FBI asked for help in Merced flight school probe

Merced, California: Faced with complex forensic accounting issues, the Merced County district attorney has asked the FBI to help him investigate a bankrupt flight school.
The American School of Aviation closed a month ago, grounding its international student body whose members already had paid $45,000 each in tuition. In a letter to the FBI, the district attorney says there are many issues involving “potential criminal fraud” that he would like agents to address.
Fifty-two students filed a lawsuit last month asking for tuition refunds totaling $2.2 million.
The money was supposed to be kept in a trust account, but the lawsuit alleges the school’s owner pocketed the funds instead.
06/08/08 The Associated Press/San Jose Mercury News, USA