“Straw students” are people who sign up for college classes, but do not have the intention of ever attending.  The deceptive practice is used to collect financial aid funds, while skipping out on the learning part. (Even a dunce would know that’s not a smart thing to do.) A Department of Education press release details the story of a California woman who orchestrated a student loan fraud scheme and pocketed nearly $155,000 in financial aid funds before being caught.

The 32 year-old woman recruited some individuals who knew their personal information would be used to commit fraud.  She then completed the necessary paperwork and online forms required to receive funding.  However, other individuals did not provide consent, such as one person diagnosed with a moderate intellectual disability.  This person happened to be residing at an assisted living facility with paid caretakers at the time she was registered for classes.  The fraudster directed the financial aid to her debit card.  This particular person’s financial information was later found at the fraudster’s residence. (She forgot the first rule of being a criminal:  always destroy the evidence.)

The fraudster was found guilty of conspiring to commit student loan fraud and aggravated identity theft.  She was sentenced to one year and three months in prison and was ordered to pay $154,596 in restitution.  Five other defendants have also pleaded guilty in the case.

The bottom line is that we are all responsible for the actions that we take.  We each have the opportunity to make good choices; however, this woman made some bad decisions and committed criminal acts for selfish reasons.  It looks like she has failed her mid-term exam on character, but perhaps after serving time in prison she’ll pass her final exam on accountability in the school of hard knocks with an “A.”


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