Naturalized citizen from Nigeria and former professor sentenced in student financial aid fraud scheme

HOUSTON - A 43-year-old man living in Richmond, TX will serve time in federal prison for orchestrating a years-long scheme involving fraudulent student financial aid applications and the misuse of victims' identities.

Emmanuel Olugbaike Finnih is originally from Nigeria and later became a naturalized U.S. citizen. He was also formerly an adjunct professor at Texas Southern University.

Finnih pleaded guilty March 20 to theft of government funds, fraud, unlawful use or transfer of identity documents, and aggravated identity theft.

U.S. District Judge Andrew Hanen ordered Finnih to serve 78 months in federal prison to be immediately followed by three years of supervised release. At the hearing, the court heard how Finnih used false identities, transcripts, UPS boxes, and bank accounts to carry out the scheme, leaving victims with student loan debt that damaged their credit and hindered legitimate school enrollment.

"Higher education costs are already skyrocketing out of control, and it's scammers like Finnih who make it worse, more expensive, and financially damaging for everyone," said U.S. Attorney Aaron Reitz. "This fraudster will now suffer the consequences of his manipulative, deceitful, un-American crimes."

"I am proud of the work of OIG Special Agents and our law enforcement partners for shutting down another student aid fraud ring and holding Mr. Finnih accountable for his criminal actions," said Acting Special Agent in Charge Scott Wingle of the U.S. Department of Education Office of Inspector General's Central Regional Office. "We will continue to aggressively pursue those who misappropriate education funds for their own selfish purposes. America's students and taxpayers deserve nothing less."

For approximately five years, Finnih submitted more than 100 fraudulent financial aid applications to the Department of Education using the identities of numerous straw students at colleges and universities across Texas.

He used other individuals' personal identifying information to prepare, submit, and sign fraudulent financial aid applications and master promissory notes in their names. He also used mailing addresses, phone numbers, and email accounts he controlled to receive communications from the Department of Education and the schools.

Finnih then obtained financial aid refunds through electronic transfers, checks, and prepaid debit cards sent to addresses or bank accounts he controlled.

As part of his plea, Finnih admitted repeatedly using the personal identifying information of two victims over several years to fraudulently obtain federal financial aid.

Authorities also discovered Finnih possessed false identity documents, including temporary driver permits and identification cards, that he intended to unlawfully use or transfer as part of the scheme.

The fraud left some victims with tens of thousands of dollars in student loans fraudulently placed in their names, significantly affecting their credit.

The court also heard how Finnih would often masculinize the names of female straw students while continuing to use their correct social security numbers and dates of birth. This allowed him to pose as the straw students more easily and further the scheme.

In at least one instance, Finnih called a local community college and attempted to have financial aid payments unfrozen after the school flagged fraudulent transcripts associated with one of the straw students.

Finnih submitted fraudulent aid applications seeking over $1.3 million in grants and loans, of which $921,189.08 was disbursed.

Finnih was permitted to remain on bond and voluntarily surrender to a Federal Bureau of Prisons facility to be determined in the near future.

Department of Education - OIG conducted the investigation with assistance from Lone Star College Police Department, U.S. Marshals Service and U.S. Postal Inspection Service. Assistant U.S. Attorney Brad R. Gray prosecuted the case.

On April 7, the Department of Justice announced the creation of the National Fraud Enforcement Division, which is laser-focused on investigating and prosecuting those who commit fraud against the American people. The Department's work to combat fraud supports President Trump's Task Force to Eliminate Fraud, a whole-of-government effort chaired by Vice President J.D. Vance to eliminate fraud, waste, and abuse within federal benefit programs.