LOCKYER ORDERS RESTITUTION FOR PHONY DIPLOMAS.

Byline: Jennifer Radcliffe Staff Writer

Victims of a high school diploma program that victimized immigrants across Southern California will be awarded restitution as part of a $500,000 settlement announced Friday by Attorney General Bill Lockyer.

Students of California Alternative High School paid roughly $500 each for a study program that taught, among other inaccuracies, that the United States has 53 states and four branches of government. They were also told that Congress has two houses - one for Republicans and one for Democrats.

What the school's hundreds of students really received was a lesson in greed, said Lockyer, who characterized the operation as ``a very serious ring of immigrant fraud.''

``It was all a scam,'' Lockyer said at a news conference. ``The worst part, of course, was that these diplomas people got were worthless.''

The settlement calls for the school's founder, Daniel Gossai, and his wife, Janet Gossai, to pay $400,000 in restitution to victims, $50,000 in civil penalties and $50,000 in legal fees.

It also permanently prohibits the defendants from operating a high school or claiming to offer any educational services that lead to a high school diploma.

Neither Gossai nor his attorney, Scott Furstman, could be reached for comment.

But in a June 17, 2004, letter to the Daily News, Gossai wrote: ``CAHS is operating legally and provides a legitimate, valid and legal education; this program is an alternative and is needed in our society.''

Reseda resident Bessie Echeverria, who was in El Salvador visiting her sick grandmother Friday, was thrilled to learn about the deal. The 28-year-old immigrant filed a case in small-claims court last year against the Lomita-based school, seeking a refund of her $475 tuition - making her one of the first Californians to take a stand against CAHS.

Gossai subsequently filed a $2 million defamation lawsuit against Echeverria and two of her relatives, a case that is still pending.

``I'm happy for the people that they're going to get their money back. Finally, this guy is going to learn his lesson. I just hope my case gets solved too,'' Echeverria said.

She was among thousands of students, most of them Latino, who attended classes at one of 26 locations. Classes met for three hours each Saturday for 10 weeks, then students took a competency test and participated in graduation ceremonies.

A CAHS brochure stated that the school is ``recognized by both the state of California and the federal government as an institution conferring the high school diploma for students to participate in financial aid programs at accredited colleges and universities.''

However, the school was never accredited by the state or federal governments.

``They were so skillfully misrepresented,'' said Pastor Herrera, director of consumer affairs for Los Angeles County. ``This type of fraud will not be tolerated in our community. This is something that has to be dealt with.''

Educators at the West Valley Occupational Center, where Echeverria earned her GED in January, said they have seen dozens of students heartbroken after they learned that their CAHS diplomas were meaningless. Gossai had told students they'd be eligible to apply for financial aid and attend a four-year college with a CAHS diploma, according to court records.

``These schools are preying on the trust of the immigrant population,'' said Janine Quint, a counselor at West Valley. ``They come on to our campus and they say to our students: 'We have an easier way of doing it.' The gall of them. If it sounds too good to be true, it probably is.''

Angela DiMascio, assistant principal of the West Valley Occupational Center, said she hopes the attorney general's action sends a message.

``Hopefully this serves as a warning to all schools who are defrauding the public to stop that because it's not right. It's a shame to hurt individuals who are working so hard to get ahead in life,'' she said.

Lockyer said state and federal law enforcement groups might take criminal action against Gossai and California Alternative High School, which has already been shut down in Iowa and Arizona.

Echeverria said the experienced has encouraged her to pursue a legal career so that she might protect other immigrants.

She said she's still angry that she wasted her time and money at California Alternative High School - and at Gossai, who advertised and held classes at churches.

``He uses God like God means nothing. For me, God is a lot. We should not use his name to steal someone's money. That's what makes me so mad,'' she said.

Jennifer Radcliffe, [phone]

jennifer.radcliffe(at)dailynews.com

DETAILS

To find out about restitution, former CAHS students should contact the Office of the Attorney General's Public Inquiry Unit at [phone]. For complaints about other private schools, call the L.A. County Department of Consumer Affairs at [phone].

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