Dongguk University filed a huge suit against Yale, but the courts sided against them, citing that there was no malicious intent in the oversight. This one person incident has proven expensive for the Korean school, losing millions that would have been used for expansion. More importantly, the administration experienced extreme embarrassment and lost prestige in front of its clients, the students.
It’s not just professors who have been found to falsify documents. Just last year, Scott Thompson stepped down as Yahoo’s CEO when it was discovered that he did not hold the computer science degree that his resume bore, showing that even top executives should probably undergo careful employment background screening too.