US Department of Justice investigates case of AI fake students defrauding $200 million in student loans
The US Department of Justice announced the results of "Operation Ghostbusters," an investigation into student loan fraud that used stolen identities and artificial intelligence to complete applications and pose as students enrolled in online courses, with the US government estimated to have lost more than $200 million as a result. Multiple community colleges and universities have suspected fraud in the Free Application for Federal Student Aid (FAFSA) program since 2021; five people have been charged so far, and more than 40 open cases involve 26 FBI field offices and 20 US Attorney's Offices.
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