The Homeless and Dead Apply for Student Aid

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The Grand Rapids Press reports that Raymond Coleman allegedly obtained personal information of homeless people by falsely claiming to represent an agency that helps the homeless. He is accused of then using that information to apply for federal student loan assistance. The article also notes that Coleman is accused of filing a false claim under the name of a deceased person. (Dead guys just keep coming back to life.)

The article briefly documents the process for applying for federal student loans? ”Applicants for federal financial student aid are required to complete a ”Free Application for Federal Student Aid,” which requires an applicant’s name, date of birth and Social Security number. The Department of Education then provides the information to the college where the applicant applied, where the college finds the applicant eligible for federal aid.”

The story goes on to report that the indictment alleged Coleman and others caused more than $10,000 in federal financial aid to be disbursed by Lansing Community College for tuition. The suspects also targeted Kalamazoo Valley Community College, a federal prosecutor said.

”The object of the conspiracy was….to obtain federal financial student aid from the (Department of Education), Kalamazoo Valley Community College, and others, to which they were not entitled, based on false applications for federal financial student aid submitted under the names … of ineligible recipients…” Assistant U.S. Attorney Julie Woods wrote in the indictment. (How many others are doing this? It’s hard for most kids to even get a nickel for school.)

Source: Today’s ”Fraud of the Day” is based on an article entitled, “Suspects accused of using homeless to apply for student aid at Kalamazoo Valley, Lansing community colleges,” by John Agar, published by The Grand Rapids Press, October 10, 2011.

GRAND RAPIDS – Using personal information of the homeless, Ingham County suspects sought federal financial student aid from the U.S. Department of Education and community colleges in Kalamazoo and Lansing, authorities said in court records.

Raymond Coleman obtained personal information of homeless people by falsely claiming to represent an agency that helps the homeless, and used that information to apply for federal assistance, a recently unsealed indictment said.

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