Kenyan faces 10 US charges over Sh2.5m student aid fraud
A Kenyan man has been indicted in Nebraska over allegations that he used stolen American identities to fraudulently obtain student financial aid and channel part of the proceeds to accomplices in Kenya.
Federal law enforcement authorities have launched a nationwide investigation called "Operation Ghostbusters" to dismantle an international student aid scheme that could have cost taxpayers several hundred million dollars since 2021. According to Assistant Attorney General Colin McDonald, organized syndicates have stolen the identities of hardworking Americans who never applied for college, using their information to enroll fictional "ghost students" at institutions across the country and siphon federal financial aid directly into offshore accounts.
The Department of Education and the FBI have charged five defendants and seized over $750,000 in cryptocurrency tied to the scheme. The operation, which spans more than 40 cases in 26 FBI field offices, has already resulted in indictments against the defendants and an international seizure of cryptocurrency linked to networks in Kenya.
The FBI plans to send a team to Kenya to investigate the scheme further. Victims of the fraud include an American citizen who graduated high school and went straight to work, only to find his name attached to a loan from a school thousands of miles away, ruining his credit and leaving him responsible for an education he never received.
Written by urgent.news from KahawaTungu's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
