Ernesto Perez was the owner of the Dade Medical College before it abruptly closed back on October 30th of this year. The college was mainly funded by grants and federal loans and lately had been questioned by the U.S. Department of Education on how the money was being used. The federal funding supplied the college with 90% of its revenue and the college received over $100 million dollars over the last three years.
There were over 2,000 students at the eight campuses of the college. Even though the college was receiving a huge amount of financing, the students were not receiving the education that they deserved. Less than a quarter of the nursing students at the Hollywood campus were able to pass the licensing exams required for a new nurse.
Many creditors and former staff of the college are waiting for Dade Medical to pay them the money they are owed, but that could be a very long process. Dade Medical has begun the court process in order to sell off their assets, which will help with repaying their debts. The students are being punished the most. They will be able to request a return of their money, but they will be paid last after the creditors and former employees and only if there is any money left.
After the closure of the college, Mr. Perez decided to sell his large Coral Gables home at an asking price of $2.15 million. The house is 5,291 square feet and has 5 bedrooms and six plus bathrooms. The yard has a unique garden and pool area. Unfortunately, the money from the sale of the house will not be able to be used to pay back any of the debts from the college. The house is listed as a personal property and state laws prohibit these types of properties from being used in payments for lawsuits. The other smaller house that the Perez family owns is also protected for the same reasons.
Ernesto Perez and his family will not be affected too much for his past decisions at the college, because of the state laws that are protecting him. He will still have his money and a house to live in. The former students at the college are living a very different reality. They need to find a way to pay off their debt from a school that didn’t deliver a quality education. The students that were still in attendance at the school will need to be accepted into another college in order to finish their education. This will cost them more money and because of the time lost at Dade Medical, they will be adding months or years to their initial graduation date. The majority of students don’t have the extra money or time and this will affect them all in their choices for the future.
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