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Donald Trump's 'University' Accused of Not Delivering On Promises to Students

By Patrick Hedlund | May 31, 2010 12:09pm | Updated on May 31, 2010 12:04pm
Two business schools affiliated with Donald Trump have been charged with duping students.
Two business schools affiliated with Donald Trump have been charged with duping students.
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AP Photo/Peter Kramer

By Patrick Hedlund

DNAinfo News Editor

MANHATTAN — Donald Trump's business schools have apparently gotten a failing grade from students.

A pair of educational institutions bearing the real estate mogul and reality TV star's name have received dozens of complaints from students claiming they were duped out of tens of thousands of dollars, according to news reports.

The two business schools, the online Trump University and its affiliate Trump Institute, have been charged with encouraging students to max out their credit cards and take money from their 401(k) accounts to pay for useless courses, the Daily News reported.

Trump has not been targeted by the claims personally, but the two companies have been hit with allegations of refusing to refund tuition payments to the tune of $35,000 in some cases for courses that either didn’t deliver or promised reimbursement, the paper said.

More than 150 students across 22 states filed complaints against Trump University and the Trump Institute. The first school Trump founded as a Web-based institute in 2005 and the second paid him a licensing fee to hold real estate seminars under his name.

The complaints came from dozens of retirees, seniors living on fixed incomes, military veterans and laid-off workers, the News added.

"The vast majority of people love us," Trump told the paper. "Thousands and thousands of people have taken our courses, and very few have complained. ... There are plenty of people who went to Harvard and did very poorly, and there are plenty of people who went to Trump University and did very well."

Trump University changed its name to Trump Entreprenuer Initiative LLC last week after the New York Education Department demanded it drop its "university" title.

The Trump Institute and Donald Trump have also severed ties following the complaints.