A beauty school owner in Escondido was arrested Thursday, accused of multiple felony charges.
Tramy Van was arrested at her store on the 600 block of North Broadway.
She operated Tramy's Beauty School in Escondido and on University Square Driveway in San Diego.
Students told NBC 7 that she allegedly let classmates pay for certifications without enrolling in classes.
“Say you want to buy your hours," student Martin Lopez said. "You could pay so much and get the hours."
Another student told NBC 7 that Van was also allegedly stealing money.
“Students who paid out of pocket, she was signing them up for financial aid behind their back and pocketing that financial aid money as well,” explained Matt Mizell.
Van’s arrest was part of an undercover joint investigation between the Bureau of Private Postsecondary Education and the Department of Consumer Affairs' Division of Investigation.
According to the California Department of Consumer Affairs, Van's arrest does not mean the school will be shut down.
"We do not have the authority to just close a school. We have to go through the administrative process to have an approval to operate revoked. Grounds for that would vary," a spokeperson wrote in a statement to NBC 7.
One student says she needs 150 more hours before she can graduate but worries that Van's arrest will put her dream of being a beautician on hold.
“She kind of crushed it,” Jeanette Valdez said, speaking of Van. “It’s on hold for me. I was almost there."
Van can surrender her license but because the case is still under investigation, the department did not disclose if they will revoke it.
Meanwhile, Van's students are in limbo.
"A lot of people are confused because they don’t know what’s going to happen or if school will shut down completely, or if we’ll be able to continue to go here,” said Mizell.
“I’m frustrated," Lopez told NBC 7. “I don’t know if I'll have to start over again. I don’t know where to go. It’s not the end of life. But it’s wasted money and time."
Van is being held in a Vista jail on $20,000 bail.