Page:United States Statutes at Large Volume 114 Part 3.djvu/769

 PUBLIC LAW 106-420—NOV. 1, 2000 114 STAT. 1867 Public Law 106-420 106th Congress An Act To enhance protections against fraud in the offering of financial assistance for college education, and for other purposes. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited Prevention Act of 2000". as the "College Scholarship Fraud SEC. 2. FINDINGS. Congress makes the following findings: (1) A substantial amount of fraud occurs in the offering of college education financial assistance services to consumers. (2) Such fraud includes the following: (A) Misrepresentations regarding the provision of sources from which consumers may obtain financial assistance (including scholarships, grants, loans, tuition, awards, and other assistance) for purposes of financing a college education. (B) Misrepresentations regarding the provision of portfolios of such assistEince tailored to the needs of specific consumers. (C) Misrepresentations regarding the pre-selection of students as eligible to receive such assistance. (D) Misrepresentations that such assistance will be provided to consumers who purchase specified services fi-om specified entities. (E) Misrepresentations regarding the business relationships between particular entities and entities that award or may award such assistance. (F) Misrepresentations regarding refunds of processing fees if consumers are not provided specified amounts of such assistance, and other misrepresentations regarding refunds. (3) In 1996, the Federal Trade Commission launched "Project Scholarscam", a joint law enforcement and consumer education campaign directed at fi-audulent purveyors of socalled "scholarship services". (4) Despite the efforts of the Federal Trade Commission, colleges and iiniversities, and nongovernmental organizations, the continued lack of awareness about scholarship fi-aud permits a significant amount of fi-audulent activity to occur. Nov. 1, 2000 [S. 1455] College Scholarship Fraud Prevention Act of 2000. 20 USC 1001 note. 20 USC 1092d note. 79-194 0-(X)-25:QL3Part3

�