ST. LOUIS - When they named a University of Missouri sports arena after their daughter, billionaire Wal-Mart heirs Nancy and Bill Laurie pronounced themselves "very proud parents."

But this week, they found themselves stripping Paige's name from the building - after allegations that she paid a roommate $20,000 to do most of her coursework at the University of Southern California.

Elizabeth Paige Laurie, 22, graduated from USC this year. But her first-semester roommate, Elena Martinez, says Laurie hired her to write her papers, prepare her oral reports and even exchange e-mail with her professors in nearly every class she took for four years.

The Laurie family will not comment, other than to say that the academic record of their only child is a "private matter." But days after the allegations aired on ABC's 20/20 last Friday, the family agreed - under mounting pressure from students - to take Paige's name off the posh Missouri basketball arena. The Lauries had paid $25 million in 2001 to help build the arena. That bought them a luxury suite and the right to name the facility the Paige Sports Arena.

Meanwhile, USC has opened an investigation into the alleged cheating.

"We want all our students to do their own work. That's a very important principle," said Michael Jackson, the vice president for student affairs. He would not speculate about possible sanctions Laurie might face if the allegations prove correct.

But in his 25 years in academia, he said, "I've never heard of possible cheating of this magnitude."

Martinez said this week she never intended the fraud to go so far. She helped her roommate out with a paper first semester of their freshman year, she said, and happily pocketed $25 as thanks. But soon, she said, Laurie was asking her to take over almost all her schoolwork.

Within months, Martinez dropped out of USC and returned to her home in Banning, Calif., unable to afford the tuition. She said Laurie continued sending her books and assignments - and e-mails critiquing the work she sent back. Laurie even upbraided her for sloppy typing, Martinez said.

"I rarely got a bad grade, but if I did, she'd say 'This was horrible.' She was pretty picky," Martinez said. "She was a very demanding, expect-the-best boss."

Though Martinez had her own homework to do - she had started taking classes at Riverside Community College - she said she continued doing Laurie's assignments and accepted payments that added up to $20,000 over four years.

"I thought about quitting a lot of times, but I didn't know how. I was dealing with someone really powerful," Martinez said.

Plus she sort of enjoyed the challenge: "In a way, it was nice, because I was getting the quality education I had wanted."

Martinez wouldn't say what prompted her to come forward with the allegations now, or how she got in contact with ABC producers. The only explanation she offered was this: "I'd become uncomfortable with the whole situation."

"I want to make things right,"she said.

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