A Texas woman has been sentenced to just over a year in prison for her role in a decade-long fraud scheme involving federal student aid. Shelbra Long, 58, of Edinburg, Texas, received a sentence of one year and one day after pleading guilty to conspiracy to commit mail fraud and wire fraud.
According to court records, Long participated in a plan that used stolen identities to apply for admission and financial aid at online colleges across the United States, including an institution located in Albany, New York. Once the U.S. Department of Education disbursed financial aid funds to these schools, Long and her accomplices would withdraw the enrolled “student,” prompting the schools to refund unused portions of the aid directly into accounts controlled by the conspirators. Authorities reported that Long used some of these funds for personal expenses such as utility bills and made cash withdrawals from ATMs.
The Department of Education awarded $466,430 based on fraudulent applications connected to this scheme, with $211,820 actually disbursed.
“Today’s sentencing punishes Shelbra Long for using stolen identities to shamelessly divert several hundredthousand dollars in federal aid into her own coffers. My Office and our partners will rout out these financial criminals wherever they are. It is time to stop the theft of student aid and for colleges to do more to ensure that the people enrolling in classes are genuine students,” said Acting United States Attorney John A. Sarcone III.
“I’m proud of the work of OIG special agents and our law enforcement colleagues for shutting down yet another student aid fraud ring and holding Ms. Long accountable for her criminal actions. OIG is committed to fighting student aid fraud and we will continue to aggressively pursue those that participate in these types of crimes,” said ED OIG Acting Special Agent in Charge Andrew Balceniuk.
In addition to her prison term, U.S. District Judge Anne M. Nardacci ordered Long to serve three years of supervised release following her incarceration. She must also pay $211,820 in restitution and forfeit $52,304.
The case was investigated by the U.S. Department of Education Office of Inspector General (ED OIG) and prosecuted by Assistant U.S. Attorney Jonathan S. Reiner.
