Indian students losing college places in Australia crackdown

MELBOURNE: Thousands of Indian students in Australia are expected to lose college places as the government cracks down on shady migration practices, education groups warned on Wednesday.

Some of the private colleges that have sprung up to meet booming demand were 'sub-standard' and unlikely to meet tough new requirements designed to prevent students being ripped off, Education Minister Julia Gillard said.

Student groups said about 1,000 international scholars, mainly Indian, were already "in limbo" after their colleges closed and the number could hit 5,000 when the shake-out in the lucrative overseas education sector is complete.

"They're in a very difficult situation, their families back home are under financial pressure, some face deportation," said Gautam Gupta, spokesman for the Federation of Indian Students in Australia.

The government has stepped up action against unscrupulous migration agents and private colleges after a current affairs TV show this week exposed scams targeting foreign students.

The revelations are the latest to damage the 15.5 billion dollar (12.7 bn US) a year industry -- Australia's third-largest export earner -- after a series of violent attacks on Indian students living in Melbourne and Sydney.