For Release on Delivery Expected at 10:00 a.m. EDT
Thursday, April 24, 2008
http://www.gao.gov/new.items/d08713t.pdf

RESIDENTIAL PROGRAMS
Selected Cases of Death, Abuse, and Deceptive Marketing
Statement of Gregory D. Kutz, Managing Director Forensic Audits and Special Investigations

"Posing as fictitious parents with fictitious troubled teenagers, we found examples of deceptive marketing and questionable practices related to 10 private residential programs and 4 referral services. The most egregious deceptive marketing practices related to tax incentives and health insurance reimbursement, and were intended to make the high price of the programs appear more manageable for our fictitious parents. We also found examples of false statements and misleading representations related to a range of issues including education and admissions, as well as undisclosed conflicts of interest. In addition, we identified examples of questionable practices related to the health of youth enrolled in programs and the method of convincing reluctant parents to enroll their children. Although general consumer protection laws apply to these programs and services, there are no federal laws or regulations on marketing content and practices specific to the residential program industry.

Deceptive Marketing and Questionable Practices in Selected Programs and Services
A link to selected audio clips from these calls is available at: http://www.gao.gov/media/video/gao-08-713t/. See table 3 for a selection of representations made by programs and referral agents."

Some examples from today's Congressional hearings of dangerous and deceptive programs and those marketing such programs--to name only a few:

Whitmore Academy

Bethel Boys

Spring Creek Lodge

Lone Star Expeditions

Teen Paths

Parent Help

Look for credible web site information.  There are only a few.  Paula Reeves recommends the following watchdog organizations and author Maia Szalavitz as credible, informative, some of the best, and easiest to navigate:

http://www.reason.com/news/show/122156.html

http://www.reason.com/news/show/117088.html

http://isaccorp.org/watchlist.asp

http://www.teenadvocatesusa.org/

http://isaccorp.org/

 http://www.teenadvocatesusa.org/HR5876.html