Financial fraud at California’s community colleges

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The state legislature should order an audit of the California Community Colleges application system, including financial aid applications.

The COVID-19 pandemic exposed California’s fiscal mismanagement in countless ways, most spectacularly in the payment of more than $30 billion — some estimates put the total as high as $55 billion —in fraudulent unemployment benefits. But another category of fraud could quickly balloon to numbers nearly that high unless more is done to stop it.

In April, CalMatters reported that an official in the state chancellor’s office told the publication that in January of this year, 25% of applicants to the state community college system were suspected to be fraudulent. The number of fake students applying “spiked like crazy” in the last year, according to an official of the Kern Community College District.

In September 2021, the CCCCO mandated monthly reporting on fraud tracking. But a year after the required start date, some colleges had not yet complied, while others regularly missed reporting deadlines.

 

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