Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Income Taxes, Intermediate Accounting, Managerial Accounting, Video Updates.

Yale University has rescinded the admission of a student that officials at the school say was involved in a nationwide college entrance fraud that ensnared 50 people, including Hollywood actresses and CEOs, some of whom have already appeared in court.


  1. To make this scam work, who was “on the take” inside Yale?
  2. Who was the ring leader in the scam and what was his role?
  3. Bribes were paid to a 503 (c) (3) tax exempt organization at the core of this scandal. As a result, the bribes were deducted by the parents who were trying to get their kids into prestigious schools. What will ultimately happen to the deductions made by the ensnared individuals?


Hutchinson, B. and B. Hartman. (2019) Yale rescinds student’s admission as defendants charged in alleged $25 million college entrance scam plead not guilty in Boston federal court., March 25 (Retrievable online at