Earlier, the British press had reported about a bogus college as a scam. Reportedly, the Middlesbrough-based National Distance Learning College (1999-2001) had offered distance learning courses in computing and business related subjects which it claimed were accredited by official qualification bodies and about 80,000 students signed up for courses, paying an estimated £16 million in fees. A probe led to discover that degrees given by the said college had no official recognition at all in the UK.

With globalisation, liberalisation, privatisation of education and allowance for profit-making institutions at the higher education level, bogus colleges have become a means to enable people from overseas to apply for a student visa and entry for illegal work in western countries. Not only that, such institutions also sell fake qualifications; encourage illegal immigration and indulge in visa scams by allowing young people to enter a western countries as students.

In India too, a proposal has been mooted to allow the profit-making higher education institutions for private players. India is already known for its fake degrees that are being sold in the sly presently and often get reported in the press. With higher education becomes a profit making educational venture in our country, it could result into establishment of bogus colleges and universities for making and laundering money.