explain to them the drop out policy?

What do you mean "drop out policy"?

When they can drop out.

He know -- everyone know before they start.

Q

Everyone know.

Q

A

Who explained it to them?

Before they start, I talk to them. "You have

a right to try for two weeks. If you want to stay -~ This

school a private school, if you "~ant to stay over two weeks,

then you pay. Within two weeks you have a right to drop."

Q So when Kao was explaining the contract to the

student, were you present? Did you hear Kao explain to the

43

DECLARATIONS OF FRED NAKAMURA AND MICHAEL BOTWIN IN SUPPORT OF ORDER TO SHOW CAUSE RE PRELIMINARY INJUNCTION AND.TEMPORARY RESTRAINI: ~D~O

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Just ~:he ~ermi nology. Qui zzes i s

Because it’s important to know the terminology?

Is that why you give the quizzes every week?

A You got 70 words in the dental technology.

70 words, no more. Between 70, 80. That’s what you need

to know to work in den~al laboratory.

Q You give a quiz every week --

A The same words. I say this buccal. This

is tooth, cen<ra!, he have a mesial, distal. This tooth

have a dista!, mesial, and this tooth have a distal, mesial.

Each tooth have the same thing, but he give shape. That’s

all.

-How do you quiz --

How do the explanation, right.

Does the college give an examination on how

well the student works with their hands?

A Right. It’s called a dexterity test.

Q How often is that test given?

A Every student supposed to take this test.

Q Before .they enrol!?

A Correct.

Q After they enroll in this class does the

student get examined on how well they work with their hands?

MR. SC~{ARTZ:

THE WITNESS:

MR. SCHWARTZ:

Counsel, let’s hold on.

Before the student --

Hold on a minute.

" ~"" ~" .... DECLARATIONS .OF.F.RE] MICHAEL: .TO.-SHO~;ICAU

.~>~INJUNCT]

qu~%:y =or Na=ic~.~l Technical College courses in Dental Lmborato.--v Technology and Hedical Word Processin=~. To do promoticmal and marketing with~in the ni=ies and agencies. To assist and guide special instructors, manpower representatives, in maxL~.izing their abilities and capabilities to become effective employees.

To use a!l resources available, within your budgetary constraint, to promote the concept as spelled out in the National Technical College catalog and brochures. This is required in order to insure that a!l potential partici- pants are fully informed about our courses.

To.supe~ise refugee staff in cotmseling, interpreting for refugees who mmy have some difficulty with the English language in order that they m~v fully learn the trade of ~ental Imboratory Technic~mn and/or Medical Word ~roces~- ing. To do follo~,~-up and counseling in job placement, in order that the re- tention rate of the students is maintained.

It is agreed t~hmt ~. U%--Yy will be paid for services rendered according to attached adden- dL=n and perforrmnce standards set by ~.:ational Yechnical College.

It is reco~n, ized that National Techniial College has the sole-right to manage the business in order t.hat they shall be c~Detitive, efficient and profitable. Evaluati~s o performance ~’iil be done after 30 working days. Natiorml Technical College reser~:es the right to termi~ate this agreement if its de=_~ed performance is not satisfactoD- at anytime. Al!

hies due ~,-:~] be paid upon submission of proof and/or invoice of work --~ - - - I =..C_. _~.

It is_.=.~-~==~ that Naticrml Technical College will do eve~thin~ possible ~ithin its budgeta~ cor~tra~_nts to ensure that all students who satisfactorily graduate from any of our courses will be ~laced in a job of their chosen profession or related profession.

A bonus will be paid to ~Ir. Ung-Ty for field recruiters if attached Addendu~ perfon~ance standards are met. Students recruited must have all necessary pape.~-work completed and signed before enrollment and must remain in our classes a minimum of 30 days before payment is due.

The term of this contract is 45 working days beginning February. 4, 1985. The ~o parties ~i!! meet every fifthteenth (!5th) working day to discuss the performance and progress of Mr. Un=~-Y7 operation.

It is also a~reed tbm= if the Derforr.mnce standards are met by Mr. Ung-Yy, National Tec~hnica! College ~,i!! re-negotiate or e~tend the length of this agreement.

2/85

Date

February 4, 1985 to February 18, 1985

February 19, 1985 to March 5, 1985

March 6, 1985 to March 20, 1985

20 students $3,500.00

20 students $3,500.00

18 students $3,500.00

TOTAL 58 students

It is also understood that all students enrolled exceeding the required number 58, Mr. Ung-Ty will be paid $200.00 per student. The payment will be handled as follows: $i00.00 will be paid after student is completely enrolled and remains in class 5 days. The re.~aining $I00.00 per student will be paid after the student h~s been in attendance 30 days from date of enrollment. A bonus of $2,000.00 will be paid to Mr. Ung-Ty for field recraiters if the pe_rformance is met as set forth above.

National Technica! College will continue to negotiate vehicle transportation needed other th~n the $4.00 bus .casses that we no~ o~e. for those students ~’ho are in need and for other necessary functions of the College.-

Anatoly ~l~ny, Pres1~en~ NATIONAL TE~ICAL COTTKGE

~a te

DECLARATIONS MICHAEL~.

EXHIBIT 35

CASE. NUHBER:

arin~ date bT aS~eement or b7 motion, co.unsel .ould notlfT %he Cou~t of the s~me on or before

third oourt day preceding the icRr!mgo In the urt’s di~crstion, continuances me7 be denied

.an two contlnu~uoes by agreement will ordinarily grau%ed.

SUPPLEMENTAL PAPERS

PLaINtifF’ S FILING

OPPOSITION PAPERS

authorities mu~t be filed ~ ~ ~-/~/’~ > ~~ ?~ ~ .~ ¯ ~~-~=’~ and’served ’"

-

REPLY PAPERS

Reply papers m~,t be ~lled and p~rsonally

ALL DOCUMENTS MUSTBE SERVED BY HAND DELIVERY BY 4:00 P.M.

DZINTRA I. JANAVS

TOP PORTION TO BE COMPLETED BY APPLICANT/ATTORNEY

Case Name:

Case Number: 75-70

Application of (Fatty) for leave to. file. Points & Au=horities exceeding

(, ~

The Application is DENIED - No good cause appears.

Goo4 cause appearing, the Application is GRANTED. The above-describe~ Points & Authori¢ies may be fi!e4, no~ exceeding ~ pages in leng~%. Compliance with C~4: Rule 313(d) is required.

Points & Authorities in Opposition may also be filed. withou~ further order, no~ exceeding ._.~. C pages "_:’. length. Compliance wi~h CRC Rule 313(d)-i’s’ required.

DATED :

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JOHN K. VAN DE KAMP, Attorney General of the State of California



3580 Wilshire Boulevard, Room 800 Los Angeles, California 90010 Telephone: (213) 736-7782





Plaintiff,

NATIONAL TECHNICAL COLLEGE, DENTAL TECHNOLOGY COLLEGE FOR THE HANDICAPPED, INC., VALLEY UNITED DENTAL LAB, INC., ANATOLY BIDNY, SOFIA BIDNY, aka SOFIA

) ) ) ) ) ) ) ) ) )

BIDNA, ACCREDITING COUNCIL FOR CONTINUING) EDUCATION & TRAINING, LOS ANGELES ) SECURITY PERSONNEL SERVICE, CAREER ) ADVISING SERVICE, THE CAREER PEOPLE, ) AND DOES 1 THROUGH i00, ) inclusive, )

) Defendants. )

)

CASE NO.

ORDER TO SHOW CAUSE RE PRELIMINARY INJUNCTION; TEMPORARY RESTRAINING ORDER; MEMORANDUM OF POINTS AND AUTHORITIES IN SUPPORT THEREOF

DATE: TIME: DEPT.:

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Defendants, nevertheless, assist students to fill out Pell grant

applications. (Decls. of Kelly, ~ 4, 7; see Carruthers, ~ 3;

Davis, ~ 3; Evernhan, ~ 4.)

If students do not qualify for federal assistance,

defendants put false information on the application forms to make

the student appear to qualify. (Decls. of Bass, ~ 4; Patchett,

¶ 5; Wallace, ~ 6.) In one instance, for example, an NTC

employee listed that a student and her husband were "separated,"

thus falsely implying that there was a marital separation when

they were only physically apart during the husband’s military

service. (Bass Decl., ~ 4.)

Defendants also represent that only students who have

the ability to benefit from the courses will be admitted. For

example, NTC’s student handbook states as follows:

"Each new applicant is carefully screened and tested to

assure them, and the school, that they do indeed have every

chance for success." (Johnson Decl., Ex. 6, at p. 203; Bernal, ~

14, Ex. 6, at p. 39; see also Morales, ~ 2.) Indeed, federal

law restricts enrollment to students with proven ability to

benefit from the course if the students do not have a high school

diploma or its equivalent. (20 U.S.C. § 1091(d); 34 C.F.R.

668.7(a)(3)(i~i).) In fact, the ability-to-benefit tests NTC

gives students do not accurately measure a student’s ability to

benefit from the course offered (Ettinger, ~ 1-2); and students

are allowed repeatedly to retake the ability-to-benefit test

until they pass, or are admitted without regard to whether or not

they pass such a test. (Decls. of Esquivel, ~ 11-13; Morales,

K 3; Toomes, ¶ 4; James, ~ 7; Kelly~ ~ 4; Wallace~ 4.)

44.

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(b) fail to make available to prospective students, students

and other interested persons a catalog or brochure containing

information describing the refund policy, (Decls. of Johnson at

~ 2; Patchett, ~ 5.); and

(c) do not provide copies of the refund policy in the

language in which the contract is negotiated. (Decls. of

Gutierrez, ~ 5; Morales, ~ 6, 14; Rann, ~ 2.) Such failures to

disclose the refund policy constitute an unfair business

practice.

Further, in violation of federal regulations governing

student financial aid, defendants

(a) enroll persons without determining that they have the

ability to benefit from the course offered, or a high schoo!

diploma or its. equivalent (20 U.S.C. § 1091(d); 34 C.F.R.

§ 668.7(a)(3)(iii) and (iv), formerly ~§ 668.4, 668.6;

(b) assist students to apply for Pell grants for students in

the security guard class that consists of less than the 600 hours

of class time as required for Pell grant eligibility. (34 C.F.R.

668.8(a)(2)(iv); 600.7); and

(c) knowingly and willfully fill in false, fictitious or

fraudulent information on student applications for federa!

financial aid in violation of 18 U.S.C. section i001. (pp. 43-

44.)

V

DEFENDANTS ARE LIABLE FORT HE ACTS OF THEIR REPRESENTATIVES

AND CO-CONSPIRATORS

Some of the misrepresentations and unlawful acts and

unfair practices have been committed by so-called independent

62.

EXHIBIT 36

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DECLARATION OF MAUREEN PATCHETT

I, Maureen Patchett, declare the following:

i. On or about October 21, 1986 I answered an

advertisement for a Medical Receptionist in the jobs offered

section of the Daily News. The ad had a telephone number but no

company name. I was told to come down to the Career Advising

Service at 12011 Victory Boulevard to apply for the job. At the

Career Advising Service I met with a woman, black, tal!, slender,

articulate and professional. I do not recall her name.

2. The woman told me that they could refer me to

training. She said the training was free and that I could get

all the details by going next door to National Technical College

and meeting with a man named Richard Bourne.

3. I went to National Technica! College immediately

after I left the Career Advising Service. I spoke to the

receptionist and told her I had been sent by Career Advising

Service. The receptionist called Richard Bourne and he took me

back to his office. Richard is about 5’9" tal!, has a square

face, brown eyes, blond hair, wears glasses, has a medium build

and is about 35 years old.

4. Richard told me that the medical word processing

course is an eight month course including the use of state of the

art computers like, Wang and Lotus; intense studies in the

medical field including English, math, office administration; and

learning the business forms used in a medical office. He talked

about an internship at the end of the program where the schoo!

places the students in a hospital close to their home to Bet

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~raining on a job site. Richard said that the school guarantees

job placement upon graduation. He said emphatically the~ will

find me a job. He said that some students earn as much as $15

per hour when they graduate.

5. Richard said he could guarantee that I could get

financing for the tuition of about $4400. He also said that I

would get an allowance while I was in schoo! of $60 per month for

bus fare or parking. I told him I was living at~home with my

parents and he said that he would put down a different address so

that there would be no problem with the financing. Richard said

that no one would ever check on the address and I would not get

into trouble. H~ said that I would have to sign the contract

that day or the offer would be withdrawn. Richard filled in a!l

the forms for me and I just signed the forms where he told me ~o.

Before I signed I tried to read through all the small print but

Richard rushed me to sign and I did. After I signed the contract

and the financia! aid forms I asked for a copy but he did net

give it to me. I never received a copy of the contract unti!

April of the following year. I only received that one a~e. much

complaining in the office and Emma, the receptionist finally gave

me-a copy. A true and correct copy of my contract is attached as

Exhibit 1 and incorporated by this reference. I never received

copies of the financial aid forms.

6. Richard asked me a lot of personal questions about

my marital status, if I had a boyfriend, whether I had children

or not. These questions I feel were very suggestive and

inappropriate for a school admissions counselor. He did not ask

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me about my office skills nor my prior experience. He did not

give me a tour of the school.

7. I began school on October 27, 1986. My first

class was with Dr. Richard Chan. Dr. Chan taught medica!

terminology and general study skills. Every week new students

entered the program. There seemed to be no rea! system. I had

Sam Jones for typing, English and at some point computers. Cindy!

Correa taught the medical word terminology part of the course.

had Dan Montero for word processing and I had difficulty with his I

teaching and I felt he harassed me. I do not know why he picked

on me but he did. I complained to the administrator, Franklin

Moore and M~. McKeating. McKeating told me Montero had to be

treated as if he was a house puppy, whatever that meant. I

spoke to the owner of the school about it, I wrote to the

accrediting agency and also to the Office of Private

Postsecondary Education of the State Department of Education

about the problem.

8. On or about March 1987, at my request there was a

meeting with the owner Mrs. Bidny, Dr. Hood of the California

Department of Education and myself. We talked about the problems

I was having with the school, including lack of actual textbooks

(we were only given xerox copies of books), high turnover of

teachers and ~dministrators and Dan Montero. Mrs. Bidny said

that she would work things out and so I decided to stay in the

program. ,

9. There were continuing problems with the school.

There were about 30 typewriters for 25 students and only

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worked and even they worked poorly and were always sticking. .It

meant that the students had to take turns to do their work. The

computer room was very dangerous because there were electrical

wires and cable connections in the middle of the floor and it was

easy to trip on the wires. The printer often did not work.

There was only one printer for 30 students and if you couldn’t

get your turn on the printer you would get points off on your

homework. ~

i0. On or about March ii, 1987 the students including

me decided to strike. We struck because of the lack of books,

terrible machines and the unfair firing of one of the best

teachers, Dr. Rfchard Chan. Dr. Chan helped us with so many

things. Most of the students felt that it was unfair that an

allowance ha~ been promised but was never given. I never

received the promised al!owance. After I signed my s~udent

loan check, Franklin Moore the school administrator, told me that

the allowance was only for students attending the Los Angeles

campus. When we were out on strike in front of the school, Mr.

Bidny told us that he could kick us out of school and pres~

charges against us. Franklin Moore said that we are trying to

give you the best possible instructors.

ii. I was notified on or about April 1 that my

graduation date was pushed back and I was asked to sign papers to

extend my studies another six months. I was told the course

schedule was upset because of all the new teachers. TheZ were

going to allow me to get some extra school time and it was

necessary to sign the papers to defer the beginning of my loan

000324

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payments.

12. Shortly thereafter I decided to leave. Ifelt

that I had learned nothing at Nationa! Technical College.

Whatever few skills I picked up were from reading the manua! on

my own and from other students who were very smart and learned it

on their own.

13. I have now been billed for payments on the student

loan. I have received papers telling me I owe $2665.55. I have

not made any payments on my student loan because I feel that I

did not receive an education at National Technical College. The

program was misrepresented to me and the quality of the education

was poor.



declaration are true and correct, that they are of my ow~...



060325

EXHIBIT 3 7

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HERSCWRT. T. Rr.KINS, Senior Assistant Attorney General


3580 Wilshire Boulevard, Suite 800 Los Angeles, California 90010-2501 Telephone: (213) 736-7715

Attorneys for Plaintiff The People of the State of California

SUPERIOR COURT OF TwR. STATE OF CALIFORNIA


tHE PEOPLE OF THE STATE OF CALIFORNIA, ) ) ) Plaintiff, )

) ~ATIONAL TECHNICAL COLLEGE, DENTAL ) tECHNOLOGY COLLEGE FOR THE HANDICAPPED,) INC., VALLEY UNITED DENTAL LAB, INC., .%NATOLY BIDNY, SOFIA BIDNY aka SOFIA BIDNA, ACCREDITING COUNCIL FOR CONTINUING EDUCATION AND TRAINING,LOS ANGELES SECURITY PERSONNEL SERVICE, CAREER ADVISING SERVICE, THE CAREER PEOPLE, and DOES 1 through 100, inclusive,

) ) ) ) ) ) ) ) ) ) )

Defendants.

CASE NO. C 727570

PLAINTIFF’S REPLY MEMORANDUM OF POINTS AND AUTHORITIES IN SUPPORT OF APPLICATION FOR PRELIMINARY INJUNCTION AGAINST DEFENDANTS DENTAL COLLEGE FOR THE HANDICAPPED, INC. dba NATIONAL TECHNICAL COLLEGE, VALLEY UNITED DENTAL LAB, INC., ANATOLY BIDNY AND SOFIA .BIDNY

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to attract students, (2) Anatoly and Sofia Bidny approved these

ads, (3) NTC did not provide adequate supplies or equipment, (4)

the Bidnys instructed employees to hide files showing high drop

outs and to falsify the ability to benefit tests and other

documents in student files before visits of the accrediting team,

and (5) the Bidnys demonstrated utter contempt for the law.~

3. NTC extensively relies on the testimony of Dr. Hood, a state Education Department employee, to establish the school’s propriety. But, NTC inaccurately cites his testimony and grossly exaggerates his familiarity with the school.

Although Dr. Hood’s knowledge of NTC was limited, NTC says that "Dr. Hood is more familiar with the school than any other public official." (Opp. p. 9) Dr. Hood, however, testified that his supervisor Roy Steeves is more familiar with NTC than he is (Hood depo. 124:18-125:10), and Steeves has testified that NTC is responsible for the misrepresentations of its recruiter. (Steeves decl. ~3, 6.) Dr. Hood has no knowledge whatsoever about the larger NTC school located on 600 S. Spring Street. (Hood depo. 100:14-23.) Moreover, when a school is accredited, as NTC was for the relevant time period, Dr. Hood’s office simply took no action against an accredited school, unless its accreditation were removed. (Hood depo. 50:12-19). He did not have any of the information about high drop-out rates or the allegations of advertising misrepresentations or lack of placement referred to in the reports by the accrediting body, ABHES, shown to him during his deposition, although he was on the visit with the ABHES team. (Hood depo. 167:14-23, 171:21-173:5, 175:1-182:5.)

NTC also characterizes Dr. Hood’s testimony as stating that, "neither NTC nor Mr. and Mrs. Bidny should be targets of a consumer fraud strike force intent on cleaning up the rotten apples in the vocational school business." Actually, Dr. Hood expressed his opinion, admittedly without knowledge of the facts of this case, that NTC was not the only school that should be investigated and that there are other schools that he would investigate before NTC. (Hood depo. 119:1-120:21.)

NTC further states that Dr. Hood testified that "Student complaints against NTC which were brought to the attention of the California Department of Education were investigated" and the Bidnys "have always come out "smelling like a rose.’" (Opp. p. 9-10)

On cross examination, however, Dr. Hood also testified that - he never inquired into placement or drop out statistics or

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Ability to Benefit from the Couxses

NTC claims to monitor the ability-to-benefit tests required

by federal law, but offers no evidence by anyone with personal

knowledge of monitoring procedures. (see 0pp. p. 35.) The

evidence is overwhelming that NTC routinely falsifies ability to

benefit tests and gives them under conditions that permit persons

rna~nd who do not have the ability to benefit to pass. (He ez depo.

16:8-17:18; i~21-20:10; 21:16-22:4; 105:2-106:1; Moore decl.

~16; Kelley II decl. ~3; Zevallos decl. ~6-7.)

5. NTCMisrepresents that Students are "In Luck" Because a Class Is Just Startinq

Defendants misrepresent that students are "in luck" because

a class is just beginning. (Memo p. 45.) The statement implies

that the beginning of a new class.is a special or at least not a

regular event and that students are lucky to have applied at an

opportune moment when a class is starting. In fact, defendants

admit that they have classes beginning all of the time. (0pp. p.

43.) Consequently, a student is not lucky to find a class

opening.

More significantly, a student is not "in luck" because the

introduction of new students into NTC’s classes is unduly

disruptive to the learning process. NTC offers expert opinion on

the sound educationa! basis for the concept of modular

instruction. (Id.) Plaintiff does not attack the concept of

modular instruction but the way the concept is applied at NTC.

NTC’s experts have no personal knowledge of how NTC’s modular

concept works. (See Jackson decl. ~i0-iI; Hanrahan decl. ~15.)

NTC does not offer any evidence to refute the testimony of

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~42-4; see Simmons decl. 44, Ex. 2; Longo decl. ~49-i0, 13.)

Moreover, employees at NTC’s Los Angeles and North Hollywood

schools have offered the following evidence of the efforts of

both of the Bidnys to cover up NTC’s violations of law and breach

of accrediting standards through the falsification of documents,

misrepresentation, and intimidation:

i. Anatoly and/or Sofia Bidny instructed employees to

remove files to conceal from the accrediting commission the high

number of student drop outs. (Reply p.12.)

2. Anatoly and/or Sofia Bidny instructed employees to

falsify ability-to-benefit tests, health clearances, placement

records, externship records, and other student documents or to

insert false information on financial aid forms. (Hernandez

depo. 25:14-32:5, 72:21-74:22; Moore decl. ~16; Castro depo. .~

37:5-39:5; 41:21-45:9; Robinson decl. ~4-5.)

3. Mr. Bidny frightened students and employees, and some

related threats he or his administrators made against those who

cross him. (Smith decl. ~6; Hernandez depo. 78:3-80:17; Moore

decl. ~25; Kelley depo. 68:14-70:7; Rockford decl. ~5-6.)

In addition,.plaintiff has received complaints of NTC’s

misconduct even in the course of this litigation: one of NTC’s

process servers misrepresented that he was from the District

Attorney’s office and two other people complained of harassing

and annoying contacts. (Patchett decl. 42; see Simmons decl. 49,

Ex. 8; Reiter decl. ~8, Ex. 5.)

B. Plaintiff’s Witnesses Are Credible and Provide

Ex. 2.)

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wRRSCWRT. T. RT.~INS, Senior Assistant Attorney General


3580 Wilshire Boulevard, Suite 800 Los Angeles, California 90010-2501 Telephone: (213) 736-7715

Attorneys for Plaintiff The People of the State of California



~HE PEOPLE OF THE STATE OF CALIFORNIA, ) ) ) P " .~intif f, )

v. ) )

~ATIONAL TECHNICAL COLLEGE, DENTAL ) TECHNOLOGY COLLEGE FOR THE HANDICAPPED,) INC., VALLEY UNITED DENTAL LAB, INC., ANATOLY BIDNY, SOFIA BIDNY aka SOFIA BIDNA, ACCREDITING COUNCIL FOR CONTINUING EDUCATION AND TRAINING,LOS ANGELES SECURITY PERSONNEL SERVICE, CAREER ADVISING SERVICE, THE CAREER PEOPLE, and DOES 1 through 100, inclusive,

) ) ) ) ) ) ) ) ) ) )

Defendants.

CASE NO. C 727570

PLAINTIFF’S REPLY MEMORANDUM OF POINTS AND AUTHORITIES IN SUPPORT OF APPLICATION FOR PRELIMINARY INJUNCTION AGAINST DEFENDANTS DENTAL COLLEGE FOR THE HANDICAPPED, INC. dba NATIONAL TECHNICAL COLLEGE, VALLEY UNITED DENTAL LAB, INC., ANATOLY BIDNY AND SOFIA .BIDNY

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TABLE OF CONTENTS

INTRODUCTION

I THE OVERW~TNGWEIGHT OF THE EVIDENCE SHOWS FAR MORE THAN ARE~SONABLE PROB~BILITYTHAT PLAINTIFF WILL SUCCEED ON TWR. MERITS

A. Defendants Induce Students To Enroll With False Promise of Jobs

i. Defendants Advertise Job Openings

a. NTC’s Surrogates Recruit Students With Job Ads

b. NTC fails to Control Outside Recruiters

c. NTC~m~ts That It Did Not Obtain State Required Perm~£s and Bonds for Outside Recruiters

2. Defenda-ts M~srepresent the Availability of Part T~me Jobs

3. NTC Promises Jobs

4. NTC’S So-Called Disclaimers Of Job PlacementAre M~sleading and Do Not Exonerate NTC’s Violations of Law

5. Defendants Misrepresent that Graduates Will Be Placed in Well Paid Jobs

B. Defendants’ Training is a Sham

i..Teacher Turnover Is

2. Teachers Make Sure Students Pass

3. Many Teachers Are Not Qualified or Adequately Supervised

4. Defendants Misrepresent The Availability Of Foreign Language Instruction

5. Supplies and Equipment Are Inadequate

PaGes

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II

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6. The Externship Program Is Not As Claimed

C. Defendants Misrepresent Numerous Other Aspects Of the Services Offered

1. NTC’s Deceptive "Stipend" Policy

2. NTC Misrepresents That the Government Will Pay for the Course

3. NTC Illegally Obtains Pell Grant Funds For Its Security Guard Course

4. NTC ~m~ts Students Who Do Not Wave The Ability to BEnefit From the Courses

5. NTC Misrepresents that Students are "In Luck" Because a Class Is Just STarting

6. NTC Does Not Clearly Disclose Its REfund Policy

7. NTC Falsely Represented That Certain Courses Were Available

WITNESS CREDIBILITY

A. Anatoly Bidny Cannot Be Believed

B. Plaintiff’s Witnesses Are Credible nd Provide Cumulative Evidence of Defendants’ Wrongdoing

PLAINTIFF IS ENTITLED TO TBR ~RT.IEF SOUGHT

A. Plaintiff Is Entitled To Obtain Restitution For St3~ent Victims

I. The Business _And Professions Code And The Court’s Equitable Powers Each Provides An Independent Basis For Restitution

2. Education Code SEction 94321 Provides A Separate Basis For Restitution

a. Plaintiff Has Shown Willful Violations of Prohibited Practices

b. Defendants’ Willful ViolatiQns of Education Code Section 94321 Require Refunds to NTC’s Students

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Paqes

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B. " The Required Provisions of the Preliminary Injunction Affecting Defendants’ Assets Are Both Necessary and Appropriate

The Relief Sought Is Required Under Government Code Section 12527

Where Restitution Is Available, An Order To Preserve Defendants’ Assets May Issue

A Constructive Trust Should Be Imposed On Defendants’ Assets

There Is An Adequate Record On Which To Base An Estimate of Defendants’ Potential Liability

Co

A Sufficient Showing Concerning Possible Dissipation of Assets Has Been Made

The Preliminary Injunction Requested Should Be Granted Because Defendants Retain the Ability To Engage in Future Violations

Paaes

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TABLE OF AUTHORITIES

Cases Paqes

Beneficial Corporation v. F.T.C. (3rd Cir. 1976) 542 F.2d 611 50

Benrus Watch Company, Inc. v. F.T.C. (Sth Cir. 1965) 352 F.2d 313 50

City Products Corp. v. Globe Indemnity Co. (1979) 88 Cal.App.3d 31 42

Committee on Children’s Television, Inc. v. General Foods Corp. (1983) 35 Cal.3d 197 39

Decorative carpets, Inc. v. State Board of Equalization (1962) 58 Cal.2d 252 45

Martin v. Kehl (1983) 145 Cal.App.3d 228 45, 46

People v. Custom Craft Carpets, Inc. (1984) 159 Cal.App.3d 676 47

People v. McKale (1979) 25 Cal.3d 626 47

People v. Mott (1983) 140 Cal.App.3d 394 41, 42

People v. National Association of Realtors (1984) 155 Cal.App.3d 578 47, 52

People v. Superior Court (Jayhill) (1973) 9 Cal.3d 283 38, 47

People v. Toomey (1985) 157 Cal.App.3d 1 39, 46, 52

Pittenger v. Collection Agency Licensing Bureau (1962) 208 Cal.App.2d 585 40

Sumitomo Bank v. Taurus Development, Inc. (1986) 185 Cal.App.3d 211 52

Tomerlin v. Canadian Indemnity Co. (1964) 61 Cal.2d 638 42

United States Fid. & Guar. Co. v. American Employers’ Ins. Co. 41

United States v. Oregon Sate Medical Society (1952).343 U.S. 32~0

Weiss v. March (1975) 51 Cal.App.3d 590 46

Wood v. Peffer (1942) 55 Cal.App.2d 116 50

iv.

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Statutes

Bus. & Prof. Code, § 17200






Civ. Code, § 1812.217

Civ. Code, § 2223

Civ. Code, § 2224

Paqes

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Department of Agriculture v. Tide Oil Co. (1969) 269 Cal.App.2d 145 50

Ed. Code, § 94336 41

F.T.C.v.H.N. Singer, Inc. (gth Cir. 1982) 668 F.2d 1107 44

Pen. Code, § 7(1) 40, 42

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INTRODUCTION

National Technical College has obtained over $I0,000,000 in

federally insured loans from over 4,000 student borrowers

resulting in a default rate for its students of 40%, according to

the California Student Aid Commission Records. (Reiter decl. ~4,

Ex. 2; Marrujo decl. ~2.) Over $6,000,000 of the total was

borrowed under the Guaranteed Student Loan Program (GSL, now

called Stafford loans) to pay tuition. (Id.) This does not

include the millions of dollars in Pell grant funds NTC received

from students to pay approximately half the tuition.

Plaintiff alleges that NTC!! induced the vast majority of those

students to enroll at NTC by untrue or misleading representations

and unfair, deceptive or unlawful business practices in violation

of Business and Professions Code sections i~200 et seq. and

17500. In the four months since the case was filed, plaintiff

has obtained additional evidence that rebuts NTC’s evidentiary

showing and corroborates the pattern of misrepresentations and

unfair business practices, ongoing from 1985 to the present, that

plaintiff has previously demonstrated.!! Declarations and

testimony of numerous former employees corroborate evidence that

(i) NTC used misleading job ads placed in the Help Wanted columns

i. Throughout plaintiff refers to the defendants against whom the preliminary injunction is sought, Dental Technology College for the Handicapped, Inc. dba National Technical College, and its owners, Valley United Dental Lab, Inc., Anatoly Bidny and Sofia Bidny collectively as "NTC."

2. NTC claims that plaintiff’s evidence is primarily from 1987 or before. In fact, one-third of plaintiff’s student declarants enrolled at NTC in 1988 or 1989. Plaintiff offers additional evidence with this reply from students and instructors for the 1988-89 period.

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to attract students, (2) Anatoly and Sofia Bidny approved these

ads, (3) NTC did not provide adequate supplies or equipment, (4)

the Bidnys instructed employees to hide files showing high drop

outs and to falsify the ability to benefit tests and other

documents in student files before visits of the accrediting team,

and (5) the Bidnys demonstrated utter contempt for the law.~

3. NTC extensively relies on the testimony of Dr. Hood, a state Education Department employee, to establish the school’s propriety. But, NTC inaccurately cites his testimony and grossly exaggerates his familiarity with the school.

Although Dr. Hood’s knowledge of NTC was limited, NTC says that "Dr. Hood is more familiar with the school than any other public official." (Opp. p. 9) Dr. Hood, however, testified that his supervisor Roy Steeves is more familiar with NTC than he is (Hood depo. 124:18-125:10), and Steeves has testified that NTC is responsible for the misrepresentations of its recruiter. (Steeves decl. ~3, 6.) Dr. Hood has no knowledge whatsoever about the larger NTC school located on 600 S. Spring Street. (Hood depo. 100:14-23.) Moreover, when a school is accredited, as NTC was for the relevant time period, Dr. Hood’s office simply took no action against an accredited school, unless its accreditation were removed. (Hood depo. 50:12-19). He did not have any of the information about high drop-out rates or the allegations of advertising misrepresentations or lack of placement referred to in the reports by the accrediting body, ABHES, shown to him during his deposition, although he was on the visit with the ABHES team. (Hood depo. 167:14-23, 171:21-173:5, 175:1-182:5.)

NTC also characterizes Dr. Hood’s testimony as stating that, "neither NTC nor Mr. and Mrs. Bidny should be targets of a consumer fraud strike force intent on cleaning up the rotten apples in the vocational school business." Actually, Dr. Hood expressed his opinion, admittedly without knowledge of the facts of this case, that NTC was not the only school that should be investigated and that there are other schools that he would investigate before NTC. (Hood depo. 119:1-120:21.)

NTC further states that Dr. Hood testified that "Student complaints against NTC which were brought to the attention of the California Department of Education were investigated" and the Bidnys "have always come out "smelling like a rose.’" (Opp. p. 9-10)

On cross examination, however, Dr. Hood also testified that - he never inquired into placement or drop out statistics or

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Plaintiff seeks the preliminary injunction to curtail NTC’s

outrageous acts and to prevent dissipation of funds necessary to

satisfy any judgment. The preservation of assets is essential to

assure restitution to NTC’s students. These students who were

lured to the school by offers for jobs that did not exist are

each indebted for thousands of dollars on student loans

ultimately guaranteed by the taxpayer. Yet, the students neither

received the training NTC represented it would provide nor the

good jobs and salaries NTC represented would result from its

short training course.

With neither the law nor the facts to support its opposition

to the preliminary injunction, NTC attempts to divert the court’s

attention from the facts and allegations on which plaintiff’s

application for a preliminary injunction is based. NTC

externships (Hood depo.160:8-167:23, 178:9-1279:15.) - he never checked to see if Mr. Bidny had obtained the

required agents’ permits (Hood depo. 138:6-139:1); - he did not interview any of the Asian students who

complained (Hood depo. 149:1-153:4); - he did not know that NTC had a telephone boiler room.

(Hood depo. 206:12-207:11-207.) (At Mr. Bidny’s request, the director of NTC ran a boiler room that recruited students by false offers of jobs from an office a few feet from Mr. Bidny’s office at North Hollywood. [Moore decl. ~2-4; see also Hernandez depo. 46:9-54:12].);

- the recruiter, Claude Martin, (who admittedly recruited students for NTC [Botwin decl. ~2 Ex. i, 42;21-46:6.]), displayed one of the worst examples of bait and switch advertising Dr. Hood had ever seen, but Hood never followed up to see if Bidny had obtained the required permit for Martin or if Bidny severed his relationship with him. (Hood depo. 170:6-171:15, 229:21- 230:11.).

Far from endorsing NTC, Dr. Hood would have raised his eyebrows at NTC’s practices if he had known the full story. (See Hood depo. 179:1-19.)

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mischaracterizes plaintiff’s allegations~; distorts the

supporting testimony; questions the credibility of plaintiff’s

witnesses without offering any contrary evidence; impugns the

integrity of plaintiff’s investigation despite overwhelming

evidence of its integrity; offers declarations of a general

nature that do not address the issues, are not based on personal

knowledge, and do not contradict plaintiff’s evidence; and

criticizes the proposed preliminary injunction, but fails to

point out any specific problems or errors in it.!!

In Section I, plaintiff discusses NTC’s evidence and

argument and plaintiff’s rebuttal evidence¯ To the extent not

dealt with in Section I, NTC’s attack on plaintiff’s

investigation and on the credibility of its former employees who

testified for plaintiff is addressed in Section II. S@ction III

discusses the legal argument NTC raises.

I

THE OVERW]TRI~ING WEIGHT OF THE EVIDENCE SHOWS FAR MORE THAN A REASONABLE PROBABILITY THAT PLAINTIFF

WILL SUCCEED ON THE MERITS

Defendants .Induce Students To Enroll With The False Promise Of Jobs

4. For example, NTC claims plaintiff does not allege any financial impropriety. (Memorandum of Points and Authorities in Opposition to Order to Show Cause Re Preliminary Injunction [hereafter "Opposition" or "0pp."] p. 3.) Obviously, plaintiff alleges students have been bilked out of millions of dollars in guaranteed federal loans.

5. In light of information presented about the expenses of a vocational school with respect to the temporary restraining order, plaintiff itself suggests modifications to the preliminary injunction (filed concurrently) to resolve any difficulties with the original language proposed.

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i. Defendants Advertise Job Openinqs

NTC blames any impermissible ads for jobs on the

uncontrollable acts of outside recruiters.~ (Bidny decl. ~17,

Kujawa decl. ~20.) NTC claims "The school never itself placed

any deceptive advertisements, saying things like "Help Wanted’."

(Kujawa decl. ~20 [emphasis added];see also Bidny decl. ~22.)

The claim is a classic example of a defendant’s deception.

a. NTC’s Surroqates Recruit Students With Job Ads

A former Director of the North Hollywood NTC, Franklin

Moore, declared that Bidny was careful that misleading ads appear

under another name than NTC. (See Moore decl. ~2; see also Longo

decl. ~9.) Within a short time of becoming Director, at Bidny’s

request, Moore ran a recruiting office next door to NTC and

placed advertisements, under the name of M&M Services, in the

Help-Wanted columns of newspapers offering trainee jobs and

listing specific and unrealistic salaries ranging from

approximately $7 to $12 per hour. (Moore decl. at ~2-4.)

Usually Anatoly, and sometimes Sophia Bidny approved the job

advertisements that he placed to lure students to National

Technical College. (Moore decl. at ~4.) When the accrediting

body, ABHES, complained about M&M ads, Bidny and Moore devised

phony documentation to assure ABHES that NTC’s school director

was not running the recruiting office. (Moore decl. ~9.) In

6. In blaming the job ads on outside recruiters who recruit for a number of schools, NTC necessarily admits that it recruited students using "blind ads" that fail to identify NTC. (See Kujawa decl. ~ 20; Bidny decl. ~ 22.)

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fact with Mr. Bidny’s knowledge and approval, Moore continued to

place such misleading ads throughout his tenure at NTC. (Moore

decl. 44; see Bendaw decl. ~i, 7 [job ads by recruiting office

in 1988].)

A former receptionist, the first person with whom

prospective students dealt, stated that the majority of

prospective students said they were there to apply for a job.

(Hernandez depo. 45:8-46; 53:13-54:24.) Miss Hernandez testified

that Sofia Bidny was often at the reception desk and heard the

prospective students state they were there for a job interview.

(Hernandez depo. 45:8-46:8.) Receptionists were instructed to

say as little as possible, keep the prospective student

interested, and get them to an "admissions representative" as

quickly as possible. (!d.)

In 1989, when a visitation team from NTC’s current

accrediting body, ACCET, observed numerous copies of a door knob

hang-tag advertisement in student files and elsewhere at National

Technical College, the Vice President in charge of admissions,

Steve Purdy admitted they were used to recruit students to

National Technical College. (Smith decl. ~9, ii, Ex. 2.) The

hang tag advertisement states in large letters,

"JOB OPPORTUNITIES"

"Would you like to make $6-$10 an hour

working in the fields of security guard,

Computers, Medical, Denta!, Word Processing?"

(Smith decl. Ex. 2.)

Students also offered evidence that they were lured to NTC

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by advertisements offering job openings. (See, e.g., Lamb depo.

33:2-34:20; Tolbert decl. ~i; Cartwright decl. ~i; Woodward decl.

~I.) Doris Kinchelow Price testified that, "I was looking

through the classified ads of The Daily newspaper and I came

across an ad for clerical help". She went to the address. She

expressly said that she was looking for employment: "And then

that’s when I got the speech about not being readily employable

because my skills weren’t up to par." (Price depo. 13:1-23.)

NTC’s opposition, however, ignores the overwhelming evidence

of outrageous and deliberate advertising misrepresentations and

focuses on errors in the declarations of two former students,

Betty Kelley and Terry Johnson. The declaration prepared for Ms.

Kelley’s signature erroneously stated that the attached

advertisement was the actual advertisement that enticed her to

National Technical College. In fact, Ms. Kelley wrote a letter

to a number of government agencies shortly after she quit

National Technical College, (and long before she signed her

declaration) to which she attached a copy of the same ad that is

attached to her declaration. (Kelley depo. Ex. 59). In that

letter she stated:

"I answered that ad in the Valley News for a security

Job, the ad read at that time 480 position’s opened,

employment at once, and the rest of the ad read as does

the one that I’m enclosing."

When Ms. Kelley attempted to explain the discrepancy during her

deposition, counsel for NTC moved to strike the response.

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(Kelley depo. I12:5-125.)~ Ms. Kelley testified that the ad she

saw was virtually identical to the ad attached to the

declaration, the only differences being that the ad she saw

offered more positions and may have offered beginning salaries

starting approximately a dollar higher than the ad attached to

her declaration. (Id.; see also Kelley II decl. ~i.)

Similarly, Terry Johnson testified that Exhibit 1 to his

declaration was not the ad he saw, but was an ad another student

who had been led to NTC by the ad gave to him. (Johnson depo.

40:3-8;44:4-13.) Exhibit 2 to Mr. Johnson’s declaration, the

flyer that offers immediate job opportunities under the name of

National Technical College, he did receive as he walked in

downtown Los Angeles. (Johnson depo. 88:3-9.).

The evidence that NTC and its recruiters attracted students

by placing ads for jobs is further corroborated by the bills to

NTC for such ads from the Daily News recently produced pursuant

to a deposition subpoena. (Simmons II decl. ~4-6.)

b. NTC Fails to Control Outside Recruiters

NTC claims that it has instituted and followed practices and

procedures to control untrue or misleading advertising by outside

independent recruiters. (Opp. p. 33.) NTC states that its

contracts provide that any advertisements concerning NTC must be

approved by NTC before use. (Id.)

Where are the NTC approved, legitimate advertisements? NTC

has failed to provide the court with copies of recruiters’ ads

7. NTC did not complete Ms. Kelly’s deposition or allow cross-examination, but has without a stipulation offered portions of her deposition into evidence.

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and has not provided any in discovery. (Simmons decl. ~8.)~

NTC’s opposition contains not one advertisement approved by NTC

and placed by an outside recruiter and no declarations by a

recruiter, admissions director, or any other person who admits to

first hand knowledge of or having approved the content of

advertisements used by recruiters. From the evidence one can

only infer that NTC gave recruiters free rein and intended to

claim ignorance of and no responsibility for illegal ads.~/ (See

Moore decl. ~13; see also Evid. Code, § 413.)

c. NTC AMm~ts That It Did Not Obtain State Required Permits and Bonds for Outside Recruiters

Bidny admits that Dr. Hood told him to make sure his

recruiters had permits and Bidny said he would. (Bidny decl.

K21.) Bidny places blame for not obtaining permits on George

James, his personne! director. (Bidny decl. ~21.) George James

did not work for Bidny until approximately April, 1987, many

months after Dr. Hood warned Bidny to get permits. (See Hood

depo. 132:7-20, 133:17-136:19, Ex. 142 [July 31, 1986 meeting];

James decl. ~i.) James stopped working for NTC in November,

1987. (Id.) Thus, if Mr. Bidny’s testimony is true, he took no

action for several months after being advised to get permits and

8. Because, as NTC represents, recruiters solicit for various schools, their ads refer students to recruiter’s telephone number not directly to the school. If any business is named in recruiters’ ads it is that of the recruiter, not the school.

9. NTC claims to have fired recruiters and admissions representatives for using deceptive ads. (Bidny decl. ¶16-18.) In fact Bidny kept or rehired recruiters and admissions personnel if they brought in students. (Moore decl. ¶15; Hernandez depo. 63:2-13; 122:9-124:6.)

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never took any further action after James left. Only when

prohibited by this Court’s order from paying recruiters who did

not have required permits, did Bidny obtain permits and bonds.

(See Bidny decl. 416.)

2. Defendants Misrepresent the Availability of Part Time Jobs

In a bold conclusory statement NTC admits to representing

part-time jobs are available but claims the representation is

true. (Bidny decl. 414.) NTC offers no evidence indicating that

the claim is true, and there is no factual foundation or showing

of personal knowledge to support Mr. Bidny’s assertion. Other

than those students placed in part-time jobs as recruiters, there

is no evidence that students were placed in part time jobs during

their school course.

On the other hand, new evidence bolsters plaintiff’s prior

evidence of such misrepresentations. For example, Russell

Calloway testified in his deposition that there was a job board

in the cafeteria on which were placed jobs that never seemed to

change and only offered work as security guards. (Calloway depo.

72:1-12; see also Plaintiff’s Memorandum of Points and Auth. In

Support of Preliminary Injunction (hereafter "Memo") pp. 35-36;

Bendaw decl. 48; Cartwright decl. 43; Zevallos decl. 45; Moore

decl. 48.)

3. NTC Promises Jobs

NTC attempts to make much. of the fact that recruiters,

admission representatives, and others who represented NTC seldom

used the word "promise" or "guarantee" when they convinced

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someone that jobs would be available during the course or after

graduation.~! The issue under Business and Professions Code

sections 17200 and 17500 is whether defendants make statements

that have the capacity to mislead others into believing that

enrollment at NTC would lead to employment. It is uncontroverted

that Ray Esquivel was promised by the recruiter he called in

response to an ad in the newspaper that "the school will place

you in a job." (Esquivel decl. 43, Ex. 2 [emphasis added];

Reiter decl. ~5.) Other declarants also testified that they had

indeed been promised that NTC would place them in jobs. (Morales

II decl. ~I; Munoz II decl. ~4; Calloway depo. 14:25-45:10;

Faircloth depo. 27:4-31:13.)

NTC trumpets that two declarants, Wanda Gledhill and Doris

(formerly Kinchelow) Price testified that they were not

"promised" jobs. (0pp. p.37.) Plaintiff never relied on

Kinchelow’s declaration to support the fact that NTC promises

jobs. (Memo 35-37.) Wanda Gledhill testified in her deposition

that the admissions counselor told her the school "had a pretty

good average of placing students in the medical field" and "she

could go into the medical field, I could get a job at a doctor’s

office, at a hospita! or in the medical field." (Gledhill depo.

75:16-22, 135:14-22.) She further testified that if she changed

the word "would" to "could" in her declaration, the sentence

would be correct, "I was told that National Technical College

10. Whether NTC actually "promised" jobs is not relevant to whether NTC misrepresents its services. It is only relevant to the limited issue of whether NTC engaged in an unlawful business practice by violating Education Code section 94321(b) by promising jobs.

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could place me in a job in the medical field."

136:2-20.)

4.

(Gledhill depo.

NTC’s So-called Discla~,mers Of Job Placement Are Misleadinq and Do Not Exonerate NTC’s Violations of Law

NTC claims that it avoids misrepresentations regarding jobs

by having students sign several disclaimer forms all of which are

in English although not all students understand English.~-~! (Opp.

pp. 34-35. ) The current director of NTC in Los Angeles claims

that the school will not interview a student who does not have a

"You Are Cordially Invited . . ." disclaimer card. (Kujawa decl.

~5, Ex. A.)

The purported disclaimers, however, are unavailing.

First, NTC cannot evade liability for its misrepresentation

by subsequently disseminating a disclaimer stating that prior

deceptive statements were untrue. (See Memo, p. 55. )

Second, not every prospective student even receives the

disclaimer. Shortly before this case was filed, recruiters

referred two undercover investigators to NTC. (Decls. of

Esquivel and Bernal. ) The recruiter gave each of them an

introduction/referral card, but neither of them received a copy

of the "You Are Cordially Invited . . ." card. (Bernal decl. ~8;

Esquivel decl. ~7. ) The disclaimer does not appear on the

introduction card they received.

Third, the disclaimers are obviously not intended to provide

any meaningful information but are designed and used for

ii. NTC has offered no evidence any disclaimers were made in any language other than English.

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defensive purposes to mask defendants’ misrepresentations.

Kujawa states that NTC developed this card in November of.1988

and at the behest of the accrediting body, ACCET. (.Id.)

Actually, ACCET recommended a form for students to sign,

"indicating how they learned about the school." (Dodds decl. Ex.

6 [emphasis added].) Instead, NTC developed a printed form that

represents that the person has not been promised employment,

regardless of the true facts. Without careful perusal, the form

seems to be nothing more than an introduction card. (Kujawa

decl. Ex. A.) In bold letters it states, "You Are Cordially

Invited . . ." and "This will introduce name , phone

number ." A second so-called disclaimer form is

entitled "FOR YOUR INFORMATION. WELCOME TO NATIONAL TECHNICAL

COLLEGEI" (Opp. p. 34-35.) The statement about promises of

employment is hidden in the fourth paragraph after some rather

innocuous paragraphs describing what courses are offered, the

application procedure, and the availability of financial aid, a

monthly expense allowance, and a student bus pass. (Kujawa decl.

~6 Ex. B.) The form disclaims promises of "immediate employment"

([emphasis added.]; (Kujawa decl. q6.) It does not disclaim

promises of future employment. (Memo p. 37.) As discussed in

plaintiff’s Memo, the so-called disclaimer also claims that "many

of our students double their earning power in 6 to 9 months from

the time they started school." (Memo p. 37.)

Furthermore, NTC offers no admissible evidence that students

actually read, signed and received a copy of such forms. Indeed,

yet another disclaimer form NTC uses was presented to former

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student Russell Calloway at his deposition. He testified that

the writing purporting to be his signature was not his

handwriting. (Calloway depo. 64:11-65:2, Ex. 208; See Munoz II

decl. K6 [not her signature]; Morales II decl. ~4.) In ACCET’s

follow-up visit in January 1989, it surveyed ii student files and

reported to NTC that none of the files had all three of the so-

called disclaimers and only four had two of the three documents.

(Dodds decl. ~5, Ex. 8, Item i.) In addition, a receptionist who

worked at NTC both before and after the disclaimer form was used

testified that "A lot of them [students] came in because they

were told that the interview was for a job." (Hernandez depo.

45:8-9.) Defendant Sofia Bidny was present most of the time that

students told the receptionist that they came for a job. Sofia

Bidny not only failed to provide the students with the truth but

instructed the receptionist to tell the students "as little as

possible" and channel them to admissions. (Id. at 45:8-46:8.)

5. Defendants Misrepresent that Graduates Will Be Placed in Well Paid Jobs

Defendants disclaim employment misrepresentations but offer

no evidence to refute plaintiff’s specific allegations that (i)

defendants solicit students’by representing that students will

obtain high paying jobs ($6 to $17 per hour) as a result of a

short course of vocational study, (Memo p. 37; Moore decl. ¶~4,

ii; Cartwright decl. ~2; Woodward decl. ~ 1-2; Zevallos ~I;

Smith decl. ~9, ii; Delgado decl. ~2 [Anatoly Bidny told him

that he would earn $9 per hour to start as a dental technician])

and (2) defendants have no factual basis to make such claims in

view of the high drop-out rate, low number of placements, and low

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starting salaries. (Memo p. 37-39.) NTC admits that it has no

basis on which to make salary claims. (Coleman decl. ~13.)~!

Plaintiff’s spot checks with employers and graduates listed by

NTC show, for example, starting salaries for NTC graduates of

$4.50-$5.00 for security guards and $4.50 to $5.00 for dental lab

technicians. (Decls. of Reeves ~2; Davis ~2; Block ~2; Delgado

¶2; Cartwright ~5-6; Minami ~3; see Siddiqui ~4.) NTC has

offered no statistics to show how many complete the course. In

any event, NTC’s statistics would be unbelievable because NTC has

falsified its files. In addition to George James, several former

employees have corroborated the removal of student files and

falsification of other records to hide the true statistics on

drop outs from the accrediting association. (Hernandez depo.

29;8~32:5; Castro depo. 48:13-52:13.)

The placement data proffered by defendants (Coleman decl.

~iI; Bidny decl. ~15, Ex. E) proves nothing. The data is

hearsay, and there is no foundation that any of the students

listed as employed are employed in an occupation for which they

received training by NTC, that the NTC training was of any use in

obtaining the job, or that any of the students are employed at

represented salary levels.

Moreover, NTC’s placement statistics are misleading. The

statistics are based only on "active" students whom NTC is able

12. Although the current placement director ef the Los Angeles campus states that she attempts to obtain salary information from students when possible, the computer printout purportedly showing NTC placement information does not even show an entry for starting salary. (Coleman decl. ¶13; Bidny decl. ~15 Ex. E.)

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to contact. Students whom NTC cannot contact are deemed

"inactive" and are not considered in calculating NTC’s rate of

placement success. Federal law, however, requires (I) that the

disclosure of placement statistics be based on the entire pool of

students scheduled to graduate within a particular time period

and (2) that the school not consider as having obtained

employment any graduate for whom the school does not possess

documented evidence in the student’s file showing that the

graduate has obtained employment in the occupation for which the

training was offered. (34 CFR 688.44 (c)(i)(iii).) Thus, NTC

cannot divide students into "active" and "inactive" groups and

only tabulate the favorable information. Rather, NTC must

consider all students scheduled to graduate within a period and

count students as placedonly if there is documented evidence so

indicating. As a result, NTC’s record of purported placement

success is a chronicle of failure.

A spot check of employers listed on NTC’s placement

statistics shows trained graduates could obtain the same job

without training (Decls. of Reeves ~4; Davis ~4; Minami decl. ~2;

Block decl. KK2-3; See Woodard decl. ~K 6, ii.), the training was

inadequate (Block decl. ~3; see Cartwright decl. ~5.), and

students are not placed in the jobs for which they trained.

(Block decl. ~2; see Cartwright decl. ~5.) Although NTC offers

declarations of twelve current and former students, only nine of

those were students in 1985 or later, the period to which

plaintiff’s allegations relate. The nine students do not include

any security guard students although plaintiff believes that

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program may be one of the largest. No information is offered

about the success of computer repair graduates in placement and

no salary information is provided other than for. two students who

studied word processing, or medical word processing.

NTC avoids the issue -- that the high salary claims cannot

be backed up due to high dropouts, low placement statistics and

low starting salaries for persons placed, -- and instead attempts

to focus the discussion on whether or not certain declarants

sought placement assistance. (0pp. p. 31.) NTC cites Ms.

(Kinchelow) Price as a student who never gave NTC a chance to

help her with placement. In fact, Ms. Price testified that there

was no placement director, and no one to give her any direction

to help her go about getting an externship. (Price depo. 80:10-

21.) An administrator said that it might be a week or two weeks

before they would even have a placement director. (80:22-25.)

NTC also cites the testimony of Miss Gledhill, who also took

the medical word processing course, but was placed in an

externship in a trucking company, rather than in a medical

facility. This externship did not involve typing or word

processing. (Gledhill depo. 115:16-116:2.) After her experience

on the externship’, she did not ask NTC for placement assistance

because she felt that NTC was not interested in helping to place

her in a medical office or hospital. (Gledhill depo. p. 123:2-

11.)

Those who do seek assistance do not receive it. (Calloway

depo. 69:18-71:25.) Indeed, Franklin Moore testified that he

sent out approximately 40 mailgrams to graduates of NTC to

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determine if they were working or not. The purported purpose of

the contact was to offer placement assistance. (Moore decl.

~19.) In fact the purpose was simply to satisfy a request for

job placement statistics made by the accrediting agency, ABHES.~!

Persons convicted of certain crimes are ineligible for a

state guard card necessary to get a security guard job. The

evidence plaintiff offered shows students are not advised of this

requirement before they enroll in the security guard class.

Kujawa claims that prospective security guard students receive

yet another disclosure statement before enrollment in which the

student swears that he does not have prior convictions. (Kujawa

decl. ~12.) Kujawa offers no foundation for any persona!

knowledge of such a procedure. (Kujawa decl. ~12.) No such

signed documents offered by NTC have been authenticated.

Pursuant to a document request, NTC provided plaintiff the

student files of plaintiffls declarants. Of the six files of

security guard student declarants, only two contained a

disclosure form. (Simmons decl. ~3.)

B. Defendants’ Traininq is a Sham

NTC does not refute the allegations of high teacher

turnover, lack of equipment and supplies and lack of appropriate

externships.

i. Teacher Turnover Is Hiqh

13. Declarant Terry Johnson was active in making the students complaints known to ABHES. Sometime after that he was called out of class by an NTC employee named Joseph, who worked in the placement office. Joseph asked him to sign a statement that,NTC was not responsible to find him a job. (Johnson decl. II ~I: Castro depo. 93:6-13.) Johnson refused to sign the statement. (Id.)

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NTC presents no evidence to refute the allegation that

students sometimes have three or more teachers during a less than

eight month long course. (See Memo p. 39-40.) There is no

foundation for Kujawa’s conclusion that since he took over the

Los Angeles campus turnover has been negligible. (Kujawa ~27.)

There is no testimony whatsoever regarding the turnover of

teachers at the North Hollywood campus. Dr. Hood confirms that

the high turnover of teachers and administrators at NTC was

always a concern. (Hood depo. 227:14-228:8.) NTC does not deny

that classes sometimes have no teacher for weeks at a time and

students teach classes. (See, e.g., Lamb depo. 25:11-21.)

Although NTC attempts to discredit the testimony of one former

student, Terry Johnson, who observed that half the time students

were teaching the classes, Johnson testified that he had friends

in the medical assisting and word processing classes and that of

his own personal knowledge he knew from going into those classes

when he went on breaks and lunch that students were teaching the

classes for approximately half the course. (Johnson depo. 54:8-

56:5; see also Lamb depo. 20:16-22.)

2. Teachers Make Sure Students Pass

NTC does not refute the evidence that teachers gave students

the answers to tests. (Memo p. 40; see also Zevallos decl. ¶6.)

3. Many Teachers Are Not Qualified or Adequately Supervised

NTC does not provide evidence to counter plaintiff’s

evidence that teachers are not well qualified and supervised.

(See Memo, p. 40.) Rather, NTC mischaracterizes student

declarants’ testimony to attempt to discredit the student

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victims. Declarants Kelley, Evernham, and Faircloth, however,

uniformly testified, as they stated in their declarations, that

the first instructor they had told them about jungle warfare,

took the men to the park to do exercises, and left the women

sitting or told them to go home. (Kelley depo. 135:1-136:5;

Faircloth depo. 53:16-54:8; Evernham depo. 85:22-87:1, 140:23-

142:3.) These declarants had a good teacher for part of the

course, John Grodin. He left before the course ended. He gave

them from his own materials, not a part of any NTC curriculum,

the materials in their notebooks. (Kelley depo. 30:24-37:7;

38:7-21.) The class never used the book NTC finally did provide

them. (Kelley depo. 38:22-25; Evernham depo. 92:7-14; Faircloth

depo. 58:14-24.)

Mr. Thomas, a word processing instructor, hired by NTC in

August 1988, received a 1982 text, no teachers’ manual, and

little guidance. (Thomas decl. ~2; see also Castro depo. 140:23-

143:22; Lamb depo. 20:16-23.)

4. Defendants Misrepresent The Availabilit7 Of Foreiqn Lanquaqe Instruction

Anatoly Bidny seems to admit that NTC represented to

students who spoke Cambodian and Vietnamese that it would provide

transportation and instruction in their native languages. (Bidny

decl. ~24.) He does not deny that NTC failed to provide

translated materials and instruction as promised. (Id.) He

claims he engaged two people, Jean Andre Paul and Ho-Tong Ng, to

provide translated texts and to interpret during class. (!d.)

His current declaration directly contradicts his testimony under

oath at a prior deposition.

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On October 29, 1985, Bidny testified that he never promised

transportation to the Asian students and that an independent

contractor, Ung Ty, provided transportation to the students

voluntarily of his own free will. (Nakamura II~! decl. [Ex. 1

71-73].) Mr. Bidny also testified previously that he contracted

with Ung Ty to provide a full time translator for the 7 1/2 month

long course, (although Ung Ty’s contract only required services

for a less than two month period). (Memo p. 31.)

Despite such contradictions and relying on Dr. Hood’s

testimony, NTC claims "vindication" of NTC’s position regarding

the Asian students who did not receive the promised instruction

in their native language,d! NTC claims that the translator "up

and left." (Opp., p. 41.) Yet, NTC never even contracted for

translation services for more than 2 out or 7 months and made no

effort to provide translation other than to ask students to

translate for compensation which was never paid. (Khem decl.

43.) Clearly, NTC had an obligation to fulfill its agent’s

promise to foreign language students. Dr. Hood’s supervisor, Roy

Steeves, has provided documentation showing that after further

investigation, the California Department of Education stated that

under the circumstances, a reasonable man would have to assume

the non-English speaking students relied on Mr. Ung Ty’s

representations, a person who was paid $200 per head for each

14. Supplemental declarations by persons who provided declarations previously will be distinguished with a "II."

15. The memo on which NTC relies only states, "Whatever other problems may. exist at National Technical College, intentional recruitment for the purpose of early drop out is not one of them." (Posell decl. Ex. A [emphasis added].)

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student he recruited, and that NTC was fully responsible for Mr.

Ung Ty’s misrepresentations. (Steeves’ decl.~3, 6; Ex. 2)

NTC promised classes taught in Spanish with Spanish

materials, but did not fulfill its promise. Sofia Bidny

promised the Spanish speaking dental technician students that NTC

wouldtranslate or obtain a translation of the Jelenko book for

the class, but NTC never provided the translation; translation of

a folder of materials with pictures into Spanish was never

completed; and when a Spanish-speaking~teacher quit, the school

did not hire another Spanish-speaking teacher to teach that

class. (Hernandez depo. 70:10-23; 76:10-77:3; see also Morales

II decl. ~i [When the Spanish-speaking teacher left in the middle

of the course, Bidny told students the course would be taught in

English].) ~

NTC claims it no longer offers foreign language courses.

The evidence shows it never did; it only promised to. Now NTC

promises Spanish-speaking students that they will learn enough

English in their first month of classes so that they will be able

to succeed in a course of Dental Technology, although the course

is given completely in English. (Zevallos decl. 44 (a student

who enrolled in March, 1989 and dropped out in August, 1989

because of defendants’ deceptive and unfair conduct.))~!

16. NTC suggests that declarant Toomes’ complaint about instruction in Spanish when the plaintiff alleges Spanish instruction was not offered is an irony that escaped the Attorney General. On the contrary, the Attorney General is interested in ascertaining truth although it seems contradictory. Moreover, unless NTC represented that he would be placed in a bilingual class, Mr. Toomes’ concern about being in a class where he could not understand the teacher because the teacher spoke Spanish part of the time is the other side of the coin of the Spanish-speaking

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5. Supplies and Equipment Are Inadequate

In its opposition, NTC contends that supplies are available

and not inappropriately withheld, based on declarations by four

current instructors, Gomez, Mayfield, Denolo, and Sgobba. When

the temporary restraining order was filed, declarant Gomez had

worked at NTC less than a month, Mayfield, for less than five

months, and Denolo, less than a year. (Mayfield decl. ~4; Gomez

decl. ~i; Denolo decl. ~i.) Even with this inexperience, the

declarants reveal a variety of problems with supplies and

equipment. Their testimony that the problems have been cured is

belied by the observations of recent students.

Coordinator Sgobba admits that dental lab technician

students do not receive their books until they are "fully funded"

(Sgobba decl. ~6; see also Thomas decl. ~6), and he has been

requested by the owners not to order additional motors and

grinders for the dental laboratory class "unless there are

complaints" and he finds an actual need. (Sgobba decl. ~7.)

Sgobba also admits that there are occasional delays in obtaining

equipment from suppliers and occasions where supplies have not

been available because of a miscalculation of the amount needed

or a shortage at the supply house. (Sgobba decl. 45.) He does

not offer any foundation based on personal knowledge of these

reasons for delays.

Gomez, a medical assistant instructor acknowledges that some

students do not get their books until they are funded and in the

student who is placed in a class with English-speaking students when he has been promised classes in Spanish.

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meantime are given photocopied materials. (Gomez decl. ~7.)I~!

Declarant Denolo, the coordinator for the computer repair

courses, began work at NTC several months after the computer

repair course began. (Denolo decl. 41; see Bidny decl. ~i0-

Ii.) He found problems with students receiving their books and

supplies, and although there were 24 computers on campus, 14

needed to be up-dated. (Denolo decl. ~7-8.) Up-dating took

place approximately three months after his recommendation was

made. (Id.) Apparently in July, 1988, Denolo recommended

acquiring an additional 24 computers which were not obtained

until December 1988 or January 1989. (Denolo decl. ~8.)

Finally, after this lawsuit was filed, in August 1989, Denolo

arranged for 14 more of the computers to be updated. (Id.)

Notwithstanding the statements of the@e declarants who are

currently on NTC’s payroll, the problem of inadequate supplies

and equipment continues to plague the school. A recent computer

repair student testified that although computers were in a nearby

classroom, they were not for use by the computer repair class and

the students and teacher moved them into the computer repair

classroom each day, until that teacher became frustrated and

left. (Calloway depo. 85:10-87:5.) Calloway also testified that

whenever students asked Mr. Denolo when they were going to get

computers, again and again his response was: "Oh! you haven’t

received computers yet?" (Calloway depo. 85:10-87:5.)

17. Although Gomez states that in the past there have been problems with students taking books and equipment before their tuition was paid and quitting school, that statement is apparently made without any personal knowledge because she was not then employed by NTC. (Gomez decl. ~7)

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As recently as September i, 1989, computer repair student Donald

Lamb testified that the school had yet to provide computers so

that the computer repair class could practice disassembling and

repairing. (Lamb depo. 24:25-26:19.) His testimony is

uncontradicted.

Mayfield, the coordinator for the security guard program

claims the program improved dramatically after he arrived in

February 1989. (Mayfield decl. ~8.) The book still used is the

same one student declarants testified they finally received but

the teacher never used. (See, e.g., Depos. of Kelley 12:13-

13:1; Evernham 92:7-19; Faircloth 58:14-59:7.)

NTC provides no declaration with respect to the word

processing program. Sergio Castro, who served as NTC’s

coordinator of medical word Processing, word processing, and

medical assisting from 1986 until September, 1989, testified that

NTC is still using the earliest version of the Wordstar computer

program ( a 2.0 or 2.1 leve! program), although Wordstar is

available in a much more advanced program, 5.0. (Castro depo.

143:22-145:10; see also Thomas decl. ~3.) Because NTC did not

provide software, Castro and the other instructors sometimes

brought in their own software for the students to use. (Id.)

Notably, to the extent NTC’s declarants claim the supplies

and equipment are "adequate," they fail to identify the factual

basis for their conclusion. The "expert" witnesses do not have

expertise in the particular courses of study to tell if equipment

is adequate. (Decls. of Frank ¶¶2-3 [a dentist, not a dental

technician]; Jackson ~¶i-3 [Bidny’s employee who has a degree in

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biology and reading]; Hanrahan ~2 [unspecified educational

background; ex-politician, ex-political appointee, current

industry lobbyist]; Bidna ~2 [degrees in history and education;

professor of education].) There is no description of what

computer programs are in use, how many computers are available

for the word processing and computer repair classes, what model

of typewriters are being used, or how many computers are

available in comparison to the number of students in the computer

class. Only Mr. Sgobba indicates a specific amount of equipment

in relation to the numbers of students, and he states that there

are fewer grinders and motors than there are students. (Sgobba

decl. ~7.)

Former employees Moore, Hernandez, Castro, Longo, and Thomas

have all offered evidence of continuing difficulties of obtaining

adequate supplies and equipment from Sofia and Anatoly Bidny.--18;

(Moore decl. ~21-24; Castro depo. 143:22-145:10; Thomas decl.

~3-4; Longo decl. ~17-18.) Sofia Bidny, for example,

instructed Ms. Hernandez to demand that students who dropped out

return their used dental kits, even if they had paid their

tuition; Mrs. Bidny further instructed Ms. Hernandez to clean up

the used dental tool kits and give them to new students who had

been funded. (Hernandez depo. 39:18-42:16.)

Although pressure from students, teachers, administrators,

18. Dental assistant students at the Los Angeles campus were put into the dental lab technician class and the dental assistant class was never stated. (Castro depo. 107:14-108:9; Longo decl. ~20.) The dental assistant students at North Hollywood never had an adequately equipped X-ray room in which to practice. (Castro depo. 111:23-113:21; Moore decl. ~21.)

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the accrediting associations, and this lawsuit may have forced

NTC to invest additional funds in supplies and equipment,, there

is ample evidence that the lack of adequate, up-to-date and

usable equipment and supplies is a major problem.

6. The Externship Proqram is Not as Cla~med

NTC apparently contends the externship program required as a

part’of the medical word processing and medical assisting courses

is adequate to prepare students for high paying jobs. As an

example, NTC cites the testimony of Wanda Gledhill, a medical

word processing student who was placed for an externship with a

trucking company. (Gledhill decl. ~7.) Ms. Gledhill testified

that she told the job placement person at NTC that she did not

feel that she was doing any of the work that she was trained to

do, she was not working on a computer and she was not doing any

typing. She only did a little filing, answered the telephones,

and did accounting for only one day until her employer told her

to stop because she made a mistake. (Gledhill depo. 115:16-

116:2.) The placement director told her that the employer was

satisfied so not to worry about it. (Gledhill depo. 120:2-10;

see also Dolinski decl. ~2-4 [NTC medical externs do not do lab

work, give injections, or draw blood]; cf. Varela decl. ~2, Ex.l

[Medical Assisting Externship Objectives include doing lab tests

and giving injections.) Although an externship is required, and

does not cost the employer anything, a former placement director

testified that he was able to place only 50% to 60% of the

students in an unpaid externship. (0pp. p. 30.) In other words,

40% to 50% of the students did not finish a one-month requirement

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of a seven.and one half month course. (See Coleman decl. ~5.)

In addition to the declarations of two former placement

directors who were instructed to falsify records or obtain

waivers of placement by paying the students (Memo p. 50), the

medical word processing coordinator, Mr. Castro, testified that

he falsified documents at the Bidny’s instruction, to make it

appear that individuals had completed an externship when in fact

no such externship existed. (Castro depo. 37:5-39:14, 41:21-

44:22.)

C. Defendants Misrepresent Numerous Other Aspects Of the Services Offered

i. NTC’s Deceptive "Stipend" Policy

A "stipend" is "a regular allowance paid to defray living

expenses, especially a sum paid to a student under the terms of a

fellowship or scholarship." (Webster’s Third Int. Dict.,

p.2245.) NTC’s so-called "stipend," however, is nothing more

than NTC’s disbursement of the student’s own loan funds according

to a schedule that NTC unilaterally sets. NTC never discloses

that the student can obtain funds directly from the lender in

amounts larger than $i00.~!

NTC induces students to apply for up to $4,000 under the

federal Supplemental Loans to Students program. Funds borrowed

by a student must be payable to the student and delivered

directly to the student. (20 U.S.C. §i078-i(b)(4); 20 U.S.C.

§1078(b)(1)(N).) Such funds are to be disbursed directly by the

19. NTC does not deny that some students are promised but do not receive stipends.

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lender in two or more installments. (20 U.S.C. §1078(b)(I)(O).)

The lender is not authorized to deliver the funds to the school

rather than the student.

NTC does not disclose to students in its "Funds Disbursement

Authorization" form or elsewhere that the students have the

choice of taking their loans, earning interest on the loan

proceeds, and budgeting their own expenses. NTC does not

disclose that the money belongs to the student and that the

student does not have to leave it with the school to be paid in

$100 increments. (Montgomery decl. ~15, Ex. A.) NTC of course

benefits both from the inducement of $100 weekly payments to keep

students in school for 50% of the course until NTC can collect

the full tuition and from the interest NTC can earn on the

student’s loan funds without their knowing consent.

In any event, defendants cannot reasonably object to the

injunctive provision plaintiff seeks. Paragraph 8 of the

requested injunction merely requires that the defendants make

full disclosure regarding the nature of the student’s loan

obligation and disbursement alternatives.

2. NTCMisrepresents That the Government Will Pay for the Course

Although most students may later learn that they must pay

back part of the cost of the course, the initial representations

do not make that clear. For example, NTC’s door knob hang-tag

advertisements proclaim:

"We will place you into a FEDERALLY-FUNDED PROGRAM

that trains and assists in placing people in the

SECURITY GUARD, COMPUTER, MEDICAL, DENTAL, and WORD

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PROCESSING industries ....

"If you are ACCEPTED we can help you find work and

if you qualify you can RECEIVE supplemental MONEY up

$100 per week while you are in the program." (Smith

decl. ~ii, Ex.2.)

3. NTC Illeqally Obtains Pell Grant Funds for Its Security Guard Course

Offering no competent evidence or legal authority, NTC

represents that its disbursal of Pell grants to security guard

students for a course of 300 class hours is in compliance with

federal regulations. (Opp. p.36.) NTC is mistaken. Only

institutions of higher education are eligible to participate in

the Pell grant program. (34 CFR §690.7.) An institution of

higher education is defined as "a public or private, non profit

or proprietary instituti6n of higher education or a post

secondary vocational institution." (34 CFR §690.2.) To qualify

as a proprietary institution of higher education or a post

secondary vocational institution, a school must provide "at least

a six-month training program .... " (34 CFR §600.5(a)(5); 34

CFR §600.6(a)(4).) A six-month training program is defined as a

program that consists of at least 600 clock hours of supervised

training. (34 CFR §600.2.) NTC offers no explanation for its

continued use of Pell grants for its ineligible 300-hour security

guard program. (Opp. p. 36.)~!

4. NTC Admits Students Who Do Not Have the

20. NTC does not refute allegations that NTC entered false information on the applications for federal student assistance. (See Memo. p. 44; see additional corroborating evidence in Cartwright decl. ¶2.)

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Ability to Benefit from the Courses

NTC claims to monitor the ability-to-benefit tests required

by federal law, but offers no evidence by anyone with personal

knowledge of monitoring procedures. (see Opp. p. 35.) The

evidence is overwhelming that NTC routinely falsifies ability to

benefit tests and gives them under conditions that permit persons

who do not have the ability to benefit to pass. (Hernandez depo.

16:8-17:18; 18:21-20:10; 21:16-22:4; 105:2-106:1; Moore decl.

~16; Kelley II decl. ~3; Zevallos decl. ~6-7.)

5. NTCMisrepresents that Students are "In Luck" Because a Class Is Just Startinq

Defendants misrepresent that students are "in luck" because

a class is just beginning. (Memo p. 45.) The statement implies

that the beginning of a new class is a special or at least not a

regular e4ent and that students are lucky to have applied at an

opportune moment when a class is starting. In fact, defendants

admit that they have classes beginning all of the time. (0pp. p.

43.) Consequently, a student is not lucky to find a class

opening.

More significantly, a student is not "in luck" because the

introduction of new students into NTC’s classes is unduly

disruptive to the learning process. NTC offers expert opinion on

the sound educational basis for the concept of modular

instruction. (Id.) Plaintiff does not attack the concept of

modular instruction but the way the concept is applied at NTC.

NTC’s experts have no personal knowledge of how NTC’s modular

concept works. (See Jackson decl. ~¶10-ii; Hanrahan decl. ~15.)

NTC does not offer any evidence to refute the testimony of

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student declarants about the enormous amount of time spent

waiting for others to catch up under NTC’s system of weekly, or

even daily, starts. (Memo p.45.)

If the classes were truly taught as modules, instruction in

one module would not be based on education or training in any

past module. But, the testimony of the students--undisputed by

NTC--is that teachers had to repeat past instruction in order for

newly enrolled students to catch up. Consequently, NTC’s classes

were not properly taught, students were not enrolled at the

beginning of a module or sequence of instruction, the classes

were not properly divided into modules, or some or all of the

above. In any event, a student falling into this educational

morass is hardly "in luck."

6. NTC Does Not Clearly Disclose Its Refund Policy

NTC does not deny that its refund policy is not made

available for non-English speaking students in any language other

than English. Although Kujawa claims that the students are fully

apprised of the refund policy, the admissions representative, Ron

Benton made no effort to explain it to Ray Esquivel until Mr.

Esquivel expressed his reluctance at signing the contract.

(Esquivel decl. ~22.) Then Benton used it to convince him that

it didn’t matter if he signed, he could still get out of the

contract later. (Id.) Benton was so unfamiliar with the refund

policy that he could not find it on the enrollment agreement.

(Id.; see also Zevallos decl. ~9 [told within first month of

seven and one half month program that he would probably have to

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pay for the whole course if he quit].)~!

7. NTC Falsely Represented That Certain Courses Were Available

NTC does not deny that it has represented that certain

courses are available when in fact they were not. (See Memo p.

45.) Indeed, NTC appears to admit that it does not offer a

dental laboratory technology course in porcelain. (See Bidny

decl. ~8; Sgobba decl. ~4 ; see also Khair decl. ~6,8.)~!

II

WITNESS CREDIBILITY

A. Anatoly Bidny Cannot Be Believed

The evidence shows that the Bidnys have adopted mendacity as

a business practice to cover up their illegal conduct. For

example, Mr. Bidny declares that NTC does not place

advertisements in the "help wanted’ column of the classified

advertisements. (Bidny decl. ~22.) Yet, the evidence is clear

that Anatoly and/or Sofia Bidny approved placing advertisements

in the "help wanted" column to attract students.~! (Moore decl.

21. Indeed, Bidny himself claims the written refund policy allows cancellation with no obligation during the first week of school, but the written refund policy in the NTC enrollment agreement states that the student "shall" be charged 10% of the contract price plus a $100 registration fee, up to $350, if the student terminates training in the first week of class. (Bidny decl. ~20; see Zevallos decl. ~9, Ex.2.)

22. Bidny’s refusal to allow the teaching of dental porcelain as part of the dental technology course explains why Paul Sgobba, the dental technology coordinator, secretively taught porcelain. (Toomes depo. 48:15-49:20.)

23. Bidny declares that he is aware of an "advertisement" improperly placed by Mike Wheeler in the Daily News and that Mr. Wheeler accepted all responsibility for "the advertisement." (Bidny decl. §23b, Ex. I.) NTC placed numerous ads in the Daily News before and after Wheeler’s departure. (Simmons decl. ~4,

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~2-4; see Simmons decl. ~4, Ex. 2; Longo decl. 4~9-i0, 13.)

Moreover, employees at NTC’s Los Angeles and North Hollywood

schools have offered the following evidence of the efforts of

both of the Bidnys to cover up NTC’s violations of law and breach

of accrediting standards through the falsification of documents,

misrepresentation, and intimidation:

I. Anatoly and/or Sofia Bidny instructed employees to

remove files to conceal from the accrediting commission the high

number of student drop outs. (Reply p.12.)

2. Anatoly and/or Sofia Bidny instructed employees to

falsify ability-to-benefit tests, health clearances, placement

records, externship records, and other student documents or to

insert false information on financial aid forms. (Hernandez

depo. 25:14-32:5, 72:21-74:22; Moore decl. 416; Castro depo.

37:5-39:5; 41:21-45:9; Robinson decl. 4¶4-5.)

3. Mr. Bidny frightened students and employees, and some

related threats he or his administrators made against those who

cross him. (Smith decl. ~6; Hernandez depo. 78:3-80:17; Moore

decl. ~25; Kelley depo. 68:14-70:7; Rockford decl. ~5-6.)

In addition, plaintiff has received complaints of NTC’s

misconduct even in the course of this litigation: one of NTC’s

process servers misrepresented that he was from the District

Attorney’s office and two other people complained of harassing

and annoying contacts. (Patchett decl. ¶2; see Simmons decl. ¶9,

Ex. 8; Reiter decl. ¶8, Ex. 5.)

B. Plaintiff’s Witnesses Are Credible and Provide

Ex. 2.)

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Cumulative Evidence of Defendants’ Wronqdoinq

NTC attacks the credibility of its former administrators, Ed

Longo and George James, because they had been convicted of

felonies,k! NTC also attacks the credibility of Arlene Robinson

with the misleading assertion that she was restrained by court

order from harassing NTC.~! (Opp. p. 45.)

The credibility of these witnesses is evidenced by the

corroborative testimony of many other witnesses. (See, e.g.,

Decls. of Moore, Khair, Tolbert, Rockford; Depos. of Hernandez,

Castro.) In addition, plaintiff has lodged with the court the

depositions of Moore, Longo, Robinson, and ~other witnesses whose

credibility NTC has criticized so that the court may, if it

chooses, evaluate their credibility. Significantly, Anatoly

Bidny was present during many conversations about which these

declarants offered evidence, yet he has not denied or

contradicted their declarations.

NTC, for lack of a defense on the merits, has also attacked

the Attorney General’s office by alleging that this office has

24. George James was a convicted felon on probation when Bidny hired him. .(James depo. 258:13-259:14.) Bidny hired Ed Longo to administer NTC even though Longo had just departed a lucrative position at the bank where the Bidnys were his customers, admittedly knew nothing about administering a vocational schoolt and received a much lower salary at NTC than he had earned at the bank. (Longo depo. 155:18-156:2.).

25. In reality, Mr. Bidny asked Mr. Moore to fire her and to falsify documents in her personnel file to justify the firing. (Moore decl. ~12.) Then, Bidny claimed that she was meeting with students and coming to the NTC campus; so, Bidny asked Moore to obtain a restraining order keep her away. (Id.) There is no evidence that any NTC representative appeared at the hearing or ever obtained the restraining order. (Id.; Robinson depo. 222:3- 12.)

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sought to create student discontent and build its case with

untruthful material. The facts are that:

i. Many NTC victims contacted the Attorney General or other

entities seeking help.--26!

2. The Attorney General advised declarants to read their

declarations and correct any errors.-

3. Declarants corrected slight inaccuracies in their

declarations.

4. The Attorney General specifically told declarants to

tell the truth during their depositions.~!

NTC’s wild and desperate assertions of impropriety find no

support in the record,m!

26. Hull depo. 14:17-15:9; Calloway depo. 17:14-24, 19:6- 23; Gledhill depo. 126:16-127:18 (contacted accrediting agency); Lamb 15:10-16:8; Toomes 17:15-22, 21:7-17; Johnson depo. Dassim (e.g., 65:11-18)

27. E.g., Hull depo. 50:14-19; Price depo. 6:7-15

28. E.g., Toomes depo. e.g., 27:21-23; Johnson depo. e.g., 24:9-13; Lamb depo. 8:13-19; Hull depo. 51:5-16, 51:23- 52:1; Morales depo. 78:15-18.

29. E.g., Toomes depo. 31:4-32:1; Johnson depo. 22:18- 20; Hull depo. 55:16-20; Kelley depo. 8:22-9:3; Gledhill depo. 16:2-6, 44:13-14; Lamb depo. 7:19-25.

30. As an example of NTC’s unsupported charges, NTC falsely asserts without citation, that "some" declarants testified that "glaring inaccuracies" in their declarations were called to the attention of the Deputy Attorney General or her assistants before this case was filed.

NTC mentions, again without citation to the record, George James testified that he told the Attorney General’s office of an error "upon reading" his draft declaration. NTC states that the mistaken phrase in his declaration regarding Mr. Bidny’s offer to James of a salary advance "became the basis of a persistent drumbeat by the Deputy Attorney General that Mr. Bidny was attempting to buy off witnesses."

Plaintiff invites the Court to review James’ deposition transcript, Plaintiff’s memo, and Ms. Simmons’ declaration II.

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III

PLAINTIFF IS ENTITLED TO T~W. RELIEF SOUGHT

Plaintiff Is Entitled To Obtain Restitution For Student Victims

1. The Business And Professions Code And The Court’s Equitable Powers Each Provides An Independent Basis For Restitution

Business and Professions Code sections 17535 and

17203~l, provide that the "court may make such orders . . . [as]

may be necessary to restore to any person in interest any money

or property, real or personal, which may have been acquired by

means of" acts of unfair competition or misleading advertising,

respectively. These sections codify the court’s inherent equity

powers to order restitution. (People v. SuDerior Court {Jayhill)

(1973) 9 Cal.3d 283, 287 n.l. ["a court of equity may exercise

the’full range of its inherent powers in order to accomplish

They reveal that-- - Plaintiff never referred to the erroneous phrase, "offered

me two weeks pay in advance", in any of its moving papers. (See James depo. 36:20-37:16.)

- James told Ms. Reiter about the error the night before his deposition. (James depo. 35:3-6, 36:15-37:16, 309:7-20.) Bidny offered him a job out of state, and if he did not want that, a job locally, but it was not true that Bidny offered to give him two weeks pay in advance. (James depo. 37:23-38:16.)

- Ms. Reiter.told James to let the NTC attorney know about the error the following day in his deposition. (James depo. 43:3-7.)

- James believed he told Ms. Simmons of the error at an earlier date, but did not know when exactly. He estimated it may have been in the first two weeks of June, perhaps the last of May, or perhaps as late as June 20. (James depo. 50:2-17, 54:12- 20, 286:12-287:23.)

- Ms. Simmons did not talk to Mr. James until after NTC had served plaintiff with a notice to take Mr. James’s deposition, after July. (Simmons II decl. 47.)

31. All code references are to the Business and Professions Code unless otherwise noted.

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complete justice between the parties, restoring if necessary the

status quo ante as nearly as may be achieved. [Citations~]" Id.

at 286.) The restitution remedy is designed not only to restore

the status quo, compensating those subjected to unlawful acts,

but to deter wrongdoing by compelling disgorgement of improperly

obtained money. (Fletcher v. Security Pacific National Bank

(1979) 23 Cal.3d 442, 450.)

Defendants’ argument in opposition to this clear mandate is

limited to a footnote quoting section 17535. The accompanying

text asserts plaintiff has failed to identify those funds

obtained by defendants’ wrongful acts and has failed to restrict

application of the preliminary injunction only to those illegally

obtained funds. (Opp. p. 60.) Defendants’ argument, for which

they cite no authority, therefore appears to ~e that restitution

(and any order necessary to protect assets to ensure restitution

can be paid) must be limited to funds specifically proven to have

been illegally obtained. The Supreme Court, however, has clearly

rejected this position:

"Contrary to defendant’s assertion, section 17535 authorizes

restitution not only of any money which has been acquired by

means of an illegal practice, but further, permits an order

of restitution of any money which a trial court finds "may

have been acquired by means of any . . . [illegal]

practice.’" (Fletcher, 23 Cal.3d at 450-451; italics in

original.)

Thus a court may order restitution even without

"individualized proof of deception, reliance, and injury . ."

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(Committee on Children’s Television, Inc. v. General Foods Cor~.

(1983) 35 Cal.3d 197, 211; accord, People v. Toomey (1985) 157

Cal.App.3d I, 25.) There is in this case substantial evidence

that defendants’ entire operation is fraught with deception and

unfair dealing, and is conducted in violation of Education Code

provisions regulating the offer of postsecondary courses.~! The

extensive use of misleading advertising offering jobs (Reply pp.

7-11) and the failure of NTC to provide the training promised

(Reply pp. 19-28) are but two examples of the wrongdoing that

permeate defendants’ operations.

2. Education Code Section 94321 Provides A Separate Basis For Restitution

a. Plaintiff ~as Shown Willful Violations Of Prohibited Practices

Education Code section 94321 prohibits, among other acts,

promises of employment and misrepresentations in connection with

the offering or publicizing of a course. An institution

willfully violating the section’s provisions may not enforce any

contract arising from a transaction in which the violation

occurred, and shall refund any tuition or fees collected. (Ed.

C. § 94321.) The statute does not specifically define "willful"

violation.

NTC contends that a "willful" violation requires proof of

intent to violate the law and knowledge of.the wrongfulness of

the acts complained of. (Opp. p.49, ii. 3-6.) Defendants’

definition, however, is at odds with the common definition of

32. The requested injunctive provisions relating to defendants’ assets are applicable only to those funds derived or obtained from the sale of courses of postsecondary instruction.

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"willful" which "implies simply a~purpose or willingness to

commit the act or make the omission referred to. It doesnot

require any intent to violate law, or to injure another, . . ."

(Pen. C. § 7(1).)

The Penal Code definition has been adopted "in reference to

prohibitions and regulations in other codes created under the

state’s police power." (Pittenqer v. Collection Aqency

Licensinq Bureau (1962) 208 Cal.App.2d 585, 588.) That

definition, therefore, should be used. Furthermore, violation

of Education Code section 94321 has a criminal sanction (Ed. C,

§ 94336), and it would be absurd to construe the "willful"

element less stringently in a criminal than civil case. In

People v. Mort (1983) 140 Cal.App.3d 394, the court applied the

Penal Code definition~o the word "willfully" as used in Civil

Code section 1812.217, a consumer protection statute punishable

as a felony. (Id. at 402.) The definition set forth in the

Penal Code should apply here.

Defendants, however, would have the court apply a

definition found in the Health and Safety Code, or one developed

in cases relating to insurance coverage. Health and Safety Code

section 1290(d), cited by defendants, contains a definition

which is expressly limited to that section.L! Such a desperate

reach is unnecessary and is clearly not appropriate.

33. Plaintiff does not concede that the definition set forth in the Health and Safety Code section cited by defendants would require a different showing than has been made by plaintiff in this case. The definition is, however, simply not relevant here. Plaintiff could just as easily point to Civil Code section 2941.5 which adopts for the purpose of that section the Penal Code definition of "willful."

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The unique use of "willful" in Insurance Code section 533,

erroneously cited by defendants, was developed for public.policy

reasons to delimit the scope of insurance coverage so that

serious wrongdoers acting with a "preconceived design to inflict

injury" could not shift the economic consequences of their

intentional misconduct to an insurer. (E.g., United States Fid.

& Guar. Co. v. American Employers’ Ins. Co. (1984) 159

Cal.App.3d 277, 286.) The term "willful" was developed to

prevent insurance from being misused to foster unlawful conduct.

(See, e.g., Tomerlin v. Canadian Indemnity Co. (1964) 61 Cal.2d

638, 648.) The specialized nature of Insurance Code section 533

is clearly inapposite to this case.

The appropriate definition of "willful" is therefore a

"purpose or willingness to commit the act, or make the

omission.~ (Pen. C. § 7(1)). Neither an intent to violate the

law nor knowledge of the unlawfulness of the act is required.

(Id.; People v. Mott, supra, 140 Cal.App.3d 394, 403.)

In this case, the evidence described in Sections I and II

and in plaintiff’s Memo shows defendants either knew of and

failed to halt unlawful practices, or actively participated in

them. It is sufficient that such acts have been done willingly

and intentionally; plaintiff need not make an additional showing

that defendants acted with an evil purpose or with knowledge

they were violating the law.

b. Defendants’ Willful Violations of Education Code Section 94321 Require Refunds to NTC’s Students

Education Code section 94321 requires restitution:

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"Any institution willfully violating any provisions

of this section shall be unable to enforce any contract

or agreement arising from the transaction in which the

violation occurred . . . In addition, in the event of

such violation, the institution shall refund to the

student any tuition or fees that have been collected

from the student." (Ed. C. § 94321.)

The statute applies when a contract arises from a transaction in

which a willful violation of section 94321 occurs.

Defendants, however, would add another element to the plain

language of this statute; they assert a refund is available only

where a student’s enrollment "was improperly induced by a

violation of this section." (Opp. p. 51, ii. 17-19; emphasis

added.) The statute, however, does not require~that the

contract be induced by the violation. The statute requires only

that the contract arise from the transaction in which the

violation occurred. The statute imposes no element of reliance

or of causal connection between the contract and the violation.

B. The Requested Provisions of the Prel~m~nar~. Injunction Affectinq Defendants’ Assets Are Both Necessary And Appropriate

i. The Relief Souqht Is Required Under Government Code Section 12527

Government Code section 12527 mandates that where a court

finds a reasonable probability of the Attorney General’s

prevailing at trial in establishing the defendant obtained

property by unlawful means, "the court shall issue any necessary

orders to assure that the defendant does not transfer or

encumber any property which may be used to satisfy a judgment in

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the action." (Gov. C. S 12527; emphasis added.)_ Plaintiff has

established a likelihood of prevailing on the merits withregard

to the violations alleged. Plaintiff has also shown that

defendants received huge sums of money as tuition for the

inadequate training provided by NTC, from students who responded

to misleading advertisements and job promises, in violation of

sections 17200, 17500 and Education Code section 94321.

Government Code section 12527 requires no more.

Defendants, however, argue that this section does not

authorize a freeze on whatever assets might be used to satisfy a

judgment but only that specific property obtained by wrongful

means.~I Section 12527, though, does not limit its reach to the

property wrongfully obtained, but explicitly provides that any

property that could be used to satisfy a judgment is subject to

the court’s orders. Further, the statute does not limit the sort

of monetary remedies that might be included in a judgment, so

that orders could issue pursuant to Government Code section

12527 to protect property to satisfy a judgment for civil

penalties, as well as for restitution.

2. Where Restitution Is Available, An Order To Preserve Defendants’ Assets May Issue

This court has the authority to issue the orders requested

by plaintiff to ensure preservation of defendants’ assets

obtained by selling postsecondary courses. The court is not

34. Defendants’ argument is not entirely clear. Insofar as they argue the.injunction sought is inappropriate because the amount of potential liability has not been shown, that contention is dealt with below.

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limited to enjoining use of only those specific funds proven to

be illegally obtained. Rather, the court may grant such

provisional relief as may be necessary to assure the efficacy of

those equitable remedies necessary to accomplish complete

justice. In particular, where restitution is an available

remedy, freezing of assets by a preliminary injunction is an

appropriate remedy, within the authority of the court. (F.T.C.

v. H. N. Sinqer, Inc. (gth Cir. 1982) 668 F.2d 1107, 1112.)

3. A Constructive Trust Should Be Tmposed On Defendants’ Assets

Defendants contend there is no basis for a constructive

trust, arguing that plaintiff has no standing, and a

constructive trust is not a provisional remedy. The argument is

conclusory and cites no authority; it is therefore difficult to

respond, particularly since this case clearly fits within the

conditions for a constructive trust set forth in Civil Code

sections 2223 and 2224. Those sections provide that one who

wrongfully detains a thing or who gains a thing by a wrongful

act, is an involuntary trustee for the benefit of the-person who

would otherwise have had the property. These are the only

conditions necessary to create a constructive trust and are to

be viewed as "general principles for a court’s guidance rather

than restrictive rules." (Martin v. Kehl (1983) 145 Ca1.App.3d

228, 237.)

Perhaps by asserting a lack of standing defendants refer to

the fact that the constructive trust in this case would be one

for the benefit of persons who are not parties to this action.

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If so, defendants are mistaken. There is no requirement that

those who would benefit from the constructive trust be parties

to the action. (See, e.g., Decorative Carpets, Inc. v. State

Board of Equalization (1962) 58 Cal.2d 252, 255 and cases cited

therein [court impressed a constructive trust on behalf of

members of the public at request of state agency].)

Defendants’ second contention, that a constructive trust is

not a provisional remedy, is also without merit. A finding of a

constructive trust is not the remedy itself; it simply serves as

a basis for the injunctive relief plaintiff seeks. The

availability of restitution and the provisions of Education Code

section 94321 are other, independent bases for the preliminary

injunction requested.

The purpose of a constructive trust "is to prevent unjust

enrichment and to prevent a person from taking advantage of his

own wrongdoing." (Martin v. Kehl, supra, 145 Cal.App.3d 228,

237.) A "constructive trust may be imposed in practically any

case where there is a wrongful acquisition or detention of

property . ." (Weiss v. March (1975) 51 Cal.App.3d 590, 600.)

No reason whatsoever appears why a constructive trust should not

be found in this case.

4. There Is An Adequate Record On Which To Base An Estimate Of Defendants’ Potential Liability

NTC is potentially liable for restitution and a civil

penalty. Plaintiff may obtain an award of restitution even

without individualized proof of deception or injury, as set

forth in section A.I. above. Because defendants’ business is

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permeated with.deception, and unlawful practices are standard

procedure, restitution may be available to all students. -(E.g.,

People v. Toomey, supra, 157 Cal.App.3d i, 26.)

Defendants will also be liable for civil penalties. Section

17536 provides for civil penalties not to exceed $2,500 for each

violation of section 17500 (prohibiting false or misleading

advertising); section 17206 makes the same provision for acts of

unfair competition as defined in section 17200. The civil

penalties are cumulative. (§§17205, 17534.5.) The imposition

of some civil penalty is mandatory for each violation committed,

and not just for each type of violation, or each cause of

action. (People v._ Custom Craft Carpets, Inc. (1984) 159

Cal.App.3d 676, 686; People v. National Association of Realtors

(1984) 155 Cal.App.3d 578, 585.) The number of violations is

measured by the number of people who were solicited by a

misrepresentation or who were the victims of an act of unfair

competition. (See People v. Superior Court IJayhill), suDra, 9

Cal.3d at 289; People v. National Association of Realtors,

suDra, 155 Cal.App.3d at 586.)

Clearly, plaintiff is not in a position at this early stage

to prove defendants’ ultimate liability. However, the analysis

of just one aspect of defendants’ misconduct, their advertising

to recruit students, demonstrates a likelihood of an award of

high civil penalties. First, defendants’ advertisements falsely

promised high-paying jobs (see Reply pp. 5-9, 10-12, 15), in

violation of section 17500. Defendants also made promises of

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employment, in violation of Education Code section 94321.~! The

misrepresentations are subject to penalties of $2,500 per.

violation (i.e., per person solicited) under section 17536, and

the violations of Education Code section 94321 are subject to

penalties in an identical amount under section 17206. Although

plaintiff does not yet know the number of advertisements run, or

the circulation of the papers in which they ran (factors cited

in People v. Superior Court (Olson) (1979) 96 Cal.App.3d 181,

198), we do know that defendants enrolled over 4,000 students,

and received in excess of $6,000,000 in tuition. (See Reply pp.

1-2.) The total number solicited by the advertisements is

obviously much higher, but using only the 4,000 figure as the

number of violations, and a very minimal penalty figure per

violation under sections 17206 and section 17536, total

penalties would be substantial.

The potential civil penalty coupled with the amount of

restitution that the defendants could be ordered to pay amount

to a multi-million dollar liability. Government Code section

12527 is specifically designed to preserve sufficient assets to

assure that a final judgment is not worthless paper but can be

meaningfully enforced to provide restitution to victims and real

35. The relationship between Education Code section 94321 and section 17200 is quite clear; defendants’ assertion that violation of the Education Code should not be considered a violation of section 17200 or 17500 is simply wrong. Any unlawful practice (such as violation of Education Code section 94321) is an unfair practice for purposes of section 17206. (People v. McKale (1979) 25 Cal.3d 626, 632-633.) Further, any act of false or misleading advertising is a violation of section 17500, even if such activity also happens to violate another statute.

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deterrence and monetary sanction in the form of

defendant actually has to pay.

5. A Sufficient Showinq Concerninq Possible Dissipation Of Assets Has Been Made

a penalty that a

Defendants argue plaintiff has provided no evidence that

defendants would dissipate assets or that such assets need

protecting. (Opp. pp. 59-60.)3~! The provisions under which

plaintiff seeks protection of defendants’ assets do not,

however, require the showing demanded by defendants. Once the

Attorney General establishes the reasonable probability that a

defendant unlawfully obtained property, Government Code section

12527 requires that an order be issued to guard sufficient

assets to satisfy a judgment. The Legislature obviously did not

want to take any chances that a judgment in an action pursued by

the Attorney General might not be paid; consequently, the

statute does not require a demonstration of the imminence of

asset dissipation.

Indeed, the only definitive evidence of dissipation of

assets would be the actual withdrawal, transfer or concealment

of such assets; to require such a showing, however, would be to

defeat the purpose of a preliminary injunction. In any event,

whatever showing may be required under section 17203 or 17535,

or Education Code section 94321, has been made here. There is

no reason to believe the owners of the operation described in

36. Defendants also argue again that a preliminary injunction must be limited to only those funds "clearly identifiable" as proceeds from illegal activity. (0pp. p. 60, ii. 4-17.) That argument is dealt with in sections A.I. and B.I. above.

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the evidence presented by plaintiff would conserve or protect

any funds which might be needed to satisfy a judgment

benefitting students who defendants clearly view as mere

conduits for funds from federal loan and grant programs.

Further, there is evidence of large lump-sum payments to

individual defendants. On November 9 and 10, 1988, Anatoly

Bidnyreceiwed $645,000 from NTC. If much more evidence of that

sort is_required, there will be no assets left to protect.

Moreover, the court may prevent the spending of funds

subject to a constructive trust without any showing whatsoever

that there is a danger of dissipation because these funds do not

belong to the defendant. The defendant, therefore, has no right

to spend or encumber them.

C. The Prel~m~nar7 Injunction Requested Should Be Granted Because Defendants Retain the Ability To Enqaqe In Future Violations

Defendants’ contention that an injunction is available only

where there is clear evidence of threatened future harm and of

continuing violations is wrong. (Opp. p. 57, Ii. 5-7.) First,

plaintiff need make no showing of harm to obtain an injunction.

(See Memo, p. 76.) Second, plaintiff need not prove continuing

violations; an injunction may issue wherever the party retains

the means of continuing or repeating his wrongful acts.

(Department of Aqriculture v. Tide Oil Co. (1969) 269 Cal.App.2d

145, 150; Beneficial Corporation v. F.T.C. (3rd Cir. 1976) 542

F.2d 611, 617; Benrus Watch Company, Inc. v. F.T.C. (8th Cir.

1965) 352 F.2d 313, 322.)

So long as a defendant retains the ability to continue or

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repeat unlawful practices, an injunction is proper, even where

the defendant testifies the practices have been abandonedand

will not be resumed. (Department of Aqriculture v. Tide Oil

Co., supra, 269 Cal.App.2d at 150; Wood v. Peffer (1942) 55

Cal.App.2d 116, 124.) "It is the duty of the courts to beware

of efforts to defeat injunctive relief by protestations of

repentance and reform, . . ." (United States v. Oreqon Sate

Medical Society (1952) 343 U.S. 326, 333.)

Defendants in this case are fully capable of continuing or

resuming unlawful practices. Defendants are still operating and

thus have the ability to engage in the unlawful acts alleged in

the complaint. There is no reason whatsoever to believe

defendants will permanently cease to engage in unlawful conduct,

absent a court order to do so, when they have refused to d~ so

in the past. In fact, there are numerous examples of

defendants’ failure to change practices complained of by ABHES,

employees, and students. (See, e.g., Memo p. 34 [failed to halt

misrepresentations by outside recruiters after criticism by

ABHES]; Memo pp. 47-48 [failed to halt misleading advertising

and other practices pointed out by ABHES]; Memo p. 38 [falsified

placement records to satisfy ABHES]; Reply p. 10 [failed to

obtain state-required permits and bonds for outside recruiters,

despite promises to do so].) These examples, and the evidence

of serious, continuous violations of law over a period of

several years, clearly demonstrate with "reasonable certainty"

that the wrongful acts will be repeated.

The cases cited by defendants are irrelevant to this

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matter; they merely stand for the proposition that an injunction

has no application to completed wrongs. (Gold v. Los Anqeles

Democratic Leaque, (1975) 49 Cal.App.3d 365, 372-73 [the acts to

beenjoined were committed in connection with an election that

had taken place more than one year before and there was no

allegation of a threatened repetition]; McManus v. KPAL

Broadcastinq Corp. (1960) 182 Cal.App.2d 558, 563 [radio tower

plaintiff sought to enjoin had been completed even before

service of the order to show cause]; Palo Alto - Menlo Park

Yellow Cab Co., Inc. v. Santa Clara County Transit District

(1976) 65 Cal.App.3d 121, 130-31 [does not even involve issuance

of an injunction; modification of an existing permanent

injunction because damages could now be determined]; Sumitomo

Bank v. Taurus Development, Inc. (1986) 185 Cal~.App.3d 211 [no

allegation that defendant was engaging or would engage in

unlawful conduct; completed acts involving construction of a

condominium project and trustee’s foreclosure sale that followed

defendant’s default on a loan were not capable of repetition].)

These cases are in stark contrast to an action against

defendants who remain in business, who are fully capable of

continuing or repeating unlawful acts, and who have shown a

disregard for the law by operating in violation of the law over

a period of several years.~! Plaintiff seeks an injunction to

37. Defendants also allege some violations are "ancient history," occurring a year or more ago. This case was filed almost four months ago, and the investigation that led to the filing was necessarily lengthy. In law enforcement actions such as this one, there will always be a lag between the occurrence of the violations detailed in plaintiff’s declarations and a hearing on issuance of an injunction.

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prevent future violations, the very purpose of such relief.

The two law enforcement cases cited by defendants are

misstated or inapplicable. Contrary to defendants’ assertion,

the court in Toome7 did not state that an injunction would have

been improper if the defendants had ceased their illegal

conduct. The court merely pointed out that the appellant had

made such a contention, but the court found an~injunction

appropriate because the illegal conduct was continuing. (People

v. Toomey, supra, 157 Cal.App.3d i, 20.)

Defendants’ reliance on People v. National Association of

Realtors (1981) 120 Cal.Ap.3d 459 is also misplaced. The court

upheld the trial court’s discretionary denial of an injunction

against industry trade associations which acted in good faith.

(See id. at 477.) The court was therefore "satisfied there is

no reasonable possibility past unlawful acts will be repeated."

(Id. at 476.) There is no basis in this case for the court to

make such a finding.

CONCLUSION

For the foregoing reasons, plaintiff respectfully requests

that the court issue a preliminary injunction in the proposed

modified form.

DATED: October 3, 1989




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MARG~ET -REITER

Attorneys for Plaintiff State of California

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EXHIBIT 38

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DECLARATION OF CHUN ROAN RANN

I, Chun Roan Rann, declare the following:

i. Mr. Ton-Ty, a fellow Cambodian, came to the area

where I live in or about January 1985. He told me about learning

to become a denta! technician. Mr. Ton-Ty said that I could get

a high-paying job after getting the training at National

Technical College ("NTC") in North Hollywood. He told me that I

could take out a loan which would pay for the course and I would

be responsible for paying it back. He told me there would be a

Cambodian translator at NTC to teach the course.

2. I went to the NTC admissions office. No one gave

The person in admissions office told me through an me a test.

interpreter that I would be able to get a high-paying job as a

dental technician when I finished the course. The admissions

person also told me there would be translators so I would have no

problem learning the material. At that time I knew very little

English and I would not have been able to take the course withcut

a translator. I signed up for the course and for a student !oan

of about $2500. Attached as Exhibit 1 and incorporated by this

reference is a true and correct copy of the front of the

en~o!iment agreement I signed. No one translated the agreement

and I did not receive a copy written in Cambodian.

3. There were about sixty students in my class when I

started, including Vietnamese, Cambodian and Spanish-speaking

students. I did not receive books or some of my tools uqtil

after about two weeks of the course. During the~time I was

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going to school I had three different instructors. Without the

help of our classmate, Elizabeth Khem, who translated for us, we

Cambodians who did not know English well would not have been able

to understand anything. I could not understand the lessons in

the workbook. When Khem was busy with her own work as she often

was, I learned nothing.

4. Another student who spoke Vietnamese and some

English sometimes translated for the Vietnamese students. He

only came to class about half of the time. When he was not

there, no one translated for them. After a few months, at least

50% of the class dropped out.

5. I ~o not quit easily. Both my brother and my

father were taken from our home and killed by the Cambodian

Communists during the reign of terror in the 1970’s. I walked

four days through the jungles to reach freedom in Thailand. On

the trip many others were killed by both government and Communist

forces. Although I found it very difficult working at NTC in my

lesson book in a language I did not understand, in a class with a

teacher I could not understand, I attended class Monday through

Friday from 8 am to 3:30 pm. for nine months.

6. I also finished the course at NTC because Mr. Bidny

told the class through Elizabeth Khem that we would be arrested

and/or put in jail if we failed to pay bac~ the loan. I wasn’t

sure if that meant I would be put in jail if I stopped coming to

class or if I just failed to pay back the loan, but I was, fearful

of this threat.

7. I received a diploma, a true and correct copy ~f

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which is attached as Exhibit 2 and incorporated by this

reference. After I graduated I went to a number of dental labs

in the Los Angeles area looking for a job. I was given simple

skills tests such as waxing teeth and working with crayons. I

was unable to pass the skills tests. I went back to NTC and told

the teacher and Mr. Bidny, the owner of the schoo!, that I did

not have the skills necessary to pass the simple skills tests

given by the labs. Both my teacher and Mr. Bidny~told me to keep

trying to find a job. They assured me that I would be able to

find employment somewhere. George Khair, my last teacher, gave

me a list of labs in the Los Angeles area. I went to al! the

labs on the list’but I never found a job.

8. I have not paid any of the money owed on the !oan.

I think I owe about $2500 for the loan. At this time I am

working for my family in a donut shop near my home.






Executed on this

at California.

a:\Rann.dec

CHUN ROAN, RANN

3.

EXHIBIT 3 9

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DECLARATION OF BOBBY RAWLS

I, Bobby Rawls, declare the following:

I. In or about March 1989, I went with my girlfriend,

Betty Hammock to National Technical College to sign up for

training so we could both get jobs and be able to get off the

street. We heard about the program from a friend and also from

a flyer handed to us by someone in front of the unemployment

office.

2. At the school, we both took tests and were told we

needed to get i0 answers right to pass. After I completed the

test the girl gave me an application to fill out. The

application had questions about whether or not I had completed

high school or had a GED. A true and correct copy of the

application form is attached as Exhibit 1 and incorporated by

this reference. The gir! told me I passed the test, that I

scored I0 correct answers out of 21 questions. She introduced us

to Mr. Benton the Admissions Director.

3. Mr. Benton asked what we would like to sign up for.

We both decided on the security guard program because it was the

shortest, it was only 15 weeks. I asked Mr. Benton if there

would be a problem getting a gun permit and a guard card because

I had a criminal record. He said there would be no problem. Mr.

Benton told us not to say that we were street people but to use

an address where I can get mail at the St. Vincent de Paul

Society, 231 Winston, Los Angeles. He told us we would get $i00

per week for going to school. Benton also told us we could make

money for referring people to sign up for the programs.

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4. We signed the applications, and the loan documents

on March 16, 1989. School began on March 20, 1989. A true and

correct copy of my Student Enrollment Agreement is attached as

Exhibit 2 and inco_~porated by this reference. The total cost of

the program is $4250. I signed for a Stafford loan and an SLS

loan. True and correct copies of the booklets that contained the

applications are attached as Exhibits 3 and 4, respectively and

incorporated by this reference. I was told that ~the Stafford

Loan would be for a total of $2625 and the SLS loan would be for

$2800.

5. We attended Mr. Jenkins’ class from 8:30 - 12:30

for about a week’and a half. Ms. Jenkins told me that I would

not be able to get a gun card because of my record but maybe I

would be able to get a guard card. Mr. Jenkins was a great

teacher. We learned the penal code, how to make a bomb threat

report, how to make out a police report and all this in a short

period of time. Mr. Jenkins was telling us we should sicn up for

a real school and that might help us get out of our homeless

situation. All of a sudden Mr. Jenkins was fired. I have no

idea why Mr. Jenkins was fired.

6. I was very upset about Mr. Jenkins being fired. I

talked to other students who had been in the program longer and

they told me about the rapid turnover of.4~ach~rc.


the State of California that the facts set forth in this,



000.336

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Executed on this ~ day of /~9

1989 at ~ v~ ~.~~ , California.

EXHIBIT 4 0

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DECLARATION OF C. ARLENE ROBINSON

I, C. Arlene Robinson, declare the fo!lowing:

i. I am a placement counselor. I worked at National

Technical College (NTC) from February 3, 19.87 unti! May 15, 1987.

My job was to place students after graduation from the different

programs that were taught at National Technical College,

including Dental Laboratory Technician, Medica! Word Processing,

Dental Assisting and Medical Assisting. An additional duty was

running an externship program for the students to get unpaid on-

the-job training. Although I was originally hired to work~

~ the North Ho~Zy~ood school, I was to the~ program at

~ _~c Spmi~qg S~reet~hoT~ did so until April 1987.

2. After I arrived at the school, Mr. Bidny

("Bidny"), the owner of NTC, told me to set up a placement

program. I was directed to develop my own procedures for

recruiting placements for the students of Nationa! Technical

College. The placement office was an empty room. The only

paperwork I found from previous placement directors was in a box

on the floor in no particular order. There were pieces of paper

with names of students and names of denta! laboratories. There

were no files at all, no desk, no filing cabinets, no

typewriters.

The previous placement director left in December

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1986 and there were a number of students who were ready to be

placed immediately when I came in,February 1987. The dental

laboratory students told me they had been promised much higher

paying jobs than I was able to find for them. Most of the dental

laboratory graduates I placed were placed in positions paying

$4.00 and $5.00 per hour to begin. Mr. Bidny was always yelling

at me to get more placements. He told me to take the lab owners

out to lunch, or whatever else it took to get them to hire an NTC

student. Many of my calls to dental laboratories were

unsuccessfu! because the owners of the laboratories knew of NTC.

These lab owners told me the students from NTC are not prepared

to work in the lab even at the beginning minimum of $4.00 to

$5.00 per hour. I suggested sending students on an unpaid trial

basis, to give the labs an incentive to give the NTC students a

chance.

4. Within the first month of my employment I was

given a copy of a letter sent by the accrediting agency,

Accrediting Bureau of Health Education Schools (ABHES), to Mr.

Bidny of NTC dated December 9, 1986 requesting a response by

April i0, 1987. Tim O’Neil, a consultant/accountant to NTC,

directed me to prepare the schoo!’s response on the issues of

plicement statistics, and a plan to improve the placement of

students. A true and correct copy of the letter is attached as


5. I prepared "a draft report that showed few

placements and showed it to Bidny. He said it was not good

enough. I told him I could not do more with what I had, that I

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had some notes that looked like referrals, but did not show a

placement was made. He told me to count them as placements. A

true and correct copy of the report I prepared according to his

instructions is attached as Exhibit 1 and incorporated by this

reference. Whenever I saw a reference on a piece of paper to a

student and a business, I counted that as a placement for the

report. I do not know how accurate the report is considering the

little bits of information I had to work with. Later, when I

called some of the labs listed to place new graduates, a couple

of them told me that they had never hired anyone from NTC.

6. Sometime in early April 1987, Franklin Moore asked

me to compile a report of all the graduates of National Technical

College. A true and correct copy of the handwritten request is

attached as Exhibit 3 and incorporated by this reference. A true

and correct copy of the report I prepared is attached as Exhibit

4 and incorporated by this reference. The Dental Laboratory

Technician course had by far the largest number of graduates. Of

84 Dental Laboratory Technicians who graduated from 1984 through

May 1987 only 19 had been "placed" in the field; 35 were

unemployed and 30 were not in the dental laboratory field.

Again, these "placement" statistics included any referral whether

or not the student had been offered a job.

7. My office was four walls and a door in the’

computer/typing room used by the medical word processing

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students. The printers were often broken, the typewriters did

not have ribbons and many of them were broken. Students came in

to borrow my typewriter in order to complete their assignments.

While I was there, the only textbook the students received to

learn the word processing program was a xerox copy of the

Wordstar manual. The students were only provided copies of a

typing text not the actual text. One computer teacher brought in

his own software because the school did not provide sufficient

quantities. ~

8. I told Mr. Bidny that I wanted to have the

admissions office and the placement office next door to each

other. I could not do a competent job without some idea of what

had been told to the student by the admissions office and the

financial aid office. I explained that I envisioned the student

going through admissions and then coming in to the placement

office so they knew exactly what they were headed for in the job

market. Mr. Bidny promised to begin these changes in procedure

but it was not done while I was there.

9. The students staged a strike in March 1987, I

attended the meeting when the students came back into the school

after picketing outside during the morning. I heard the director

promise the students to get the textbooks they did not have, to

give them the lab coats they never received, to improve the

conditions of the school including providing a place to eat their

lunch, to try to find part-time jobs for them and to try to find

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child care services for those who needed it.

10. About 20 students talked to me about Richard

Bourne harassing them and misrepresenting the available jobs and

the stipends. I also heard these students complain to Mr. Bidny

and the administrator about Richard Bourne and the promises he

made and the harassment of the students. Finally Mr. Bidny

transferred Bourne to the Los Angeles campus. I saw him there

when I did my work at the Los Angeles campus. I complained to Ed

Longo, the director of that campus, about Bourne’s transfer.

Longo told me Bidny did not want to lose a successful admissions

person.






Executed on this

at _ ~>~-

day of ~~

, California.

i989

ARLENE~ROBINSON

EXHIBIT 41

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DECLARATION OF ETHEL ROBINSON

I, ETHEL ROBINSON, declare the following:

I. In or about September 1986 I was approached by a

man on Eighth Street and Broadway in downtown Los Angeles. He

said I could earn $3.35 per hour while I was in school taking

some special training. He said I would be able to earn good

money when I finished the program. The man--I do not recall his

name--took me to National Technical College ("NTC") at 600 S.

Spring Street. ~

2. At NTC a number of people, including the admissions

representative gave me a sales pitch. I took a test that

involved drawing some lines and connecting objects on a sheet of

paper= Also, the test included some type of reasoning or English

questions. I completed only the tenth grade in school in

Georgia, but no one asked me if I had completed high school.

3. After I completed the test and spoke to the

admissions counselor about the dental laboratory technician

training, I was taken in to the financia! aid office. Brenda

Silva in the financia! aid office filled out al! of the !oan and

grant applications for me. I just signed what she gave me. I

believe the entire course cost $3800. I know I signed for a

$2500 loan and she told me the payments were to be $50 per month

after I gzuduated from the program.

4. School hours were from 6:00 to 9:30 pm Monday

through Thursday evenings for nine months. When I began

attending the classes, I learned that other students had,already

been in the class for a long time. Some of the students appeared

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to be homeless, without a place to bathe. The smell was so bad

because of the lack of personal hygiene that I hated to come to

class. The class size varied from ten to twenty students. The

first teacher we had, Paul, an Hispanic male, in his mid forties,

five feet eight inches tall, and weighing approximately 160

pounds, tried to teach us something He did not last long. We

had at least two other teachers after that who did not teach us

anything.

5. We had very poor equipment and few supplies. The

books were outdated. I complained to the instructor, Pau!, but I

could see no improvements. I spent months going over the same

simple material ~n my review notebook. For the last few months i

was in the course, we worked with plaster of paris and clay

models of teeth/going over the same things. I did not receive

training that will enable me to do any work on teeth at all. I

feel like I wasted a year and a half of my time, and now I owe

the money for this schoo! that did not provide me anything at

all. Now I work as an aide to elderly people.

6. I never was offered a job while I was in school as

the man had promised me. I asked the admission and financial aid

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personnel about it several times. Every time, they changed the

subject or refused to answer.






Executed on this i~ day of ~l:i~ , 1989 at

/ ~ <~ . , California.

Ethel Robinson

a:\ERobinso.nde

EXHIBIT 42

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DECLARATION OF DALLAS SCALF

I, Dallas Scalf, declare the following:

i. I first heard about National Technical College

("NTC") in July 1988 when I was walking down Broadway in Los

Angeles and was approached by a person who asked me, "Do you

want to make some money right away." This person told me that I

could work part time and go to school at the same time. This

same person, a recruiter for NTC, walked me to National Technical

College at 600 S. Spring Street.

2. There I took an admissions test that had some math

and English questions. I was told I passed the test. I am a

high school graduate, bu~ no one ever asked me about it. The

admissions representative, a man named Jay, told me about the

computer repair technician course being offered. The course cost

$6500 for an eleven month course. He told me there was

guaranteed job placement, after graduation. An administrator at

the school, Dave Kujawa also told me there was guaranteed job

placement after graduation. I signed up on July 7, 1988. A true

and correct copy of my student enrollment agreement is attached

as Exhibit 1 and incorporated by this reference. That day I also

signed up for a Pell Grant for $2000 and !c-ns for approximately

$5700. I was to receive a $i00 per week stipend.while attending

the program.

3. I began school on or about July ii, 1988. There

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were about 20 people in my class. It was about three months

before I received any books or material and by that time most of

the people in my class had dropped out. I took notes from the

blackboard and watched video tapes, but there was no computer to

work on unti! 7 or 8 months after the course had started. I

complained to Mr. Ossorio, the teacher, and he told us that he

went to the administration to complain many times about the lack

of equipment and facilities. Mr. Ossorio told us he was very

upset about the school’s failure to provide equipment or

technical assistance. There was no library at the school.

Three computers arrived in or about February 1989 but two were

stolen almost immediately. That left only one computer for all

the students to work on.

4. I was in school about a month before I went to the

admissions office to ask about the job the recruiter promised to

me. The admissions office told me they knew nothingabout that

and said they have no part-time jobs for students.

5. In the course I have had some exposure to different

areas including mathematics, microprocessors, resistors and

transistors but I do not feel I have enough to work as a computer

repair technician because I have had lectures, but al~]st no

practical training.

6. I finished the course on or about May 12, 1989. I

received my diploma on or abouh May 23, 1989. Someone spoke to

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our class about job interviews and I went to the placement office

to see about job interviews, but NTC has not sent me on any job

interviews.





testify to the above facts. ~

Executed on this day of ~ , 1989

, California.

DALLAS SCA~,

EXHIBIT 43

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DECLARATION OF GROVER PAUL TOOMES, III

I, Grover Paul Toomes, III, declare the following:

i. In or about May 1987, I saw an advertisement in Th9

Wave newspaper. The advertisement stated "receive money while

you train in a new CETA Type Program." A true and correct copy

of the advertisement is attached and incorporated herein by this

reference as Exhibit i.

2. I telephoned the number in the advertisement.~ I

spoke with a woman who identified herself as Rosa Travis.

Ms. Travis told me to come down to her office to talk about the

training. Her office was located on Crenshaw Boulevard. I do

not remember the exact name of the company nor the exact number

on Crenshaw Boulevard. I met her at her office. I told Ms.

Travis that I was interested in retraining because I was on

disability due to some physical injuries received as a skyca~ at

the airport. I needed to learn a trade where I could sit mos% of

the time because of the pain in my legs.

3. She told me that I would be a good candidate for

the dental technician course being offered at National Technical

College ("NTC") located at 600 South Spring Street, Los Angeles,

California. I told Ms. Travis that I was earning approximately

$i00 for four hours of work when I was able to work as a skycap.

She told me that I would be able to make "good money" as a denta!

technicians.

4. I went to National Technica! College. I told the

woman at the front desk that I had been referred by Ms. Travis.

The woman at National Technical College gave me a test. Part of

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the test was to see if I could keep a pencil {hrough a track of

lines without touching the lines. I was not able to keep the

pencil in the track. I said to the woman, "well, I guess I

cannot come to this schoo!." She said that I could have another

chance at the test. I repeated the test and did just as poorly

but this time she told me I passed the test.

5. I signed up for the dental technician course. I

thought the government was involved somehow in the operation of

the school. The admissions counselor told me, that it would take

seven and one half months to complete the course. I was te

receive a $30 per month stipend to attend the school and a bus

pass. i received a bus pass for the first two weeks. After that

NTC deducted the cost of the bus passes from the $30 stipend I

was supposed to receive. I signed a student enrollment

agreement, a true and correct copy of which is attached hereto

and incorporated herein as Exhibit 2.

6. The total tuition was to be $4,600 as outlined in

the Preliminary Award Letter, a true and correct copy of which is

attached hereto and incorporated herein as Exhibit 3. Someone at

the school told me I would have to pay back some of that because

it was a loan. On the Award~letter it shows the amount of $30 a

month was to be paid to me for i0 months.

7. I began the classes in May 1987 and attended for

approximately ten months through April of 1988 excluding February �

when I was sick and could not attend school. My classes were

scheduled four days a week, 6:00 pm to 9:30 pm. During that time

there was a large turnover in personnel, both teachers and

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administrators. There were days that we had no instructor. Much

of the instruction time, the teacher spent on the telepho{e and

was not available to give instruction and help as needed. Some

of the students were Spanish speakers and some of the instruction

was conducted in Spanish. I have no Spanish language abi!

thus I was completely left out during those sessions. A number

of the students appeared to be street people who had not taken

baths or showers.

8. I made very poor grades in grammar schoo! and high

school. At Nationa! Technical College I got A’s and B’s on

tests, but I could not read or understand many of the questions

and did not know "the answers.

9. One of the teachers, a man named Frank, had a

dental laboratory of hie own. I went out with Frank one

before Christmas and he told me that most of the people in the

class were never going to be good enough to be dental

technicians. But, Frank told me that he might have a job for me

after graduation. Frank to!d me that he had hired other

students, those s~udents that did their best. I wondered ho~: he

could hire me because I was not learning anything.

i0. Once a man named Pau!, the head of the dental

department came in to ask the students if there were any problems

with the classes and the administration. All of the students

made complaints about the lack of textbooks, the turnover of

teachers, the waste of time it was to be in school because no one

was learning anything. Nothing ever changed as a result of our

complaints, things stayed as they were.

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Ii. I was given supplies that consisted of three

dental tools, some wax and some material to make molds. The

textbook, was stamped "out of print" and appeared to me to have

been supplied by a dental supplier, it was entitled Dental

Technoloa¥ Reference for Fixed Restorations. A true and correct

copy of the front cover is attached as Exhibit 4 and incorporate!

by this reference. The charge for these sparse materials was

$300.

12. Once while I was attending school at NTC I saw

Rosa Travis occupying an office a~ NTC.

13. After a while I decided to call around to dental

laboratories to see if they hire graduates of National Technica~

College. I spoke to one laboratory owner, who identified himself

as Pau! Spurlin. He told me that what we are learning at

National Technical College is totally inadequate traininq for the

work of a dental technician. Mr. Spurlin told me I was wastinq

my time in the program. Shor~!y after that, in or about April

1988, I quit going to school.

14. In or about June 1988 I received a Notice of

termination (a true and correct copy of which is attached as

Exhibit 5 and incorporated by this reference) from the school

because of ten consecutive absences.

15. I received a bill from the Loan Service Cen~er in

Lawrence Kansas for $2625.00. I do not remember when I received

the bill and I have no idea how much I owe at ~his time. I have

not made any payments because I feel that the school

misrepresented the program to me, the instruction was totally

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inadequate, the equipment was outdated and the job possibilities

were not as represented.



declaration are true and correct.

~ d on this .~ ~ day of

at ~ , California. /

, 1989

GR( PAUL TOOMES, IiI

EXHIBIT 44

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DECLARATION OF STACY WALLACE

I, Stacy Wallace, declare the following:

i. On or about the end of October 1986 I was looking for a

I read an advertisement in the Daily News that stated, job job.

opening, no experience necessary, receptionist and office work.

No company or school name was mentioned in the advertisement. I

called the number in the advertisement and was given an address

to go to to fill out an application for the job. I remember

specifically asking if this was for a job or for a school and the

response was that it was for a job.

Hollywood.

Service.

I went to 12011 Victory Boulevard, Suite i0! in North

The name of the company was C.A.S./Career Advising

I was given a brief application to fill out and then I

met with a woman who introduced herself to me as Ferna. Ferna

was a tall black woman, well dressed, professional. She told me

that if I wanted to be marketable in the job market I would have

to get some training. Ferna said that I could earn $1300 a month

after training and she made it sound as if getting a job would be

impossible for me with my limited skills.

3. Ferna showed me a brochure from National Technical

College and asked me to decide which program I thought I might be

interested in. I !ooked at the choices and thought I would like

to learn medical word processing. She gave me a piece of paper

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with her name in handwritting and the name of the agency stamped

in blue ink. A true and correct copy of the paper is attached as

Exhibit 1 and incorporated by this reference. She told me to go

to National Technica! College next door.

4. I went to 12001 Victory Boulevard, National Technical

College. When I entered, the receptionist handed me a test to

take. It was an easy exam with some spelling, math and reading.

After I completed the exam I gave it to the receptionist and I

i0 waited until the admissions counselor was free. While I was

ii waiting I saw other people taking the test and when they failed

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the test, the receptionist would give it to them again and give

them another chance to pass the test.

5. A man who introduced himself as Richard Bourne took me

back to his office. He asked if I was a high school graduate and

I told him I had a GED. He said that they needed to get a copy

of my GED and the test results. After I started school I brought

a copy of my GED and test results for the school office to copy.

He told me the school offered a great opportunity to get

training. He said that I would be able to earn $1300 a month

after graduation. He said they would give me placement

as.istance to find a job in a medical office.. Richard to!d me

that I could qualify for loans and grants and that I would

receive $50 per month while I attended for miscellaneous spending

on bus fare and supplies.

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0004.9

1 6. Richard took Out a financial aid application and told

2 me how to fil! it out. He said that because my husband earned

3 too much to qualify for the grant I should put down that we were

4 separated. I said, "That is not true." Richard said "I don’t

5 see your husband here with you so you are separated." I filled

6 in the documents as he instructed. At that time I decided that I

7 needed to discuss this with my husband and I asked for a copy of

8 the contract and the application for financial aid. He said he

9 couldn’t give it t~ me but he did hand write a breakdown of the

I0 tuition and how it would be paid on the back of a form entitled

ii "Transmittal Memo." A true and correct copy of that piece of

12 paper, front and.back is attached as Exhibit 2 and incorporated

13 by this reference. Richard specifically wrote that I would get

14 $50 per month for expenses.

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16 7. After a couple of weeks I went back and signed the

17 documents to begin the Medical Word Processing course. A true

18 and correct copy of the contract is attached as Exhibit 3 and

19 ~incorporated by this reference. I was given a "Notice of

20 ~:Financial Aid Award" that showed the breakdown of the total

21 tu<tion of $4565 and the amount of aid, a $2500 guaranteed

22 student loan and a $2100 Pell Grant. A true and correct copy of

23 of the award ~ocument is attached as Exhibit 4 and incorporated

24 by this reference¯ I assumed the $50 per week came out from part

25 of the tuition. I began the course on November 17, 1986 with a

26 one hour orientation. There were about 20 people that began in

27 my class. By the time I graduated on or about July 17, 1987

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there were only 4 of the original 20. All the classes were full,

about 30 people. Every Monday a new group of students would

begin. The teacher would give them a brief overview of what we

had learned and we would go on from where we left off. The new

people would have to repeat those lessons that we had passed

after the work was completed by my class.

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8. I received one check from the government to sign over

to the school but I never remember receiving any additional

checks and I did not sign any additional checks. A true and

of the check is attached as Exhibit 5 and

%his reference.

9. My first class was with Dr. Richard Chan who taught

study skills and terminology. I had Sam Jones for typing and a

woman named Cindy for the medical component. I had about 4 or 5

different accounting teachers for my accounting course. Also the

administrators changed 4 or 5 times during the 8 months I was at

Nationa! Technical College. The typewriters were in very bad

condition; the keys always stuck; and there were only a couple ef

printers for the students to use on their work. We always had to

wait in line in order to complete our work. The computer teacher

did not know how to work the equipment. Most of the time a

student ended up helping other students in order to figure out

what the problems were with the student’s work. I was not given

real text books right away. I had xeroxed copies of the computer

program and other books. A true and correct copy of the "Medica!

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Office Procedures/Word Processing Books" list is atttached as

Exhibit 6 and incorporated by this reference, but I did not

receive al! the books on the list.

10. Part of my training was to include an externship in a

medical setting. Someone at the schoo! gave me the number of a

medical office to call to apply for an externship. The school

did not do anything to help me set up an ex~erns~ip there and the

office was located a long way from my home. I had a neighbor who

let me work in her insurance office and National Technical

College gave me credit for that work experience even though it

was not in a medical office.

ll. During the time i was there I questioned why I did not

receive the promised $50 per month expense money. Richard Bourne

never provided a satisfactory answer to the question. A group of

students got together to protest not receiving their promised

expense money, to complain about the lack of working equipment,

to make known how unhappy they were with the poor quality of the

teachers and the lack of real textbooks as promised. I was

involved in a one-day strike by the students in or about the

first weeks in March 1987. The owner of the school, Mr. Bidny

began yelling at us to get back in_ide the building. He said

that he would expel us all. He said we had no right to strike,

that it was his school and that no one could tel! him how to run

it.

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12. Shortly after that day,~the attorney for Mr. Bidny came

to the school and people from the accrediting agency were..walking

around to check on our complaints. I did get rea! textbooks

shortly after the strike but that was about the only change that

occured after the strike. I also got an $81 check to make up for

the difference between the tuition amount and the total received

from the loan and the Pell grant. A true and correct copy of the

check is attached as Exhibit 7 and incorporated by this

reference.

13. I graduated on July 17, 1987. A true and correct copy

of the "Notice o~ Graduation" is attached as Exhibit 8 and

incorporated by this reference. The school sent me a letter

after my graduation asking me if I needed placement assistance. I

was pregnant at the time and I signed a paper saying that I waive

the offer of placement assistance because I was not able to work

at that time. I do not fee! that I was trained enough to go to

work in a medical office after graduation. There were so many

office procedures I was not taught including office phone

systems. A brief overview of printing labels and other

documents, billing and hospital insurance forms was given but I

never felt I mastered these skills.

14. I have been making regular monthly payments of $50 to ~

pay off the loan amount, i do not k--^’" .... ~.~ ~__~ I ~__’~’~ ~.. ~-..~

f 00502 6.

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Executed on this "I~~ -- day of 1989 at

.ace

000503

EXHIBIT 45

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JOHN K. VAN D, L~MP, Attorney Genera! of the State or California



3580 Wi!shire Boulevard, Room 800 Los Angeles, California 90010 Telephone: (213) 736-7715


SUPEKIOR COURT OF THE STATE OF CALIFORNIA


?HE PEOPLE OF THE STATE OF CALIFORNIA,

Plaintiff,

NATIONAL TECENIC~ COLLEGE, DENTAL PECHNOLOGY COLLEGE FOR THE HANDICAPPED, INC, VALLEY UNITED DENTAL LAB, INC., MNATOLY BIDNY, SOFIA BIDNY, aka SOFIA 3IDNA, ACCREDITING COUNCIL FOR CONTINUING) EDUCATION AND TRAINING, LOS ANGELES ECURITY PERSONNEL SERVICE, CAREER

SERVICE, THE CAREER PEOPLE, UNG-TY, AND DOES ! Thq~OUGH i00, inclusive,

Defendants.

) ) ) ) ) )

) )

) ) ) ) ) DECLARATIONS OF ) HUGH A. WOOSLEY ~£$D ) JEANNE GLANKLER IN ) SUPPORT OF ORDER TO ) SHOW CAUSE RE ) PRELIMINARY INJUNCTION

AND TEMPORARY RESTRAINING ORDER

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DECLARATION OF ~UGH A. WOOSLEY

I, Hugh A. Woosley, declare the following:

i. From March 1971, through March 31, 1989, I was the

Administrator of the Accrediting Bureau of Health Education

Schools ("ABHES"), a private accrediting association recognized

by the U.S. Department of Education. Generally,students at

vocational schools are not eligible for federal grants or

guaranteed loans unless the vocational school is accredited by a

nationally recognized accrediting association, such as ABHES.

2. The ~HES accreditation process includes an

application and self evaluation from the school, a site visit by

a team of experts, preparation of a visitation report by an ABHES

visitation team and a request for a schoo! response, the %Titian

:~- the schoc! to the visitation report and a response

dete_~mination by the Commissioners of ABHES, based on the

foregoing, whether the school should be accredited. Requested

changes re~arding course offerings, loc~tion, branch additions,

and other changes requested by the school entail additional

applications, correspondence, evaluation and possibly a site

visitation.

3. ABHES maintains a chronological file on each schoo!

location of al! correspondence, visitation reports, school

responses, self evaluations, applications, and other relate"

documents. In addition, ABHES maintains in the chronologica!

file any complaints received against the schoo!, any response

from the school regarding the complaints and any follow-up

undertaken by ABHES.

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.i Cambodian, and only one was llsted-as bilingual in Chinese.

2 (Exhibit 8 at Doc. Nos. 1152-1153.)

3 22. In response to ABHES’ concern regarding placement,

4 NTC stated, among other things, "We have experienced an extremely

5 high turnover of Placement Directors. (Exhibit 8 at Doc. No.

6 1149.) NTC’s own statistics provided with its response indicated

7 that of the 36 students that had graduated from the denta! lab

8 technician course during the period of April 1 through October

9 31, 1986, NTC was able to plage only 12. NTC was unable to place

i0 13. Eleven were not placed for a variety of reasons including

i! NTCIs statement that they were "uncooperative." (Exhibit 8 at

12 Doc. Nor. 1149, 1154.)

13 23. On or about January 26, 1987, ~HES received a

14 comD!ain~ from two NTC students who s~ated tha~ the schoo!

15 "has shuffled us back and forth with different

16 teachers and schedules. The school is not a college

17 run program and we are very up-set and disappointed

18 with the program."

19 A true and correct copy of the complaint and the letter from

20 ABHES to Anatoly Bidny requesting a response to the complaint is

21 attached as Exhibit 9 and incorporated by this reference.

22 24. On or about February 12, 1987, Anatoly Bidny

23 responded to the complaint stating, among other things, that the

24 two students who complained had started the medical office

25 procedures/word proce£sing program on or about September 15,

26 1986. Bidny acknowledged that the origina! word processing

27 instructor had been replaced before November 6, 1986, with two

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new instructors and that those teachers were also unable to "keep

their commitments." Bidny explained that the director of medical

office procedures/word processing then took over the instruction

after those teachers left. Finally, Bidny attached resumes of

the teachers who he said were currently teaching medical office

procedures/word processing. A true and correct copy of Bidnyls

February 12, 1987 response and relevant attachments are attached

as Exhibit i0 and incorporated by this reference.

25. On or about March 6, 1987, ABHES received a

petition complaining about various aspects of NTC and signed by

approximately i00 NTC students at the 600 S. Spring Street

location. As is ABHES’ procedure, NTC was requested to respond

to the complaints received. A true and correct copy of Jean

:~a~)~l=~ ~ le~er ~ ~nato!y Bidny, aa~e, March 6, 1987, and the

15 l!student petition are attached as Exhibit i! and incorporated by

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this reference. The petition complained about false advertising,

the lack ef job placement, the failure to provide jobs as

promised after students had attended school for two weeks, the

failure to provide as promised a course in denta! laboratory

technician-porcelain at the Spring Street location, the lack of

placement into externships as required for students to complete

their courses, and the lack of equipment and supplies.

26. A true and correct copy of NTC’s response signed

by Edward J. Longo, the administrator of NTC, and dated March [0,

1987, is attached as Exhibit 12 and incorporated by this

reference. In that response, Longo indicated that the students

had first submitted demands for equipment and supplies to the

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dean of students at the Spring Street campus on or about January

15, 1987. Longo further indicated that at a meeting on or..about

January 20, 1987, student representatives discussed with NTC

personne!, including Longo and others, the lack of a porcelain

class for dental lab technician students as had been outlined in

NTC’s handbook, the lack of a placement director, the lack of

books and supplies and the fees charced for books and supplies.

Longo indicated that the placement director had left the school

on December 15, 1986. Longo stated that the fol!owing steps were

taken after the January 22, 1987 meeting:

i. A placement director was hired on December 26,

1986;

2. the supply system was overhauled;

3. machines in a state ef ~__ep___ were repaired; and

4. the administration felt the price charged for books and

supplies ($350.00) was justified.

Longo further stated that on or about March 12, 1987, the

administrator met with approximately 75 students at a meeting

that lasted approximately one and one half hours during which the

students were angry and expressed concerns regarding supplies and

the cost ($350) for text books. He concluded that "[I]t is my

intention to adjust our system of operation to meet the

leg.L&imate ".emands of the students." Attached to Longo’s

response was an NTC memorandum Longo stated had been posted. It

indicated that

"JAIl1 new students who have received their

initial [government] funding (approx. 4 weeks after

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their starting date) will receive all books and

materials as soon as possible thereafter." (Exhibit 12

az Doc. No. 1112.)

27. A true and correct copy of a letter dated March

25, 1987, ABHES sent to Longo, is attached as Exhibit 13 and

incorporated by this reference. In that letter ABHES requested

further fol!ow-up on student satisfaction and also requested an

explanation of the memo Longo had sent that stated students would

not receive their books and materials unti! they received

goverr~ent funding, approximately 4 weeks after the course

started.

28. A true and correct copy of a letter ABHES receive/

from NTC dated April 8, 1987, is attached as Exhibit 14 and

incorporate! by thi= ~=:=~ence. In that letter, NTC stated that

"Evaluations of the 13 graduates in work situations for the

[dental laboratory technician] program have proven to be an

impossible task at this point in time." (Exhibit 14 at

Doc. No. 1022.) Attached to NTC~s response were statistics for

the six month period beginning October i, 1986 through March 31,

1987.

29. In or about Apri! 1987, NTC responded to ABHES’

concerns about the student petition and provided copies of a

survey NTC con~cted of 32 of the students whose signatures had

appeared on the petition. True and correct copies of the

response and petition follow-up questionnaires are attached as

Exhibit 15 and incorporated by this reference. NTC represented

that students are provided with printed materials, not the books

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listed in the materials list, during the first four weeks of

their course, until payment is received (via government loans and

gran~s). Likewise, NTC’s administrator stated that students are

given "loaner kits" in the dental lab courses, which they must

sign in and out each day, until payment is received. Further, if

government funding is delayed, students are given xeroxed copies

of the text books listed until payment arrives.

30. On or about May 7 - 8, 1987, the Co~.issioners of

ABHES reviewed NTC’s file related to the report ABHES had

requested in the letter dated December 9, 1986, the student

complaints, and the financial reports as of November 30, 1986.

At the meeting the Commissioners voted to require NTC to show

cause why accreditation should not be removed due to several

problem areas, including (a) the school had failed to demons~raze

that evaluations were obtained for dental laboratory technician

graduates placed in work situations, (~) the school had failed to

demonstrate a reduction in the attrition rate or that an

acceptable program was in place to ensure that a satisfactory.

percentage of students completed the program,

(c) the school failed to demonstrate adequate placement of dental

laboratory technician graduates, (d) the schoo! failed to

demonstrate its students’ complaints were adequately resolved

(although the student eva].ations indicated some progress) and

(e) the school failed to furnish adequate information with

respect to standards on financial reporting. Attached as Exhibit

16 and incorporated by this reference is a true and correct copy

of the letter dated May 13, 1987, in which ABHES requested NTC to

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show cause why the accreditation should not be removed. ABRES

asked NTC to respond by July i, 1987.

31. On or about May 26, 1987, I sent a letter to

Anatoly Bidny advising him that ABHES had received 38 detailed,

signed complaints against NTC. A true and correct copy of my

letter is attached as Exhibit 17 and incorporated by this

reference. I told Bidny that the complaints involved (a) concern

about the placement director having been fired, (b) excessive

turnover of instructiona! staff, (c) changes in financial aid

personne!, (d) changes in programs, (e) outdated, poorly repaired

and inadequate equipment, (f) false advertising, (g) inadequate

supplies, (h) harassment by an instructor and (i) financia! aid.

I recues%ed that NTC respond to these complaints, in addition to

the areas listed in the show cause letter.

32. On or about June i0, i~87, ABHES received

approximately 12 additional complaints, against NTC. I told NTC

about these complaints and the major areas of concern which were

lack of books and supplies, administrative and faculty turnover.,

ads listed under jobs or employment that turned out to be

solicitations to enrol! students in school and promises of huge

salaries on graduation.

33. On or about June ii, 1987, I told Mr. Longo in a

telephone conversation that NTC’s res, onse to the complaints sent

previously should be documented as they dealt with serious

problems.

34. On or about June 24, 1987, ABHES received NTC’s

response to the students’ complaints. True and correct copies of

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attached student comments about supplies, material equipment are

attached as Exhibit 18 and incorporated by this reference... The

response stated that Richard Bourne,an admissions representative

about whom complaints had been received,had been transferred to

the Los Angeles campus. Included with NTC’s response were survey

forms it gave to students. Among the student comments on these

forms were the following:

-"Too early [to tell if there are problems]) .(My

second week in class)" (Doc. No. 739.)

-"There should be a sale on the old typewriters;"

-"I would like to see books-reference could be

checked out for further help." (Doc. No. 743.)

-"I don’t have my accounting book." (Doc. No.

746.)

-Needed for the core course are "composition paper,

basic math, English Grammar book." (Doc. No. 750.)

-"Teacher has not been given proper instruction or

knowledge of previous instructors programs. Every new

teacher that enters this school starts a new program of

their own -- this means students start something new &

must stop what they were working on. This means very

seldom does something ever get completed. %:he turnover

in teachers is [too] great. Since I’ve been here, I

have had 7 new teachers. (Since 11/86). Administration

must inform teachers of the/class guideline & explain

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how & where the students are in the rotation of the

program." (Doc. No. 751.)

-Equipment needed in the medical assistant course

includes "blood analyzer, prepared slides, EKG machine,

ophthalmoscope (wa!l mounted), PDR’s, film or slide

projector . . another sink." (Doc. No. 753; see Doc.

Nos. 754, 755)

-"This is the dilemma. Maybe the materials,

equipment, supplies, etc., are here & maybe they

aren’t. We frequently have a hard time finding this

out since the cupboaris are !ocked, the back office is

locked & Dr. Rashii has been given a key to neither.

A~e_ 3 months this ~s ridiculous " (Doc No 756 )

-~edical supp!ies neeied "Another skeleton (actual

bones)~ Another sink & water pressure, a window."

(Doc. No. 757.)

-Equipment needed for the denta! assistant course-

"x-ray dummy, x-ray room -- dark room tanks for

deve!oping, denta! chairs [too] close to walls.

Bathroom smel!, doors don’t lock .... (Doc. No.

75s.)

X-ray room needs to be leaded as the students have

finished the lecture portion of the course and need to pract_ce

taking x-rays. (Doc. Nos. 759, 760.)

-"I have to say we have pretty good equipment now

but the hel! we have gone through to get this stuff.

"Well’ the reason we don’t like coming is because the

000020 19.

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teacher don’t know what to do and so I feel like why

should I waste my time. But maybe now things will get

better for the other ones here. Because all I want now

is to finish and leave." (Doc. No. 765.)

35. On or about June 26, 1987, NTC provided its

response to the order to show cause. A true and correct copy of

NTCJs response and relevant attachments to it are attached as

Exhibit 19 and incorporated by this reference. In the response,

signed by Longo for Anato!y Bidny, Bidny~stated, "Effective

immediately, I have removed myself from the day-to-day operations

of my North Hollywood and Los Angeles campuses." He also stated

that some of the students at the South Spring Street school "see

this as their last best hope for a fulfilling career, and a

soiu~ion ~o a life of poverty.’~ (Exhibit 19 at Doc. No. 403.)

36. In its response, NTC provided statf~tics showing

the number of students who dropped or were other~,ise terminated

from the course of study for two six-month periods and a two to

three month period. (Ex. 19 at Doc. No. 410-411.) The drop-out

rate for the Spring Street location for the two six-month periods

from 3/10/86 to 8/31/86 and from 9/1/86 to 2/28/87, ranged from

60% to 82%. For a similar time period, the drop-out rate at the

North Hollywood school was 17% in one medical assistant course

and ranged from 35% to 59% in the other courses. (Exhibit 19 at

Doc. No. 411.)

37. Included among the documents attached to NTC’s

response to the show cause order or sent shortly thereafter were

also placement forms for dental laboratory technician students.

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Bidny regarding a newspaper’ad

a~tention of ABHES and which~appeared zo adveruls@ ~�

"jobs offered" section of a newspaper. I honed that

Commissioners of ABHES had expressed "great concern" regarding

NTC’s advertising. I requested that NTC respond to the letter

Jean Glankler had sent on November 30, 1987, regarding this ad

and that the response be provided no later than January 8, 1988.

My letter of December 9, 1987, also requested that the school

provide additiona! information about its advertising and

promotional activities. A true and correct copy of my letter is


53. On or about December 16, 1987, ABHES received a

letter =~ ~+= _e.lnc~l .... ~.om Bidny, for 9_naZo!y Bidny, ~ l" .,’~{

institutional accreditation by ABHES, stating that NTC had

obtained accreditation from another accrediting association,

C.N.C.E.(now known as ACCET). A true ~nd correct copy of her

letter is attached as Exhibit 25.


the Szate of California that the facts set forth in this




Executed on the 2~7~day of ~~ , 1989, at I

C:\wp\reiter\woosdec.mr

27.

2001 -VICTORY BOULEVARD=~-~:~ ~~,~--:~-:~--~- ....... ~ :,-: ~.--~ ~ ...... -~-:~.’~. HOLLYW , A I ORN,Ag:160~

~-~: "~ (B 1 B) 762-0956,~:< ~=~:~=~.~=~-.~-< :-~-

-

Ms~ Jeann~ Glanker, Assistant Administrator Accrediting Bureau of HeaIth Education Schools Oak Manor Offices - 29089 U.S. 20 West -Elkhart, Indiana 46514- 1198

Dear Ms. Glanker:

I am in receipt of your letter of January 26th regarding the complaint submitted to ABHES by Diana Garrett and Lartrenna ArMngton.

Diana and Latrenna enrolled in the Medical Office Procedures/Word Processing Program at the’main campus September 15, 1986. Diana withdrew January 13th, after completing 115 hours. Latrenna withdrew January 13th, after completing 110 hours.

The letter states that the studen"ts "...did not learn or progress in any way.

¯ ." Diana and Latrenna were just enrolled in the night program for two and one-half weeks before they requested and were granted a one month leave of absence. They attended just 33 hours before taking their leaves¯ It takes at least eight weeks for a student to finish the introductory course work in the program._When they returned to class November 6th the College had hired two new instructors in Word Processing. These two teachers were not able to keep their Commitments in the night program. Sergio Castro, the Director

-~ - of the Medical:: Office Procedures/Word Processing Program to-ok over the ::~ " -i night~~i~"~in~-tru~t ion i in order :t~ insure consistency in the admini stl:ation

i~:- ~:oif the~curri’c~lum.-.Diana and Latrenna seemed:to-.~Iose:interest in the

nd~at~nna .withdrew from the Colle he.~ppropnate refund

:were p "t t~ei~~ e ~- ~:-( aid o-the lende~ in order to reduce 7"

~ n It~bil~ . ~ : "; ~-,~

Enclosed are copies of their Notices of Te~ination.

--,It is unfortunate that Diana and Latrenna were’6ot:8ble tofinish the introductory part of their program before taking leaves ~f abser,ce. It is also unfortunate that they were not able to attend classes according to the terms of their Enrollment Agreements when they returned to school f[om theirleaves.

The College will contact both students and invite them to return to classes in order to complete their course work. It is our hope that Diana and

Latrenna will respond positively to our invitation.

Sincerely,

Anatoly Bidny’ President

ENCLOSURES

cc: Diana Garrett Latrenna Arrington

Ms. Latrenna Arrington 649 Pico Street, #4 - San Fernando, California 91340

Dear Diana:

Enclosed is your copy of our response to your: complaint to the Accrediting Bureau of Health Education Schools. As you can see from our response, we do not feel that you were treated unfairly.

We do feel that it is unfortunate that you were disappointed in your progress in the Medical Office Procedures/Word Processing Program, but I think that .if you return to classes you will be very satisfied with the Program and the instructors. Please call me directly so that I can make the arrangements for to return to school. I look forward to hearing from you in the near future. :

Sincerely, ,

.__--.I,..i.

Anatoly Bidriy President

ENCLOSURE

cc: Ms. Jeanne Glanker, A.B.H.E.S.

Ms. Diana Garrett - 649 RiCO s(r~eto #4 san Fernando, California 91340

Dear Diana:

Enclosed is your copy o~ our response to your complaint to the Accrediting Bureau of Health Education Schools. As you can see from our response, we do not feel that you were treated unfairly.

We do feel that it is unfortunate that you were disappointed in your progress in the Medical Office ProcedureslWord Processing Program, but I think that if you return to classes you will be very satisfied with the Program and the instructors. Please call me directly so that I can make the arrangements for to return to school. I look forward to hearing from you in the near future.

Sincerely.,.

/ ": I ¯

Anatoly Bidny --- "- President

ENCLOSURE

DAN’[~J A. ~~ 195 West El~ Avenue Burbank, California 91502 T~lephone (818) 954-8991

RESUME

t.bdated re: Februaz%~ 13, 1987

Vocazic?.~-i Ted-zica! Ccl!ege Heredia, Costa Rica Electrician Bach!or, Ncv~-~ber 1970

Unlve_=~,y of Ccs:a Rica San jose, Costa Rica Associate Deqree in Coypu. ter Sci=_n~, November 1981

~jor Courses:

Data Processing Word Processing Sy stem Arelisys Business English

Accounting Econ~miics Cobo! Pr .cqra.nw~ng Fortran Progr=..-m.ing

Human Reiations Business ~th I, II, Ii! Basic Pr _cgranrmtng Data Base ~.~enagement

June 1975, March 1980 ICE, San Jose, ODsta Pica

Time Progr~-Analyst Data Processing C~nter

May 1980, June 1982 Ccntract Ministry of Finance, Cesta Rica

Cc~m!. ter Consultant Automated Office

May 1981, January 1983 Ca~uter Training School San Jose, Cesta Rica

Part TL~e Owrer, Principal and Instructor

August 1984, September 1985 CLm!~.ters for Peeple Burbank, California

Tire Instructor Associated

Se~ 1985, Present Burbank Adult S~hcol Burbank, California

Part Time

Sept-=~er 198£, Present Learning Tree t~iversi_~y Chatsworth, California

C~ter L~mtructcr

Feb~y 1986, Present ~ ,~ino Ca~.uter Sy.~s

Part Tire C~.~uter Services

State of California Vccatic~a] T~acher ~eden~--i~!

Dr. David Bayer, Burbank D~lult Education Di_~-tor, Btu~a~ Unified School District, 36.11 Allan Avenue, Burbank, California 91505 Telephone: (818) 845-7237

Donald Norvell, Project ~-.gineer, Lock~_~ed~, 221 N. Thi_~ Street, Burba~2~, Califernia 91502..Te_!_=p..~ra: (818) 842-9064

Do~ald Sherman, Project Engine_r, L~ckbeed, 221 N. Thi..~ Street, Burbank, California 91502 Telephore: 1818) 842-9064 -

JGSEF I~3BERII-D MIIG~ , 131 l~ B~I~IE BRAE

¯ - [j~ .~-T.F~, CA 90026 (213) 484-8216

November 1979 to present

Webster Career College 222 South Hill Street Los ~geles, CA 90012 (~13) 625-1205

Supervisor: Dr. John Newlon, Dean of Students Position: Instructor Word Processing courses: Wp concepts, [HM Displaywriter, I]~! pc (words;at and displaywrite III) Systell (’~ords~ar); Office procedures O~her Courses: Typing I and If, Calculators, English, ESL (English as a Second Language), Mathematics, Records Management (filing), Proofreading, Business Correspondance, Spanish

~:ldit[onal duties: Cursor Club advisor, student counceling, tutoring (Spanish and word processing), monthly inventory of processing equipment, n~n~hly report on status of students

1975-1977

1972-1975

1969-1972

University of California, Los Angeles B.A. in Sociolgy

Los Angeles City College A.A. in Sociology

Beln~nt High School 1500 West Second Street Los Angeles, CA90026 Major: Business :kininistration

PRESENTATION OF QUALIFICATIONS

MARVIN G. PETTIFORD

12426 Cumpston Street North Bollyw.ood, CA 91607

(818) 761-9937

PROFESSIONAL BACKGROUND "" ~ ¯

1985- Program Director Pres¯ CHARLES R. DREW SCHOOL OF ALLIED HEALTH, Los Angeles, CA

Responsibilities for this 2 year Physician Assistant Program include: ¯ . . Supervising student classes in Clinical Medicine and

utilizing theory practicum ¯ . . Coordinating with 5 instructors on class development ¯ . . All aspects of school administration ¯ . . Writing grants ¯ . . Purchasing and vendor negotiation ¯ . . Hiring/supervising/training/motivating staff ¯ . . Developing policies and procedures ¯ . . Determining entry requirements/courses, of study . . . Budgeting ¯ . . Utilizing IBM PC to develop curriculum ¯ . . Chairman of Student Academic Performance Committee ¯ . . Chairman of Research and Evaluation Committee

Accomplishments: ¯ . . Redesigned/developed/expanded curriculum from I~ yea:s

to 2 years ¯ . . Established/developed overall policies and procedures

and student policies/evaluations/syllabus .... Maintained Federal/State accreditation

1981- 1985

Special Pro@ram coordinator/Instructor~.’-

UNIVERSITY OF SOUTHERN CALIFORNIA, Los Angeles,.CA

Similar responsibilities in Physician Assistant Program to above position in addition to: .... Deve!oping programs . . . Organizing recruitment . . . Formulating policies/goals/objectives . . . Remediation and student problem solving " ¯ ¯ . Medical instruction ¯ . . Interstate travel for recruitment.involving one-on-one

interviews and group presentations/orientations

Accomplishments: ¯ . . Developed recruitment strategies with emphasis on

introducing minority students " ~

1979- 1981

Physician Assistant

LOS ANGELES COUNTY, Los Angeles, CA S. CLAUDE HUDSON COMPREHENSIVE HEALTH CENTER

Responsibilities included: . ¯ . Obtaining patient histories ¯ . . Physical examinations, prescribing treatment and

assisting with patient education ’ ~..-_

PROFESSIONAL BACKGROUND (toni’d)

Respiratory Therapist ORANGE COUNTY MEDICAL CENTER, Orange, CA

1977- 1978

Responsibilities included: ¯ . . Respiratory therapy and rehabilitation medicine

EDUCATIONAL BACKGROUND

CALIFORNIA STATE UNIVERSITY, Dominguez Hills, CA Degree: M.P.A. (1984)

CALIFORNIA STATE UNIVERSITY, Dominguez Hills, CA Degree: B.S. in Health Science (1980)

NATIONAL BOARD EXAMINATION Certified Physician Assistant (1979)

PUBLICATIONS

Pe~tiford, Marvin G., "USC Phzsiclan Assistant Program" Heal~h Network, September l~a3, Vo!. 2, No. i0

PROFESSIONAL AFFILIATIONS (S~a£e & Nationa! Memberships)

American Academy of Physician Assistants Academy of Physician Assis~an~ Programs California Academy of Physician Assistants

SPECIAL SKILLS

Organizing .. Planning .. Developing projects and applying available resources .. Teamwork .. Public relations .. Communicating with all Levels of personnel .. Budgeting .. Personnel management .. Dedicated to the job-in-hand .. Utilizing initiative in problem solving .. Detail/goa! oriented .. Working under pressure to deadlines .. Adapting to new environments .. Accepting responsibility

Cl12.0 .

I~0 II 0 . C- C-~ .O ¯ (

IC 0 (. C C’C- ¯ ILOOCC,CO0(

¯ "" - 7._: " "- ~ "

~ETT’=’zC ~’L#VIN GERALD 13527 =RE~-Z STRE.ET

NATIONAL C81~I~IS$10N " 0N

rE.~TIFI~,ATION OF PHYSICIAN’S ASSISTANTS

MARVIN ~-_.RALD PE~IFORD

he~b), designated:

PHYSICIAN ASSISTANT-~E~TIFIE~

~t~non ~ate: 0~!0 1

Th~s ~e~f~canon ts onl~ ~alid when aceom~am~d h), the

I

NAT I oNAL -TECHN I C A’L COLL EG~ 12001 victory Boulevarcl.~/ North Hollywood, CA 916G. (BIS)/62-O95B

NOTICE OF TERMINATION

SUBjZCT: Financial Aid Refunds Explanation Program: ~!.~p. ~Je~l) P~. RF’: Student Name:

( //0 )Hours Complete~ = /Z % ~ Completed ~ % earned by school.

(~)Hours Contracte~

Total *GSL proceeds received by Other funds received by College C~11ege., I "NDSL.

Z. *SEOG. 3. *PELL. 4. Cash..

(A)TOTAL RECEIVED Ac:or~ina to our Refund-Withdrawal Policy:

~arne~ or Re~ained Tuition of i~ ~ X $ ~i Books/Supplies Earned Registration Fee

(B)TOTAL EARNED

:e-’un~s Already D~ne"

Stuoent / "P"LL / Lender .’ "SEOG ,~ ~

(C}TOTAL ALREADY REFUNDED

(D)TOTAL REFUND ;efund Due to Others (*NOSL, "SEOG, *PELL) S

:efund Due to Lenders from Colleee S ~5~,~ ~TUCENT ~UST REPAY "GSL S ~97 ~ G starting six months after last day of

"nfo. -Los: Date of Authorized Leave

":,~ES TO: :’z:e~t, L~nder, Student Fil~,

: , il~

"RETU~ID D!STF!BUT!ON" I. "NDSL=National ~ire:t Stu:ent

Loan 2. *SEOG:Su~olemental Educational

Omoortunity Loan 3. "GSL=Guaranteed Stuaen: Loan 4. "PELL=Basi¢ Educational O~por-

tunity Loan 5. Other:

,4 ’O,’iAL T--:HNICAL COLLE=~

ir. ancial Aid Officer

ev. 3186

Los ,~nmeles

North Hollywood ,

M-~. Jeanne Glankler, Assistant A~ministrator

Accrediting Bureau of Hea!t~h Education Schools

Oe/< M=~nor office 29089 U.S. 20 t’est El~art, L~ 46514-1198

March I0, 1987 "- Lt """:-L ~" t r-~:%~-~’"~

~e purpo, se of my let~er is to respond to corre .s-9ondence you received frc~ Jessie Terrell of our Los Angeles Ca~S.

On January 15, 1987, s~dents su~tted a list of .equi_~e-nt and supplies,

attached as Exhibit A, tc Mr. Salazax. He is cur Dean of students. ~. Sa!azar c~_.me to ~e on or around January 19, to present these d~. On January. 20, 1987, Mm. Salazar, Educational Coordinators Jacqualyn McHenry, Pau! s~obba, and Sergio Castro of Medical Assisting, Denta! Lab Technician,

~f~c~ to discuss sDeci- and ~vedica! Word Processor, respective!y, ~et in my o fic student conce-~ns- After a ~hort ~eet~ng, Mr. Jessie T~rre!l, President and ~:bert Duarte, Vice President of the student Council, joined us.

The topics covered included equi~e-nt, supplies; fees for same, and the - ¯ - -- for Den~ Tab Technician as w~s outlin, ed. ¯ availability of a Porce.~..a~. c-a~..~ _~.= _i~ w~re cc~zerned about the la~k ot .

k In a~ ~ tlcn, tne Ln cur handbco ¯ ¯ ¯ "~[a.~.. :left the school on December

. ::_- i." "i~’ ’:_ a .Plat _emel.n_.t_D "~Lre~..~or: _a~s__.~o~.~ ~e~,,At~w~a~ - " ’" ":’""

2. Outsupply syst~n was overhauled to be sure ~hat supplies reach cur Los Angeles Ca~pus on a timely basis. ..

3.. Machines fc~nd to be in a state of disrepair ~_re repaired. (It should be noted that any machines not ~rking were already out for repair at the ~ of the meetLng).

4. q~e cost of supplies, em.d honks ($350.00) us ju~ified in t_he Administration’s opinion. We did not, hc~=~er .~ut this in writing.

re,eat, not until you contacted Mr. Bidny had ~ny new cc~pl~nt sur- To . be ’ , of the s~!dents thmt si~cned t~he at-~cfned

~ced It Is n~! llef ~h~_t .n~n.y .... ~ .... ~h ~’-er attac-~-.~nts, dney ~’~it "A", c~d F.o :~c~ecc.e - - ~ ~nts ~cunt out a c~n~u

Dication pro~l~n. Fr~n ~n~-~ ~ discass s~d~nt concerns and Ccuncil President will meet once per ,~=~k to ~he solution to past concerns.

On ~hursdey, March 12, 1987, the Administrator ~et with a gathering of s~/d~nts, tmea3ing appr~tely 75, to discuss tiqe o!d petition, that was sent to A.B.H.E.S. ~he meeting lasted nearly 1½ hcurs, ar~ the students ~_re

’ to be cc~ to sullies and the cost break- angry. ~heir concerns ccnt_unue "- dcwn-as "-tO~:~.-~-~" Without goinq into enorn~us detail, I have attached

s~ad~nt bulletin beard. I have discussed

DATE: March 16, 1987

TO :

FROM :

Staff, Co-ordinators, Instructors, and Students

Mr. Edward J. Longo, Adm. ~

SUBJECT: Books and Supplies

Effective immediately, all new students who have received their initial funding (approx. 4 weeks after their starting date) will receive all books and materials as soon as possible thereafter.

Existing students will receive all supplies*, as outlined on the attached memoranda date March 13, 1987.

*Not already received

DATE: ,March 13th, 1987

¯ FROH: b~o F_. Longo, Administrator . ~

SUBJECT: Books and Supplies Price List~

Below you will find an itemized price list for books and suppl:es used in ~he Medical Office Procedures/Word Processing Course.

Title of Book Price

Introduction to Word Processing

Binder Medical Terminology Medical Office Practice Packet Accounting Essentials (Tex’.) Accounting Essentials [WOrkbook) [ntensive ,Records Management Medical Dicsiona~ IBM Displa~’ri~er User’s Guide Welcome to Words:at Xeroxed Materials Miscell~eous Materials

$47 .T5 $ 1.7s $39.50 526.25 $27 .’~0 $12.00 $19.7s $34.10 t32.95 $!5.27 ~30.00 $35.00

Other ltez~:

Lab Jacke:

$350.00 TOTAL

DATE: March 13th, 1987

FRCM: Mr. E. Longo, Administrator

SU5JECT: Books and SuT.~plies Price List

Below you will ffnd an itemized price lis: for books and supplies u~ed in the 51edical kssis:ing Course.

Books

Medi¢~l Dictionary, Comprehensive ~’dedi¢~! Assisting Medi¢~l Termino Io ~y Medi¢~l Mediczl Assis:~n~ ~rricul~ Binder Xeroxe/ Ma=eri~is

Price

$39 .so $36.8S $ 6.30 $30.00

Other items

Ste:hescope $ 9.90

Consumable Supplies SaO.O0

Uniforms $121.80

$350. O0

PLACEMENT UPDATE

DATE: March 13, 1987

TO: Staff, Co-ordinators, Instructors, and Students

FROM: Mr. Edward J. Longo, Adm.<~

SUBJECT: Placements

Belcw you will f~nd a list of the number of graduates in each department and the number placed in jobs.

DEPARTMENT

Dental Lab Tech

Medical Assistants

GRADUATES PLACED OTHER

7 1 6 Recent graduates (Feb & Mar)

9 Waived help Cannot be located

Medical Office Procedures/ Medical Word Processing 7 4 3 Recent graduates

(March)

EXHIBIT

"’A NL’3~’ CONCEPT IN CAREER

April 9, 1987

Ms. Jeanne Glankler Assistant Administrator Accrediting Bureau of Health

Education Schools Oak Manors Offices 29089 U.S. 20 West Elkhart, IN 46514-1198

Dear Ms. Glankler:

Thank you for your letter of Ma~ch 25, 1987 regarding our response tc the student petition sent to your office. In your letter, you asked for follow-up ioformation relative to student satisfaction with any steps taken to alleviate the problems as outlined in their petition.

The Co!le{e recc{nizes =he serisusness of these allegations and the importan6e of responding to each complaint and rectifying any defi- ciency that affects the quality of our programs.

"W~at do these students use for the approximately four weeks prior receiging initial funding?"

You have received a retail price list of books and supplies issued to students after completion of their core, c.f. my letter to you of March i0, 1987. The core curriculum covers the first four weeks of instruction in all programs of study with the exception of the Dental Lab Technician Program, which has its own Anatomy and Morphology core.

Medical Assisting, Dental Assisting and Medical Office Procedures/ Medical Word Processing students use the core material presented in Exhibit "A". The Material in this three-ringed binder (1504 pages) is printed and distributed to each students as they progress through the first four weeks of class. £he actual texts and materials identified on our price list are not issued to students until their core is completed and payment for books and supplies is received. Students who complete the core and have not paid for their books and supplies are issued xeroxed copies of appropriate material as they progress through their programs until payment is received.

12001 Victor5. Boulevard h,~nh Hoii~.,~,~od. CA 91606

Tel. (S lS) 762-0958

a00159 600 So Spring St. 6th R~or

Los Angeles. CA 90014 (2131 624-8937

So: ABHES .Page 2

Although Dental Lab Technology students are not involved in the complaint herein addressed, DLT students complete a separate

...:. ~ core..curriculum as.contained in our course outlines:previously. . submitted and on file at-ABHES. The DLT core consists of 16.64..

_ . -.:~.credit hours (300-clock-hours) of Anatomy and. Morphology~ .All .... students are issued a binder (Unit One - Morphology} which

bontains~:the program Outline and course description. All students ¯ ~:u.~. also:.receive, a~ I0 chapter-paperback (DTR - Dental

Referenc~ for Fixed Restorations~ published by J.F. Jelenko & Company, "1983); Furthermore, alIDLT students~re issued a dental kit as soon as they enter the program. This kit is issued as a "loaner" to students who have not paid for the materials included in the kit.. Students who receive loaner kits sign-in for their materials in the morning and sign-out when they leave in the afternoon¯ These same students receive xeroxed copies of appropriate printed material until such time as payment is received for their books. ~

We have completed a survey of the 86 students who signatures were attached to the complaint submitted by Jesse Terrell.

Of the 86 students.surveyed:

26 are no longer in school due to graduations and withdrawals

5 were unavailable or could not be contacted for this survey~

32 responded and completed the survey form

The student responses to this survey are contained in Exhibits "B". ¯The results of the survey indicate to us .that the majority of students involved in the petition were quite unfamiliar with the nature of the complaint, They were unaware that their signatures were being used by Jesse Terrell for a petition being sent to ABHES, and they had not read the attachments submitted to ABHES with the petition. The student responses support my concerns regarding the viability of the petition in my letter of March 10th.

As a-result of this petition, the College has conducted an extensive Student Evaluation of National Technical College, our programs, administration and general internal operating procedures as speci- fied in the attached 32 question evaluation form. See Exhibit "C". Approximately 275 students have responded to this eval_ation.

My initial reading of the students responses is that there is general support from the majority of our students of our programs, policies, instructors and classroom environment. Enclosed,please find copies of these evaluations.

We are planning another survey as illustrated in Exhibit "C" for May I, 1987, and every three months thereafter. On April 13, 1987 we extended an offer for employment of a full time Placement Director

)0160 00084

To : ABHES " " "’,.Page 3 - .. " .. -

for the L. A. Campus. This school is responding to the needs of our students and will continue to do.so in the future.

..’.,’ Admistrator National Technical College

ENCLOSURES

CC: Anatoly Bidny, President J. Timothy O’Neil, Financial Aid Adm.

00086

April 21, 1987

Ms. Jeanne Glankler Assistant Administrator Accrediting Bureau of Health

Education Schools Oak Manor Offices 29089 U.S. 20 West Elkhart, IN 46514-1198

Dear Ms. Glankler:

Enclosed please’find a copy of memoranda from John Salazar (Dean of Students) to me, regarding the student petition that was sent to you by Jesse Terrell.

I believe thit this information is self explanatory, and is of help in trying to understand causes, effects and solution of the petition.

If you have any question regarding this information, please do not hesitate to cal! me at 1/213-623-8937.

/

Adminis

12001 VictorV Boulevard No~h Holl~o~ ~ 91606

,.00

L~s Angel~s. CA 9(X}14

(213) 624893?

DATE: APRIL 17th, 1987

TO:

FROM:

RE:

Mr. Longo

Mr. Salazar~

Findings of "Petition Follow-Up"

I would like to share with you some of my thoughts regarding the questionarires I distributed concerning the Petition that was sent to ABHES in March of 1987. I found it very interesting that many of the students who signed the petition did not see the cover letter that accompanied was sent to your office and to ABHES. Some students thought that the petition was only to be sent to you and to Mr. Bidny to address the need of supplies for their various disciplines. Many were not aware, nor did they give their permission for the petition to be sent to ABHES or the Department of Education of the State of California in Sacramento. Many who were unaware of this were very upset that their signatures were sent to this institutions without prior knowledge or permission. One student told me that the petition that she signed had a different introduction letter. Another student said that the letter that was given to the forementioned was different than the one presented to her in January. In speaking with the students who filled out the questionaire I was infomed that they had signed the circulating petition for various reasons, i.e. requesition of student identification patches, hiring of an extra Core instructor, more seating in various classrooms, an oven for the Dental Lab department, the need of a Placement Director. Many of the students felt that things have changed and they are aware that others are to follow. I found it very interesting how many of these students had the petition mis-represnted to them or that information was lacking when they were asked for their signature. I hope that this will shed some insight to the problem of this petition and that the findings will be useful in your response to ABHES. ’

,0989

12001 Victory B~uievatd North Hollywood. CA 91606

Tel. (818) 762-0958

600 S~. Spnng,St. 6th Floor ~ Angeles, CA 90014

(213) 624--8937

S~udent~s ~ame:

Course of Study:

I.

PETITION FOLLOW-UP

Shefla

Medf~ Offi~ ~u~s

did you si~ the student ~etition of Janu~ ISth?

D~te: ~-!~-87

Signature Number:

2. Were you ~iven ~zy information concernin~ the petition and what it was to be used for? ~.-

3. Were you aware that the petition that you siFned was to be sent to the Accreditin~ Bureau of Health Education Schools (ABH~S)? ~/~’

~’ere you in agreement with the Detition that was sent to ABHES? ~’-

Were you in agreement that your sigmature was to be sent to ABPLHS?

Did you a:%en/ :he S:uden~ Meeting of J~nua~ 22nd, 19877 ~%a% were your i~ressions of this meeting?

7. Did you attend the Student Meeting of Marmh 12th, 1987? ~hat were your impressions of this meetLng?

8. Do you feel ~hat thin~s have chanted since the Administrator and Staff of NTC have addressed the issues mentioned in the petition? k%y or l’%y not?

Student Siznature

Noah Ho;:~oc.d. CA 91~,~6

Des.n of Students

PETITION FOLLOW-UP

Student ’ s Name : Kathy Baskins Date:

Course of Study: Medial Office ..~r~ce_~ures Signature Number:

1. k%y did you sign the student petition of January 15th?

2. Were you given any information concerninp the petition &nd what it was to be used for?

Were you aware that the petition that you siFned was to be ~en~to the Accreditin~ Bureau of Health Education Schools (ABF.ES)? Z~’~/~O~

~:ere you in agreement with :he petition that was sent

Were you in agreemen: :ha: your signature was to be sent to A~iE5?.

Did you artend :he $:uden~ ~ee:ing of January 22n~, 1987? ~at were your impressions of this meeting?

7. Did you attend the Stu£ent ~!eeting of Mar=.h 12th, 19877, What were your impressions of :his meeting?

Do you feel that thin~s have =.hanged since the Admlnistrator and .~:aff of NTC have addressed the issues mentioned in the .petition? Why or ~.%y not?

ffC[e~ Si ~natu.,’~

12UOI Victor.." 5oulev~rd North Holk~oed. CA 91bO6

T~!. (81S~ 7o2-’:95g

Dean of Students

60.0

"A .’~&’~t [.(AxCEFI" IN CAblEER THAI.’qN~’"

PETITION FOLLO~- UP

S~uden~’ s N~e : ~voris ~ Da~e : ~I~-87

Course of Study: ~n:~ ~ Tec~ici~ Si~a~ure N~ber:

i .~ ’ w ~" ~

3. i:’ere 7ou aware that :he petition that 7ou si~ned was to be ,sEnt to the AccreditinI Bureau o£ Health Education Schools (AEHES)? Jj~2

w..n the petition that was ~sent to ABH~S? 4. ~.’ere )’ou in agreemen: ’~÷"

5. %~’ere you in agreement that your signature was to be sent to AEPLES? ,~ ~O

6. Did you a:tend :he Student Hee:ing of January 22rid, 1987? kha~ were [our imp.ressions of__~his me.e~n~ ~/ ~./ /

7. Did you a:tend the Student Fleeting of Mar~.~ 12th, 19877 k~at were ),our impressions of this meetfng?

Do you fee! ~ha: things have changed since the Adminis%rator and Staff of ~.TC have addressed ~he issues mentioned in the .petition? Why or

~-5Iudent 5iKna:ure

121’(: I V~cm~" Boulevard

" ’ ’.~;~,,. 7"-.2-’,~5~

Dean of Students

PETITION FOLLOW-UP

Name : Sandra Mam~inez Date : ~-!~-87

Course of Study: Medir=- I Office Procedures Signa:ure Number:

did you sign :he s:uden: De:ition of January IS:h?

Were you ~iven any infor~..a:ion ¢oncernin~ :he Deti:ion and what it was to be used for?

Were you aware that the pe:ition that you sizned wss to be sent to the A¢creditin~ Bureau of Health Education Schools (ABKES)? w~ ~

Nere you in agreemen: with :he De:ition tha: was sen: to ABP~S? ,,_~ ~

Were you in agreemen: tha: your signature was to be sent to .~HZS? >i 5

Did you a:tend the S:uden: ,~leeting of January 22rid, 19~77 .._..~.

hhat were your i=pressions of ~his meeting? ~

Did you attend ~he Student blee:ing of Marc~h 12th, 19877 ~,hat were your impressions of ~is meeting?

Do you feel :.hat thin~s have changed since the Administrator and Staff of

NTC have a~r~sed t.he issues mentioned in ~he petition? ~y or Why not?

CC993

Dean of S=uden~s

16"7

PETITION FOLLOW-UP

Student ’ s Name : Retie Pitch.for~ Date: 4-14-87

Were you aware ~.hat the petition that you si~ned was to be sent to the Accrediting Bureau-of Health Education Schools (ABH~S)?

Were you in agreement with the petition that was sent

Were you in agreement that your signature was to be sent

Did you at:end the Student ,Hooting of January 22nd, 1987? ~hat were your impressions of this ~eeting?

V-~ ~ ~ ~-~ ~ ~’ ~ ~~’ -" ~ ~’~ "

Did you at:end the Student Heeting of ~r~ 12%h, I~87~. ~~

Do you feel ~hat thin~s have c.hanged since the Administrator and Staff o£ NTC have addressed the issues mentioned in the petition? Why or ~[ not?

12001 Victor~ B~ulevard North Hotl.~.~o~. CA 91606

T,, ~SlSi 762-(:95~

Dean of Students

600 So

#

S~udenz ’ s Name :

Course of Study:

1. Why did you sign the student petition of January ISth?

2. Were you ~iven any information concernin~ the petition and what it was to be used for?

3. Were you aware :hat :he petition that you si~’~ed w~s :o be sent to the Accre!i’~ing Bureau of Health Education Schools

~. Wer~ you in a~reer.en: with the petition ~ha: was sen: ~o ~S?

S.- Were you in a~reemen: :ha: your si~a:ure was ~o be sen: to ~S?

6. Did you a::end ~he Student Mee~ing of J~ua~ 22nd, 19877 ~%a: were your i~ressions of ~his meet~g?

7. Did you a::en4 ~.he Student Meeting of Mzrch 12~h, 1987? What were your impressions of this

8. Do you .feel ~ha: thin~s have ~.h~age4 since ~he A4ministrator and Sta£f of NTC have a~ressed the issues mentioned in the petition? Why or Why not?

Student Si ~-natu’r e

12001 Victory Boulevard ¯ North Hol!y~od. CA 91606

T¢!. {8ISi 762.O958

Student ’ s Name :

Course of S:udy:

1.

PETITION FOLLOW-UP

Birdie Mass

Medical Office Procedures-MAP

Date: 4-14-87

Signature Number:

Why did you siKn the student petition of January 15~h?

2. Were you given any information concerninp r_he petition and what it was to be used for?

3. Were you aware that the petition that you sirned was to be sent to the Accrediting Bureau of Health Education Schools [ABH~S)?

4. Were you in agreement with the petition that w~ sent to ABHES?

5. Were you in agreement that your signature was to be sen% to ABHH5?

6. Did you attend :he Student Meeting of J~ua~ 22nd, 19877 ~ha: were your i~ressions of ~his mea:in~?

7. Did you at:end ",.he Student Meeting of March 127_h, 19877 ~hat were your impressions of this ~eting?

Do you feel ~hat things have changed since the A&ninistra~or and Staff of h-fC have addressed the issues mentioned in ~he petite-n? Why or ~y not?

~t ~de~t Siznature

12001 Victory Boulevard North Holb.;’~..ood. CA 91606

T,d iB: S/762-0956

- ’ ~ean of Students

600 So 5pnng St. 6th Eocr L~s A.nge:es. CA q00;4

(213:624-89";7

PETITION FOLLOW-UP

1. l~’hy did you sign the student pet.ition of January ISth?. e

W’~’r-~6u~iven any information ¢oncernin@ ~he-peti~ion and what it was to be used for?

~ere you aware that the petition that you siFned was to be sent to Accrediting Bureau, of Health E~ucation S~hools

Were you in agreement with the petition :hat was sent to ABH~S?

~’ere you in agreement that your si~a:ure was to be sent to ~S?~

Did you attend the Student Meeting of Janua:D, 22rid, 19%77 hhat were your impressions of this meeting? _

Did you attend the Student Meeting:of March 12th, 19877 ~at were your impressions of ~lis meeting?

Student Signature

Do you feel %hat things have ~hanged since the A~m~nistrator and Staff of NTC have addressed the issues ~ntioned in the petftion? Why or WY not?

. De~ of S=udents

12001 Vic~o..." Bouievard Nonh Hc~h,’,,*ool CA 91606

T~; 5lS~ 702-0958

000171 ~00 So. Spring S~. 6,J’, Floor

Los Ange~,s. CA 90014 (213) 624.8937

PETITION FOLLOW-UP

Dab:e:

Signature Number:

I. Why did you

2. Were you given ~y info~a~ion conce~inF ~he petition ~d wha~ be used for?

Were you aware ~ha: the petition that you sizned was to he sent to ~he Accreditinz Bureau of Health Education S~ools ~AB~S)? /~

4. Were you in agreement with the petition thaz was sen~ ~o ABF~S? ~’~

S. Were you in agreemen= :hat your si~azure was to be sen: ~o ~S?~~ ~ /

6. Did you at:end ~e Student Meeting of J~ua~ 22rid, 1987? /~ ~a: were your i~ressions of this meeting?

e Did you at:end the Student Mee’.ing of March 12th, 19877 What were your impressions of %his meeting?

Do you feel that thin~s have changed since the Administrator and Staff NTC have addressed the issues mentioned in the petition? Why or Why not?

. .. . ; . . ~,’. ¯ " .

~,, .’ " ./ /)

12001 Victor. Boulevard No.h Ho,,.~ed. CA 91606

Tel ($18~ 762.0953

600 5~ 5~gr, g St. 6m L=$ A.’~s. C~. qO014

1213, 624.8"337

Student’ s Name : Geraldine Rodri~uez

Course of Study: Medical Office Procedures -b~PSi~nature Number:

I. Why did you 5i~n the student petition of Danuar~ 15th?

Da~e:, A~ril 8, 87

19

2. Were you given any information concerninF the petition and what !t was to be used for?

Were you aware that the petition that you siffned was to be sent to the Accrediting Bureau of Health Education Schools (ABH~S)? ~/i~

Were you in agreement with the petition that was sen: to AEEES? A!O

Were you in agreement that your signature was to be sen: to A~S? ~/0

Did you attend the Student Meeting of January 22rid, 19877 ~at were your impressions of this meeting?

7. Did you attend the Stu4ent )leering of March 12th, 19877 </3 What were your impressions of ~his meeting?

Do you feel that thin~s have c~hanged since the AcLninistrator and Staff of NTC have addressel the issues mentioned in the petition? ~%y or ~%y not?

/

¯ Student $izna£ur~/ ~

12001 North Holl.v~ood.

Td

000173 Dean of S~uden~s

600 So 5pnng S{.. 6~h Floor Los A.n~las. CA oOOl~

(213, u2.1.-$ "-37

Course of Study: ~edical Assiting Silrnature Number: 69

I. Why did you siirn the student petition of January 15~h7

2. Were you given any information concernin~ the petition and what i: was to be used for?

3. Were you xware :hat the petition tha~ you si£ned was to be sent to the A¢crelitinz Bureau of Health Education Schools CABH~S)?

4. Were you in agreemen: with the petition that was sent to A~HZS?

5. Were you in agree=an: :hat your signature was to be sent to A~P~S?

6. Did you attend the SIuden: HeetinE of January 22nd, 19877 %ha: were your i~ressions of :~s mee:inE?

7. Did you attend ~.he Studen~ Meeting of Mar~h 12th, 19877 What were your i~pressions of this meeting?

8. Do you feel ~hat thinzs have ~.h~nged since the A4~ninistrator and Staff o~ NTC have addressed the issues mentioned in the ~e~ition? Why or ~hy no~?

000174

Student Signature

12001 Vic~os" Boulevard Nonh HolI~,.~,~cd. CA 91606

TeL 1~18:762-0958

(M~0 So Spen9 5(.. 6~h lm.oor l.~s A.ege]es. CA 90014

{2!3: 624-8937

PETITI O~ FOLLO~-UP

Student’s Name :

Course o£ Study:

Desnn~ Dennis

Medical Assistnat

Date: .April 8th. 1~7

41 Si~rnature Number:

I. l~%y did you sign the student 9etition of January 15th?

Were you given any information concerninF the petition and what it was to

Were you aware that the petition that you si~rned was to be sent to the Accre!iting Bureau of Health Education Schools (ABP~S)°. )~-~,~_ .

V:ere you in ~reer.ent with the petition that was sent to ABHFS? ,%~~

Were you in agreement that your signature was to be sent to A~HES? ,~

Did you attend the Student Meeting of January 22ud, 19877 ~ha: were your i~q~ressions of this meeting? .,

Did you attend t.he Student Heeting of March 12:h, 19~77 ~!- --- What were your impressions of t_his ~ee~i~g? ’

Do you feel t.hat thin~s have ¢.h~nged since the Administrator ~nd .~taff of NTC have a~ressed ~he issues mentioned in the petition? W~y or Why not?

Student Signature

000175 <...:1001

Dean of Students

1200 ! Vic:ory Boulevard No,xh Hc,, .~ood. CA 91606

T~! (815~ 762-0~58

~00 ~o Sptrng St..

PETITION FOLLO~-UP

Sonya Lope: Da~e: April 8, 1987

Hedioal Assistant Signature Number: 84

I~%>- did you sign :he student petition of January ISth?

Were you ~iven any information concerninF the petition and what it was to

~!ere you aware :hat the petition that you sizned was ~o be sent ~o the Accrediting Bureau o£ Health Education Schools (ABFIES)? ~-~

w.,n ~he petition that was sen: Were you in agreemen= ~’"

Were you in agreement that your signature was :o be sen: to ABP, ES? ,-~.

Did you at:end ~he Student Mee:in~ of January 22rid, 1987? ~a: were your impressions of this meeting?

7. Did you attend ~he Student Meeting of March 12th, 19877 ui¢-i What were your impressions of ~.his meeting?

8. ~ you ~el ~a: ~hin~s have ~ged since ~he A~inis~ra~or ~d 5~aff o~ NTC have addressed :he issues menzioned in the p~ition? ~y or ~y no:?

0001,76 Dean of S~:uden:s

12001 Victory Boulevard North HoL.v~oc.. C.A ~1606

600 5~ S~nng ~-. l.e~ Ang~ie$. CA 90014

(213; 624~937

Student ’ s N~me :

Course of Study:

1.

PETITION FOLLOW-UP

Erika Meza

Dental L~b Te~h

Daze: April 8, 87

Siznature Number: 29

Why did you sign the student petition of January 15th?

2. Were you ~iven any information ¢oncerninF the petition and what it was to be used

Were you aware that the petition :hat you sizned was to be sent to the Accredi:in~ Bureau of Health Education Schools

4. Were you in agreement with the petition that was sent ~o ~S?

5. Were you in a~ree~ent that your si~a:ure was to be sent

6. Did you at:end :he Student Meetin~ Of J~ua~ 22rid, 19877 ~ha: were your i~ressions of this meetinE?

7. Did you at:end r, he Szudent ~leetinz of March 12~.h, 19877 What were your impressions of ~his meetinz?

Do you fee! ~ha~ th’n~s have ~h~nged since the Administrator and Staff NTC have addressed the issues mentioned in the petition?

Student Si~ature .

Why or ~rny not?

Deea of Students

1200 ! Victor." l~ulevard North Holk’~,’ood. CA 91606

PETITION FOLLO~oUP

Student’s

Course of Study: Lab Tech

Date: A~r~l ~. 1987

Signature Number: 46

I. Why did you sign the student petition of January !ath?

Were you given .any information =oncerninp the petition and what it was to . be used for? =/~,~ ~-=-~, . ~,.L~- ~i~,i,? .’/~,.~." :,~".L--~;~u -+,."~l~"~Z ./ .,% ~/.P"~’~"’

Were you aware that the petition that you sizned w~s to be sent :o the Accrediting Bureau o£ Hea!:h Education Schools (AJ~H~S)? t,#~°

4. Were you in agreezen: with the petition that was sent to ABP~S?~

S, Were you in agreezen: that your signature was to be sent to AB~S? _"~

Did you attend the S=uden: Heecing of January 22nd, 1987? ’.’.~,~’ What were your i~ressions of this meeting? ,.

.~., ~,~

7. Did you attend the Student Meeting of Mar=h 12~h, 19877. ,,.~ "4’~ ~",ti~ .=’ ¯ What were your impressions of t.his meet~g?

Do you fee! t~hat things have ~hang,,’ since the Administrator and Staff of NTC have addressed :he issues mentioned in *.he petition? Why or ~%y no!?

,..%�" z_,L...~,..’,- ~,,.:, ,’~ :’,’, " !, ~,, ~’,",, ,, ’,’ ;", ~ ~L ._.J..,~ ~"~;.-; .,; .,,.. %,.’..,-, ~,,.,’~ .’.’.;t-’,.’~...b~ ’~’.’.’-...., .J.,.._. 0,.. ..;,.,-.,--.--..,- , ¯ ’

12001 Victory Boulevard North H011Vwood. CA 91606

T~I. (818) 762-095.~

000178 Dean of Students

600 So S~nng St. 6~h Floor

(2.13~ e2.1.8~37

P£TITION FOLLO~-LIP

Student’s Name: Claudia ~eza Da~e: ~riI 8, lg87

Course of Study: Dental Lab Tech Signature Number: 27

I. Why did you sign the student petition of January. 15th?

Were you $iven any information ¢oncer~in~ the petition a~d what it was to

Were you aware that the petition that you siFned was to be aent to the Accreiitin~ Bureau of Health Education Schools (ABP~S)? ~,

Were you in agreement with the petition that was sent to ABF~S?,-~-’,~ ~° ’

~ere you in a~reemen: that your signature was to be sen: to ABH~S? [~i~,

Did you attend the Student Meeting of January 22nd, 19877 \! ~ ~ i. i

Whau were your impressions of ~his meeting?

o.

Did you attend ~he S~ude~t Meeting of Ft~rch 12:h, lg877 \ , What were your impressions .of t.his meeting?

Do you fee! r.ha: thinEs have chmuged since ~he .’.!ministra:or and Staff of NTC have a~dressed ~he issues mentioned in ~he p~tition? Why or Why not?

12001 Victory l~ule~arcl North Holh,’~z>oct. CA 01606

600 ~. Spring S~.. 6~h Floor Los Angeles. CA 90014

~213, 62e,-8937

Student’ s Name: Roger Romero

Course of Study: Dental Lab Technician

PETITION FOLLOW-UP

Date: April 7, 87


Why did you sign the student ~etition of January. 15th?

Were you given any in;ormation =oncernin be used

5. Were you aware ~hat the petition that you sizned was to be sent to the Accreditin~ Bureau of Health Education Schools (ABH~S)?

4. Were you in aEree=en: with the petition ~hat was sen: ~o ~P~S?

5. Were you in a~reemen: :ha: your si~a:ure was to be sen: to

Did you attend ~e S~uden: Mee:inE of J~ua~ 22nd, 19877 ~a: were your i~ressions of this meeting?

Did you at:end ~.he S:uden% Meeting of March 12:h, 19877 What were your impressions of ~his meeting?

Do you fee! ~hat thin~s have changed since the AdmXnistrator ~nd Staff of NTC have ~ddressed the issues mentioned in the petition? Why or ~%y not?

12001 Victor,, Boulevard North Hollywo6d. CA 91606

Tel. (818) 762-0958 1213~ ~2~-8~37

"A NEW CONCE~r LN CAREE~ TRAINI.~’G~

PETITION FOLLOW-UP

Student ’ s Name: Maria Rome~o

Course of Study: ~(edical Office Proc./)HWP

Date: A~.ril 7, 1987


o

Did you attend the Student Meeting of March 12:h, 19877 What were your impressions of ~.s meeting?

PETITION FOLLO~-UP

Date: Apr~l 7th, 1987


~%y did you sign the student D.etition of January. ISth7

Were you given any information concernin~ the petition mud what it was to be used for?

3. Were you aware that the petition that you si~ned was to be sent to the Accrediting Bureau of Health Education Schools (AB~LES)?

4. Were you in a~emen: with ~he petition ~ha: was sen~ ~o ~57

5. Were you in agreemen~ :ha: your si~ature was :o be sent ~o ~S? ~,~

Did you attend :he S=uden: Meeting of J~ua~ 22nd, ~9877 ~a: were your i~ressions of this meeting?

7. Di~ you attend the Student ~{eeting of March 12~h, 19877 ~at were your impressions of t.his meeting?

Do you feel that things have changed since the Administrator and Staff of NTC have addressed the issues mentioned in the petition? Why or Why not?

"°A NE~\’ CONCEFJ" LN ~F~

PETITION FOLLOW-UP


Course of S’.udy: Dental Lab Technician

Date: April 7, 1987


did you sign :he student ~etition of January

\-

Were you ~iven any infor~azion ¢oncernfnF the petition and what it was to be used for? ~O_~

3. Were you aware that the pe%i:ion that you sfm’.ed was to be sen: to the Accre/i’.ing Bureau of Health Education Schools (AB~5)? ~

4. Were you in a~reemen: wi:h %he pe%ition tha% was sen: :o ~P~S? ~¢

,.= Were }’.=u in agreement :hat ,your si~ature w~s :o be sen: :o ~S? ~.~ ~

Did you ~z:er, d :he Student ~ee:ing of J~u~ 2~, 19~77.. ~,,~? ~%a: were your i~ressions of :~s mee:ing?

7. Did you at:end the Student ~eeting of March 12:h, 19877 .~...:"_, What were ),our i~pressions o£ ~his meeting?

Do you feel :hat things have changed since the A~..~inistrator and Staff of NTC have addressed the issues mentioned in ~he petition? Why or ~y not?

Stu~en~ ~Signature

~00"5o 51~ .9 - ’

Student’s Name:

Course of Study:

1.

PETITION FOLLOW-UP

Sear Stewar~ Date: April 7, 1987

Dental Lab Technician Signature Number: 22

did you sizn the, student oetition of Januar/ ISth?

Were you given any information concerning t_he petition and what it was to

3. ~:ere you aware that the petition that you si~ned was to be sent to the Accreditinz Bureau of Health Education Schools (AB~S)? /v/~

i. %~’ere you in agreement with the petition that was sent to ABH~S? //O

Were you in agreement that your signature was to be sent to ABH~5?

Did you azzend -,.he Student Mee:ing of January 22nd, 19877 ~ %hat were your impressions of rkis meeting?

Did you attend the S~udent Meeting of March 12~h, 19877 What were ),our impressions

~ you feel ~at thin~s h~ve NTC have addressed zhe issues mentioned in zhe pe~i:ion~ ~Y or why no~?

Student Signaeure ¯

12001 Victos- Boulevard

000184


Course of Study:

1.

~rk Simmons

Dental Lab Tech

Date: April 7, 1987


~’Y~tdid y~. sign~5~.the student./_ " ~uDetiti°n of ~k~- L~,January 15th?

2. Were you given sn>" information concerning the petition and what it was to

Were you aware that the petition that you si~rned was to be sent to the Accredi:ing Bureau of Health Education Schools (ABH]~S)?

4. Were you in agreemen: with the petition that was sent to ABKE5? ~/~

5. Were you in aEreemen: that your signature was to be sent to ABH~S? ~/~

Did you attend the Szudent Meeting of Janua.’7 22nd, 19877 What were ),our impressions of this meeting~

7. Did you attend the Student MeetinE of March 12th, 19877 What were your impressions of Ikis meeting?

Do .you feel that thin~s have changed since the Administrator and Staff of NT~ have a~dressed the issues mentioned in ~he petition? Why or Why not?

12001 Vi~ory Boulevard Noah Hoil.~ood. CA 91606

Tel. {SlS; 762-0958


600 S~. Spnn,~ St. 6fl~ Root L~ Ac.~. CA 90014

~213, ~24-8937

Student’s N~¢~e:

Course of Study:

I.

"’A XEW Cu.x,’:L/*T ~N C,*.HEEH TRAlXI.N~’"

PETITIOE FOLLOX-UP

Alma Puente

O~, zce .~rocedures

Date : ~-I~-87

Signature Number:

Why did you si,~n the student ~etitio/~ of Januar~ ISth?

Were you ~iven ~y info~a:ion conce~in~ the petition ~d what be used £or?

o you aware that the petition that you si~rned was to be sent to the Accreditin~ Bureau of Health Education S~hools (ABH~S)?.~/~ ~

4. l’-’ere you in agreement with the petition that was sent to A~HES? .~/._-.~,,

Were you in agreement that your si~a~ure was ~o be sent ~o /

6. Did you attend ~he Student bleeting of J~ua~ 22nd, 19877

l~a~ were your i~ressions of ~his meeting? ~

~,~ ~,~ ~ ,,~ ~~ "/ M. ~ ....

7. Did 9o~a::end ~Szu4en: Meeting of ~r~ ~2~, 19877 ~a: were your i~ressions of zhis

8. Do you feel tha* thinfs have c.hanged since the Administrator and Staff of NTC have addressed the issues mentioned in the petition? ~%y or ~y not?

12’aO1 V~cto.%" Boulevard North Hoi!y~ov" CA ~1606

Dean of Students

000186


Course of Study:

1.

"A .~’£%%" CONCEPT l.g C.~EER TRAINING"

P ~- T I T I ON FOLLOW- lip

Ruben Brow~

Dental Lab TEch.

Date: April 7, 1987


did you sign the student petition of January 15th? ~

2. Were you given any information concernin? the petition ~nd what it was to be used for?

3. Were you aware that the petition that you signed was to be sent to the Accre£iting Bureau of Health Education Sckools (ABH~S]?

4. Were you in agreement with the petition that was sent to 2uBH~S? ....

S. Were you in agreement that your signature was to be sent to ABH~S?

Did you at:end the Student Meeting of January 22rid, 19877 h~at were your i~ressions of ~his meeting?

7. Did you attend the Student Meeting of March 12th, 1987? What were your impress.ions of this meeting?

o Do you feel that things hay( ~hanged since the Administrator and Staff o~

NTC have addressed the is sues m~ed ~n the pe~y or ~hy not?

.

Student Signature

12001 Victory Boulevard Nonh HoI:~-.ood. CA 91606

(.IC’lG

St. 6m F~,

Student’s N~me:

Course of Study: Dental Lab Tec.h.

Date: April 7, 1987

Signature Numb.it: 38

I. Wh7 did you sign the student petition o£ January. IS~h?

2. Were you given any information concerninF the petition and what it was to

3. Were you aware that the petition that you si~ed was to be sent to the Accrediting Bureau of Health H~uca~ion S~hools (~S)? ~

Were you in agreement with the petition that was sent to

Were you in agreement that your signature was to be sent to ABH~S?"

Did you attend the Student ~leeting of January 22nd, 19877 What were your i~pressions of this meeting?

Did you attend ~e S~uden: ~lee~ing of Mar~ 12~h, 19877 ~~~ ~a~ were your i~ressions o£ ~s ~e:~g?

8. Do you feel that things have changed since "he Administrator and Staff of NTC have addressed the issues mentioned in ~he petition? Why or Why not?

°

/ Szuden~ Si~a:~e . . ~an of Stucenzs

OOO188 12001 Victor~" Boulevard 600 $� $�-,g St. 6rh Floor

No.’~h Hol!.vu,~od. CA 91606 Los An~c:es. CA .a0014 TeL (818i 762-0958 ’ (213:~,24-8a37

PETITION FOLLOW-UP

Student’s Name : Waiter Rodriguez Date: April 7, 1987

Course of Study: Dental Lab Tech. Signature ,~5=mber: 32

I. Why did you sign :he student petition of January 15th?

Were you ziven any inforna~ion concernin~ ~he petition and what it w~s to

Were you aware ~ha: the petition that you siFned was to be sent ~o :he Accreditin~ Bureau o.= Health Educaticr, Schools (ABH~S)?

Were Tou in agreement with the petition that was sen: to ABH~S? 7",~

Were you in agreez, ent that your signature was to be sent

Did you at:end the Student Heeting of J~nuary 22rid, 19877 ~at were your impressions of this meeting?

Did you attend ~he Student Meeting of March 12~h, 19877 What were your impressions of this meeting?

Do you feel tha~ thin~s have changed since the Administrootor and Staff of NTC have addressed the issues mentioned in the petition? W~,y or Why not?


12001 Victor~’ Boulevard North Hol~-.vo¢,d. CA ~Ib06

T,d. IS I S~ 762-(:q58

Student ’ s Name :

Course of Study:

PETITION FOLLOW-UP

$ anan~ha Manikad Date: A~ril 7, 1987

Dental Lab Tec~hnician Signature Number: 53

I. ~%y did you sign the student petition of January. 15th?

Were you given ~ny information ¢oncerninF the petition and what it was to be used for?

Were you aware that the petition that you si£ned was to be s.e_~: :o :he A¢:rediting Bureau cf Health Education Schools (ABH~S)? ~--~

Were you in agreement with the petition that was sent to ABHES?~ ~

Were you in agreement tha: your signature was :o be sent

Did you a::end the Student bleeting o£ January 22rid, 19877 ~ha: were your im?ressions of this meetins?

Did you attend %he Student Neeting of March 12th, 19877 What were your impressions of %his meeting?

8. Do you feel that things have changed since the Administrator and NTC have addressed %he issues mentioned in ~he petition? ~hy or ~y no:?

12001 Victor" B~ulevard Nonh Holl,:~=I. CA 01606

Tel (S18) 762-0956

Dean ~y Stu(~ents

600 5,= Spr.ng ~.. 6m F~r

~213. ,}24-8-337

PETITION

Course of Study: ~\ I. ~~

’A :;E\;" CONC.F.PT I.N CAflEER TRAINING"

FOLLOW-UP

Da~e:

Sigua~ure Number:

did you sign the s:ude.’..: we:dijon of January. 15th?

! ~ .. \ __~\-

2. Were you given any info.-za:ion concerninp the petition and what it was to be used for?

~ ~.~0~- ..,-- j

3. Were you aware :ha’. the petition that you sifned was to be sent to the Accredizin~ E"r+-’.’, ~= of H.a.zh~ ’ E£ucatien Schools

Were you in agreezen: ~!:h :he petition that was sent

Were you in agreement zhaz your si~a:ure was ~o be

Did ycu attend :he Szuien: Meeting of Janua~ 22rid, 19877 hha: were your i~ressions of this meezing?

7. Did you attend t~he S=uien: Meeting of March 12:h, 19877 2.-, tier=’] ~-~ v’,,..,.,o. l~at were your i~pressions of this meeting?

Do you feel :ha: thinfs have c.hanged since the Aclminiszrator and Staff of NTC have addressed the issues mentioned in ",.he petition? ~%y or Why not?

S t ude~%~: Signa:ure

12001 Victory Boul~vard North ’ ’ Ho.~wot,d. CA 91606

T¢! t~lSi

PIE T I~I ON F 0 L L 0 W - U P

2. Were you given any infor~-:a:i+n ¢oncerninF :he petition &nd what it was :c be used fzr?

o

l;’ere you aware ",ha: :he pe=i%ion :hat you si~ned w~s %o be sent to :he A:creliti.-.; ~ure~’a :f Hea+.:h E£uaa=:cr. Schccls (A.~F’=S)? ~%~

~qere }’cu in a~reezent h-: sigmature was to be sent to

Did ycu~-:-...n!o ~ :he Student Meetin~ of Ja.nuary 22rid, 1987? ~’naz we.-e >’our i~ressions of this meeting?

were your imp. ressions of :his mee:in;?

D~ you fee! that :hines have changed since the A4rdnistrator and Staff NTC have addressed the issues mentioned in the petition7 ~y or %},y no:?

"’A ,\’E~%" ~.U.\’C~PT L\’ CAI~EE~ T~AL%’I.\’GL

did you si~.. the student ~ A~,~"" ,~ ~

2. Were you ~iven mny infor~.,,a:ion ¢oncernin~ the pe:i:ion and wha: it was to be use£ for? ~,~�

4. Were )’cu in a~reemez: wi:h the pe:ition that was sen: to ABH’-_�?

5. Were you in a~reemen’, thaz your si~.a:ure was :o be senz ~o

6. Di£ you a::end ~e S~udenz ~leetin~ of J~nua~ 22n4, 1987?., h~- were your i~ressions of ~his mee:in~?

7. Did you attend uhe Student Meeting of March 121h, 19877 ~.~ What were your impressions of :.his meeting? ~

8. Do you feel ~ha~ :h!n~s have r~hanBe4 since ~he Achninis~ra~or ~nd Staff of NTC have a~resse~ the issues men~ione~ in ~he ~e:i~ion? Why or Why not?

Student: Signature

12001 Vic~or~ Boulevard North Hol!~%ood. CA 91606

Tea (818, ~62-0958

Dean of 5tuden=s

600 So S~nng SL~ 6.’h ~o~r

PETIT I O~ FOLLO~oUP

Student’s Name : Albert Rubio Date: ~-9-87

Course of Stud}" Signature Number: 7~

I. Why did you sigr. the student ~etitior, of Ja.-.ua.-~" ISth?

2. Were you ~i’.’en ~ny information ¢oncernin~ the petition and what it was to be used for?

Were you a~are that the petition that you siFned w~s to be sen: to the .A~crelitinF Eureau cf He~i"~ Education

Were vc,’, in agreement with the Detailer., that was sent to ABHES? "-’"’o-- ~. ;,-"

Were you in a~reeme.nz that your signature was to be sent %0 A~FL~5? .~’;’~c.//. z

Did ycu aztez! the Student ~Ieeting of January 22rid, 19877 ~hat were your i...~ressions of this meeting?

7. Did you a:tend :he Student Meeting of Mar~h 12:h, 19877 What were your impressions of this meeting?

Do you fee! that things have changed since the Afr, inistrator and Staff of W~ c { NTC have a~iressed the issues mentione~ in the ~etition? Why or ~y not~//~=~

12UOl V,cto%. Bou:e.,

Dezn of Students

0001~ 600 So. S~.n, St los ~ge;~ CA

.---.

Student’s Name:

Course o£ Study:

OLLOW-UP

.., ~/ Date :

Signature Number ¯

o Were you given an)’ info,--~..~a:ion ¢oncernin~ the petition and what i: was to be used for? ,..~ /~:~c L.=.’~/,L’~:.=~ " / ~ ~ ¯ ¯

o l’;ere you aware that the petition that you sirned w~s to be sen~ ~o lhe A:zre-’i-.i.-.~ Bure&u cf Health E:’uca%ion Sc~noc!s CAB~S]? .; ,"’-~- :~- --"

Were you in agreement with :he oe:ition that was sent

Were you in agreezen: tha: your siF, a:ure was to be sent to A~HES? ,~_5-"

Did you a~:en~ the S~uden: Meeting of J~nuary 22rid, 19877 ~~ ~at were your i--pressions of this meeting?

7. Did you at:end the $:uden~, ~leeting o£ March 12~:h, 19877 What were y.ou_r impressions of ~is mee:~g?

EXHIBIT 46

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DECLARATION OF TOMAS ZEV~T.T.OS

I, TOMAS ZEVALLOS, declare the following:

i. In or about April, 1989 a woman by the name of

came to my house. She spoke Spanish with my wife and me. My

wife told me she first saw K~mm% at the health center. Rm~h told

us about a school where she was a student that would help us

learn English and give us work. She told us that we would earn

$12.00 per hour. She said the school would loan us money to pay

the costs and that the school offered classes in dental

technician and computers. She sent me to see Marlon Cortes at

National Technical College at 12001 Victory Boulevard, North

Hollywood, California 91606.

2. When I arrived R~zZh was waiting for me. She

introduced me to Marlon. He gave me an application to fi!l out.

It asked my name, social security number, address, where I went

to school and questions like that. I knew a little English and

where I did not understand, I asked Marlon and he told me in

Spanish what to fill in. I gave the application to Marlon. He

did not give me a copy. A true and correct copy of Marlon’s card

is attached as Exhibit 1 and made a part of this declaration.

3. Marlon asked me to see my Social Security card and

my green card. He also asked me if I had any "loans." He was

speaking in Spanish but he said the word "loan" in English. I

did not know that word or what it means.

4. Marlon explained that the first month of the course

was an English class. He said I had to learn as much as possible

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=o go to the dental laboratory class. But he also said =hat in

the class they had placed me in, I won’t need much English. He

. "You earn very little told me I should go to school He said, ¯

with us you will earn $12.00. Marlon also explained the

~gvernment would pay half of the cost of the course with a loan.

He said that they won’t charge me until I start work after

graduation. He said I have to start paying two months after

graduation, but that I don’t have to pay until the school gets me

work. I do not remember the exact cost of the course but it is

written in some papers I have. It was $4000 or so. I did not

pay much attention because I was so enthused about the

opportunity. He’also said I would have to pay the loan for about

$3000 for expenses. He said after about three or four weeks the

school would give me the expense money, $i00 a week. He did not

tell me anything abou~ how much I would have to pay if I quit the

course before it ended.

5. Marlon also said there was a~9~named Fran on

the second floor and she was in charge of getting jobs for

students during the course. He said the jobs were good jobs like

in the Post Office, in factories and in hospitals. At that time

I was working in a marble factory for $4.85 per hour, but I was

to be laid off in June. I never found out who Fran was. After I

started school I tried to find Fran. Because I could not speak

English, I asked other students who spoke Spanish who Fran was.

They said it was all lies. There were no Jobs.

6. Marlon took me to a little room with cubicles to

take a test. The test was in English. On the table where I was

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taking the test there was an old copy of the same test. Although

the answers were partially erased, I could tell which answers

were marked on the old test. I copied those answers on to the

test I was taking. After all the promises, I wanted to enter the

school in the United States. I had false illusions. I thought I

would learn English.

7. After I took the test, Marlon took me to an office

to make the contract. Marlon gave me a contract to sign. He

said, "Sign here." He gave me a copy of the contract. A true

and correct copy of the contract I signed is attached as Exhibit

~ and made part of my declaration. Marlon did not give me and no

one else gave me’a catalog or booklet describing the school, the

courses, etc.

8. During the first month the class was supposed~ to

study English and math. There were about 15 students in the.

class when I started and new students entered most days. By the

end of the month there were about 20 students in the class. Of

the 20 about 18 spoke Spanish. Only 3 or 4 of them understood

and spoke English. The professor was named Duggins. He said,

"If you don’t know English, go to night school and watch TV to

learn English." Every week there was a little party in the class

during the last hour of the class to celebrate the students who

"graduated" from the class that week.

9. During the first month I was there I wanted to

quit. I told Marlon. He told me that I would probably have to

repay all the money for the whole course that I received from the

government. He said if I did not, it would give me bad credit.

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He said I should keep studying. Then Marlon told me that I could

earn $50 for the first person I got to enroll at the school, $i00

for two, $150 for three and that way I could earn $300 to $900.

He said I would be paid every week. I did not try to get any new

~udents, but when he told me that I realized that they paid Ruth

to get me to come to school.

i0. When I went into the dental lab class, the

professor was Mr. Varda. He did not speak Spanish. There were

about 25 to 30 students in the class. Most of them did not speak

English. They spoke Spanish. One of the students translated

sometimes. If we couldn’t understand, we went in to the office

~ew students arrived every day, until the class to ask Marlon.

was very full.

ii. There were videos in the dental lab class, but the

teacher only showed us the first one. There were only 3 or 4

video players that worked. The videos were in English so we

could not understand them. I watched what the other students

were doing, but I did not understand. I did not receive any

books. I received a lot of photocopies and some tools in a small

box. The photocopies were in English. When the teacher gave us

tests he often left the room and the students helped each other

pass the test.

12. Before I finished two months of class, I started

receiving statements about the loan. I understood that they were

charging me interest while I was in school.

13. The day after the school was on the news on

television the two Spanish-speaking "counsul," Marlon and one

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o%~er, were gone. A few days later the director left. At the

end of July the professor, Mr. Varda left. Mr. Duggins left too.

14. I needed a job. With the help of the Los Angeles

Business Labor Counci! I got a job in another marble factory. My

las% day in school was August 4, 1989.






Executed on this day of 1989

at Los Angeles, California.

Zeva!los.dec MR3

TOMAS Z EVALLOS

DECLARACION DE TOr, L&S ZEVALLOS

2

31! YO, T0.~S ZEVALLOS, declaro !o siguienZe:

~’o,:r~,.~-~2 !. Aproxim~damente en abril de 1989, ~na major i!=...-_2~

511 ,~e.h vino a mi casa. Ella habld en espa~o! con mi esposa v

8: .-..i~o. Ki esposa me dijo que ella hab{a conociio a

7: centro de salad. ~ nos dijo que ella era estudimnte en ~una

8i escue!a donde nos ayudarzan a aprender ~_ng!es y nos darzan !,

8 ~raba~c. Ella nos dijo oue ganarzamos $12.00 pot hora. El!a nos

10 dijo cue !a escue!a nos pres%ar~a dinero para pagar los gastos y

11 que la escue!a cfrec~a cursos de tecnzca denta!

12 Ella me e.nvig a’ver a Mar!on Cortes a! National Tecb~.ica! College

13 sizuaio en !20Ci Victory Boulevard, North Ho!!~vco/, California

14 9!Ocs.

15 2 r .... "~" !!egu~, - . .............

16 presen~5 a Marion. E! me dio una soiici~ud para que !a !!enara.

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@! me decca en es.~a~o! Io que tenfa que escribir. En~regue !a

so!icitud a Mar!on. No me dio copia. Copia correc~a y verdadera

de la tarjeta de Marion se incluye oomo Prueba i y forma parte de

esta declaracion.

3. ¾arlon me pidio" que le mostrara mi tarjeta del Seguro

Social y mi tarjeta verde. Tmmbign me pregunto~ si tenfa aigunos

"loans". E! estaba hablando en espmSol pero dijo la pa!ara"loan"

en ingl e’s. Yo no conoc~a esa palabra ni su significado.

Marion me explico que el primer rues del curso serma

una clase de ingle~s. Dijo que tendrfa que aprender io m~s que

_ 00309

I,i puiiera tara asistir a !a clase de !aboratorio denta!. >er~

2i~-a~.o~en ~zjo que en la clase en que me hab~an pues~o no neces-~-=

3i murho i~!~s. Me dijo que yo deberfa ir a ~a escue!a. Dio

~ gar.z muy poco. Con nosc~ros usted ganar~.$12.00. Kar!on =an~:e:-.

5 :..e exp~co que el gobierno pagar~a la mitad del costo de! curs-

6 7c" medio de ~n pres~amo. Ne dijo que no me cobrar~an basra cue

7 comenzara a trabajar despues de graduarme. Me dijo que yo ~en~a

8 que comenzar a pagar dos meses despu~s de la graduacidn, pero eue

9. no ten~a cue pagar basra que la escue!a me consiguiera trabajo.

I0 No recuerdo e! costo exacto del curso, pero esta en ~os papeles

11 que ;engo, Era $$000 o a!go asl. No prest~ mayor atenciSn porque

12 estaca ;an en~ussasmado p ~ . " " o~ esta oport~idad Tambi~n dijo que

_ . aorox~maaamente $3000 oara gastos. , ~enc_.a cu= oagar el

I~ Me dijc cue ~espues ~_ ~_e. o cua~ro semanas la escue!a me carla

15 e! ~~ ~ S]o0 pot semana. No me dijo " ’ cuan~o tendrfa ~ ..... o Data gasto~, _

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tratajcs ~ los estudiantes dur~_nte e! c~_.o Me dijo cue eran

buenos trabajos, tales como trabajos en !a 0ficina de Correos,

/ . fabr~cas y hospita!es. En este ~iempo yo estaba trabajando en una

f~brica de m~rmo! ganado $4.85 por hora, pero me iban a despedir

en junio. Nunca supe quie~n era Fran. Despue’s que comenzg la

escuela irate" de hallar a Fran. Como no sab{a ha_blar,ingle’s,

pregunte" a otros estudiantes quie’n era Fran. Me dijeron que todo

era mentira. No ex~st~an tales trabajos.

6. ¾arlon me condujo a un peque~o cuarto donde habian

cub~culos para tomar exa.men. E1 examen era en ingles. En la mesa

]cn~ yo estaba rin]iendo el examen, hab~a ~na ¢opia a.nti~ua de!

" -~mo examen A~ou~. !as ~es~uestas e~a~--~ parcialmen~e ~orralas,

3i.’ r ~e observar cua!es era_n las respuestas marcadas en el anzi~uo

examen. Copi~ esas respuestas en mi ex~_men. DesFue’s ~e to~as

!as promesas, yo querfa entrar a la escuela en los Estaios Uniios.

~u’:e fa!sas i!usiones Cref oue aprender~a in~! "

7. Despue~s que tome" el examen, Mar!on me l!evo~ a una

oficina para hacer el contrato. Mar!on me dic un contrato para

cue !o firmara. Me dijo: "Firme aqui". Ne dio copia de! contratc.

Una copia fie! y correcza de este contrato se inc!uye en el

presente como Prueba~l y forma parze de mi declaracio’n. Ni Mar!cn

12 ni nin~una otrm ~ersona me dio un ca=a!o~o o fo!!eto descrihiendo

13 !a escue!a, los cursos, etc.

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~ Duran:e e~, --~’-=- mes, se suponia que la c!a== estudiara

ing±es y ma~e.v.azicas. Hahn_an aproxlmadamente 15 estudiantes en !a

ciase cuando yo comenzg, y nuevos estudianzes entraban !a r~yor~a

de !os dias. AI ÷~nal de! mes habfan ’ .... m~s o menos 20 estudiantes

en !a c!ase. De los 20, mas o menos !8 habiaban espa~o!. So!o

3 o 4 ce e!los en~enc~an y hab!aban ingle~s. E! profesor se !!amaca

Duggins. E! nos dijo: "Si no saben ingle’s, vayan a !a escue!a

nocturna y vean la te!evisign para aprender ingles. " Cada semana

habia una pequ~_~a fiesta durante la ~itima hora de la clase para

celebrar a los estudiantes que se "graduaban" en esa semana.

9. Durante el primer mes yo deseaba retirarme. Se io dije

a Marlon. Me dijo que probablemente yo tendr{a que devolver todo

eldinero pot e! curso completo que hab~a recibido del ~obierno.

Me.dijo que si no pagaba, tendrla un mal cr~dito. Me dijo que

deber{a

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Luego Nation me dijo que yo polrfa ganar

i r la -~ - __ _ p._me_a persona que yo consiguiera para ma~ricui’-rse en l;

es~ue!a, $!00 pot dos, $150 por ires, y que de esa manerayo ~oiia

. ganar de $300 a $900. Me dijo que me pagarfa cada sezana. Yo nc

5" zrat$ de buscar nuevos estudiantes, pero cuando ~! me £ijo ese me

6 ii cuenta que a ~-~Td,~ !e habian pagado para que yo en:rara a !a

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ecuela.

!0. Cuando entre" a la c!ase de !aboratorio dental, e!

profesor era el St. Varda. No hab!aba es~a~o!. Hazzan ae 25 a 30

. estudiantes en !=_ c!ase. La mayor~a de e!los no habiaba ingles.

Hab!aban =~.~_~=~. A vec=~__, ~no de los estudiantes ~racuc~a’ " " . Si no

12, ooalamos_ ~.n~=n~’- *~-, ibamos a la cficina a .oreguntari=- a f4arlon.

13~ Todos ~os dias ^-~-~^~ . __ ’ _ _=,,~=.. nuevos es~udiantes, hasza cue ~ c!ase

14 estuvc ~=~’’ente ~] C 0,-~- _ ~;,~ - - e~& ¯

15" !!. En !a ciase de !aboratorio denta! habian videos, pero

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el ~rcfesor solo ncs mos~ro e! primero. So~!o 3 o ~ aparatos de

video fu~.cionaban. Los videos estaban en ing!gs y no podiamos

181 enten!er!os, klre !o que los otros estudiantes hacfan, pero no

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en~enaz. ,,,~ recl c:, ning~n !ibro. Me dieron muchas fotocopias y

algunos instru~mentos en urea caja peque~a. Las folocopias estaban

eh ing!e’s. Cuando el profesor tomaba exsJmenes, frecuentemente

sa!~a de la c!ase y los estudiantes se ayudaban mutuamente para

pasar e! examen.

12. Antes que transcurrieran dos moses de clase, comenze"

a recibir cuentas concernientes al prestamo. ¾e d~ cuenta que me

cobraban intereses mientras estaba en la escuela.

13. Cuando la escuela salig en las noticias de la

¯ ~ television, al dia siguiente los dos "consejeros" que hablaban

00312

~=7~o!, Mar!on y otto, se hat’an ido. Pocos dias desoue’s se fue

director. A fines de ju!io se rue el prefesor Varda. -Tambie’n

rue el St. Duggins.

14. Yo necesitaba ~rabajar~ Con la ayuda de LOS Angeles

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2usiness Labor Counci! halle" trabajo en o~ra f~brica de n~--_rmo_,.

Z! t~ltimo dia que estuve en la escuela fue el 4 de Aao.~o de ~9~,c.

Declaro bajo pena de perjurio bajo las leyes del Estado

de California que los hechos indicados en esta declaracio’n son

verdaderos y correctos, que conozco estos hechos en forma personal

1011 y que si fuera !!amado y juramentado como testigo, podrfa

111i testificar competentemen~e ~- ace_~= de los hechos anteriores.

12 Otorgaia-en es~e dla I de OCI"V~ de 1989

13 en Los Angeles, California.

14 --

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18. Zeva!!os. dec.

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-5-

90f4AS Zr~, .,,LOS

O0318

;NTERNATIONALTRANSLATION BUREAU. IN(... I~: %~’ ,T~ SL ROOM

LOS ANGELES. CALIFORNIA

Sta%e of California ) s.s. Coun:y of Los Angeles )

I, "~;:e undersigned, being du!y sworn, declare that I ~. a professional - ~ - ~-~’’~ w"~ --

SpEnish and En~!ish !an~ua~es, ~h~t I here ~ransla%e~ %he at%ached doc’~en~ from %e SP~I~ , and ~.ha% said ~ransza~zon is Zo %he best of my know!ed{e 5nd belief a %rue and correct ~ransiation.

Subscribed and sworn to before z~e ~h~s 29th ~ay of September , ~989

i4o~ary/Fubli~ in ~.nd for the County of Los Angeles, State of California.

003 .4

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