US ELECTION 2024
The incredible Trump University scandal: The reason why the former President’s education company failed
A tale of broken promises and shattered dreams, the scandal serves as a stark reminder of the controversies that have dogged the former president’s career.
Trump University, launched in 2005, promised to teach students the art of real estate investing and entrepreneurship, with the allure of learning from Trump’s “hand-picked” instructors. However, what began as a venture capitalizing on Trump’s celebrity status quickly devolved into a legal nightmare.
The ‘university’ was marketed as an institution where students could learn the secrets of real estate investing. The promotional materials boasted that attendees would gain access to exclusive knowledge and strategies that could lead to wealth and success in real estate, aswell as the potential to network with successful real estate professionals.
It offered seminars and mentorship programs that came with hefty price tags, ranging from $1,495 for a one-year “apprenticeship” to $35,000 for “Gold Elite” classes.
The university claimed that its instructors were “terrific people” with proven success in real estate, personally selected by Trump to share their insights and strategies. Higher-tier packages included mentorship from experienced real estate investors, promising personalized guidance to help students achieve their financial goals.
Not what it was touted to be
Far from the prestigious institution it claimed to be, Trump University was neither a university nor did it confer degrees. Instead, More than 5,000 people across the nation fell victim to what New York Attorney General Eric Schneiderman called a “classic bait-and-switch scheme”.
As complaints mounted, Trump University found itself embroiled in multiple lawsuits included two class-action suits in California and a civil lawsuit from New York’s Attorney General. Under oath, Trump admitted he had no direct involvement in selecting instructors or developing the curriculum, contradicting the university’s marketing narrative.
Despite Trump’s initial vows to fight the allegations, the legal pressure intensified and just days after the 2016 election, Trump agreed to a $25 million settlement.
The scandal remains a potent reminder that in both business and politics, actions speak louder than words.