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Metro Santa Cruz reports "a Department of Education investigation into allegations that (the Center for Employment Training) misappropriated federal Pell Grant funds, and the impact CET's actions had on disadvantaged workers. CET's zeal in pursuing its mission resulted, over the years, in a kind of hubris that tempted the organization into a financially catastrophic expansion program. Eventually, according to the DoE, CET used those federal funds to cover cash flow problems, instead of paying them out to students."