Loans

Ghost Students Pilfer Millions

Wednesday 16th May 2007

A BBC investigation has revealed this week a fraud scam involving fake students which could have cost the government as much as £1.2million.

The government run Student Loans Company is said to have made loan payments to students enrolled on university courses based solely on the production of a birth certificate.

The BBC has exposed how one fraudster managed to enrol himself on 5 different degree courses all at the same university and it is thought that he had up to 17 different identities and collected loans worth £65,595.

This investigation has highlighted serious flaws in the Student Loans Company processes and they are said to be scrutinising a further 1,000 applications to ensure authenticity.

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