Pilot Positive,
I don't think the fact that the numbers don't add up is criminal. Does anyone doubt that Ryanair profit from SSTRs? There would be nothing illegal about MH marking up the training, either for profit or for off-setting costs of some sort. Exploitative? Maybe, but not criminal in itself.
The reason I asked about the cost of an OAA J31 rating was simply to get an idea if he was even in the ball park with his figures because I doubt he ever priced it out or checked on course availability, much less reserved course seats or drafted any contracts. I would not be surprised if he just pulled a figure out of thin air, a nice round figure at that.