The U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) has identified more than $270 million in suspicious transactions potentially linked to fraudulent schemes targeting federal student aid programs.
FinCEN officially referred its findings to federal law enforcement authorities and investigators to pursue potential criminal operations, recover stolen taxpayer money and hold perpetrators accountable. The widespread activity came to light following a targeted advisory alert issued by FinCEN to financial institutions, urging them to monitor and flag unusual transactions related to Office of Federal Student Aid refund disbursements.
Since the alert, banks and other financial firms have reportedly filed nearly 100 Suspicious Activity Reports (SARs).