DOJ Unveils "Operation Ghostbusters" Charges in Alleged Student-Aid Fraud
Five defendants face charges as investigators target a scheme involving stolen identities, fake college students and federal financial aid.
The Justice Department announced the first results of Operation Ghostbusters on Thursday, unveiling charges against five defendants in an alleged international scheme to steal federal student aid using Americans' identities.
Investigators say the scheme involved fraudulent FAFSA accounts and "ghost students" enrolled at colleges and universities. Aid refunds were allegedly routed to accounts controlled by overseas participants, with U.S.-based intermediaries moving money abroad.
The cases announced Thursday span New Jersey, Virginia and Nebraska. Authorities also reported seizing more than $750,000 in cryptocurrency linked to a network associated with Kenyan nationals.
The broader investigation includes more than 40 open cases across 26 FBI field offices and more than 20 U.S. attorney's offices. Officials said the suspected fraud dates to at least 2021.
Assistant Attorney General Colin McDonald, pictured above in his official DOJ portrait, announced the operation. The Department of Education and Kenyan law-enforcement agencies are among the agencies assisting the investigation.
The charges are allegations, not convictions. All defendants are presumed innocent unless proven guilty in court.