DOJ Uncovers Multimillion-Dollar Student Loan Fraud Ring The US Department of Justice has uncovered a multimillion-dollar student loan fraud ring involving Kenyan nationals. The scheme involved stealing American identities, using them to apply for student loans, and sending the money back to Kenya.
Multiple Kenyans have been indicted by federal grand juries on charges including theft of government money and aggravated identity theft. In Nebraska, Francis Mogambi, a Kenyan national, has been indicted on similar charges. The scheme allegedly involved stealing US identities, enrolling victims as students, redirecting federal aid payments, and sending the money to co-conspirators in Kenya.
In New Jersey, three individuals have been charged with conspiracy to commit wire fraud, allegedly acting as money mules in a scheme involving hundreds of ghost students and over $1.3 million in proceeds. The investigation has identified over 830,000 potentially fraudulent federal student aid accounts tied to stolen US citizens' personal information, resulting in over $32 million in losses.