Critics Assail Government's Response to Student-Aid Fraud

Critics Assail Government’s Response to Student-Aid Fraud 1

Brian Lehmann for The Chronicle

The Education Department’s lack of effort to fight fraud in aid programs worries Eric Rodriguez, an examiner 
with a student-loan servicer. “It’s a serious issue, and they really need to get some controls in place,” he says.

Two years ago, in the wake of an alarming report from its inspector general on fraud in federal student-aid programs, the U.S. Education Department announced that it would write new rules to protect taxpayer dollars from abuse.

But when a negotiating panel met in Washington this year to craft new "program integrity" rules, the subject of fraud barely came up. The department offered only one proposal to deal with fraud, and it quickly abandoned the idea after colleges criticized the