How much do we lose to student aid fraud rings?

Using our E-Fraud Data Analytical System, we determined that the population of recipients considered as potentially participating in this fraud activity had increased 82 percent from award year 2009 (18,719 students) to award year 2012 (34,007 students). We identified more than 85,000 recipients who may have participated in this type of student aid fraud ring activity and who received over $874 million in Federal student aid from award year 2009 through award year 2012.1 Further, applying a statistical model to these results, we estimated a probable fraud loss of $187 million of the $874 million as a result of these criminal enterprises.

http://www2.ed.gov/about/offices/list/oig/semiann/sar66.pdf

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