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AI-Powered ‘Ghost Students’ Are Looting Federal Student Aid, the Treasury Dept. Warns Banks

Ben Smith· ·5 min read · 0 reactions · 0 comments · 6 views
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AI-Powered ‘Ghost Students’ Are Looting Federal Student Aid, the Treasury Dept. Warns Banks
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AI-Powered ‘Ghost Students’ Are Looting Federal Student Aid, the Treasury Dept. Warns Banks By Ben Smith | 8:19 PM on July 24, 2026 The opinions expressed by contributors are their own and do not necessarily represent the views of RedState.com. AP Photo/Mariam Zuhaib Foreign and domestic fraud rings are stealing federal student aid by creating fake students, hijacking real identities, and using artificial intelligence to keep phony applicants enrolled long enough to collect taxpayer-funded refunds.

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AI-Powered ‘Ghost Students’ Are Looting Federal Student Aid, the Treasury Dept. Warns Banks By Ben Smith | 8:19 PM on July 24, 2026 The opinions expressed by contributors are their own and do not necessarily represent the views of RedState.com. AP Photo/Mariam Zuhaib Foreign and domestic fraud rings are stealing federal student aid by creating fake students, hijacking real identities, and using artificial intelligence to keep phony applicants enrolled long enough to collect taxpayer-funded refunds.

Excerpt limited to ~120 words for fair-use compliance. The full article is at RedState.

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