Washington pursues Kenyan suspects in US student aid fraud
By the AFREEQUE newsroom, based on Capital FM and Tuko
The United States warns Kenyans suspected of taking part in US student aid fraud that investigators will pursue them, including in Nairobi. The case has led to the recovery of 97.5 million Kenyan shillings in cryptocurrency and charges against five people, reports Capital FM. Tuko says the network relied on fake students and stolen American identities, and confirmed losses exceed $32 million.
The five people charged include several Kenyan nationals, according to Tuko. The US Department of Justice says the network created fake students enrolled at real institutions using stolen American identities, then diverted their financial aid to accounts controlled by associates abroad.
In Nebraska, Kenyan citizen Francis Mogambi was charged with ten counts following a grand jury decision on 19 October. Court documents accuse him of keeping 30% of the fraud proceeds and transferring the rest to associates in Kenya. He allegedly also told someone he was trying to recruit that they could earn $2,000 a week through the scheme. Mogambi entered the United States in May 2024 after winning the diversity visa lottery.
A separate indictment in Virginia targets another Kenyan national, suspected of receiving more than 700 fraudulent student aid payments worth about $1.44 million, then transferring at least $1.3 million to accounts in the United States and Kenya. In New Jersey, three people were arrested as part of an investigation into the alleged misappropriation of more than $1 million between March 2021 and January 2026. Two Kenya-based accomplices remain under investigation.
The FBI estimates confirmed losses at more than $32 million and is examining 830,840 potentially fraudulent accounts associated with nearly $130 million. Total losses could exceed $200 million, and more than 40 investigations are under way at 26 FBI offices. Kenya’s Directorate of Criminal Investigations, Assets Recovery Agency and Office of the Director of Public Prosecutions are participating in the investigations, reports Tuko.
