AI‑run ghost student loan fraud

Criminal networks are using stolen personal data plus generative AI to create, enroll, and sustain fake 'students' who produce coursework and virtual presence so institutions keep receiving federal loan disbursements. The scale reported by DOJ — hundreds of thousands of suspect accounts and six‑figure seizures of crypto — shows this is not isolated but systemic and transnational. — If AI can operate end‑to‑end fraud against federal aid programs, policymakers must revisit identity verification, financial monitoring, and international cooperation to protect public spending and educational integrity.