NAIROBI — US prosecutors say Kenyan nationals are among those behind a “ghost student” scheme that used fake identities to apply for federal student aid, with about $130 million in potentially fraudulent claims identified.
Francis Mogambi was indicted on October 19 in Nebraska on five counts of theft and five counts of aggravated identity theft, the BBC reported. If convicted, he faces a minimum of 10 years in prison.
The case is part of an investigation called Operation Ghostbusters. Five indictments involving Kenyans have been brought so far, and 40 investigations remain open.
Officials said 830,840 potentially fraudulent Federal Student Aid IDs, linked to about $130 million, were identified in September and October 2026. Assistant Attorney General Colin M McDonald set out the cases at a news conference on October 29.
About $750,000 in cryptocurrency has been seized in Kenya. A separate case in Virginia involves more than 700 refunds worth about $1.44 million, and three alleged money mules in New Jersey are accused of handling more than $1 million.
Sources: BBC News
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