For-profit colleges spending more, battling critics

The Association of Private Sector Colleges and Universities spent five times as much on lobbying efforts last year to block the Department of Education proposed rules.

The for-profit-college sector has been ratcheting up its battle against government regulation, CNN reports.

One of its most recent targets: Steve Eisman, a well-known short-selling investor who has been harshly criticizing the sector.

Two groups suspect Eisman has been exploiting close ties to Department of Education officials to influence the agency’s regulation of the sector, and have asked the Securities and Exchange Commission to look into whether Eisman has been “manipulating the market price” of for-profit education stocks.

CNN quotes Harris Miller, president and chief executive of the Association of Private Sector Colleges and Universities:

“Eisman is a self-serving nutcase who got lucky. He’s in the business of ruining the reputation of companies so he can make money when their stock prices drop.”