An I-Team investigation in collaboration with ABC News is uncovering a widespread identity theft scheme involving so-called “ghost students” — scammers who steal personal information, enroll in colleges, take out federal student loans, and then vanish.
What’s especially alarming: victims often don’t know their identity has been used until they’re suddenly on the hook for thousands of dollars in fraudulent student loan debt.
How the Scam Works
These “ghost students” aren’t students at all. Federal prosecutors say scammers steal identities, use them to gain admission to colleges, apply for financial aid, collect the money, and disappear, leaving taxpayers and victims to pay the price.
Authorities say the schemes are costing taxpayers hundreds of millions of dollars nationwide. One of those operations was run right here in North Carolina.
A $3.5 Million Scheme in Fayetteville
A Fayetteville woman, 59-year-old Cynthia Melvin, is currently serving federal prison time for leading a $3.5 million ghost student fraud scheme…