3 People Indicted in Racketeering Case over Millions Allegedly Stolen From Eastern Gateway Community College
Three defendants are accused of diverting Pell grants and other aid through fraudulent reimbursements and incentive payments, auditors said.
- On Thursday, Ohio Auditor Keith Faber announced a Jefferson County grand jury indicted three former Eastern Gateway Community College employees for a nearly $20 million fraud scheme involving federal Pell Grants and other financial aid.
- Prosecutors allege the trio diverted public funds through the 'Free College Benefit Program,' using for-profit companies to control attendance verification and enrollment while improperly siphoning aid meant for disadvantaged students.
- Between 2017 and 2022, enrollment surged from about 8,500 students to more than 60,000, as defendants falsified records to disburse aid for ineligible students while pocketing millions in illegal incentive payments.
- Eliminating a critical higher education option, EGCC closed in September 2025 following the financial mismanagement, leaving students in eastern Ohio without access to previously available degree programs.
- Attorneys for the defendants asserted there was "no lack of transparency," noting extensive reviews by the Ohio Attorney General and federal authorities have already examined the college's operations.
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Logan Daily News
The Center SquareThree charged with stealing $20M in 'Free College Benefit Program'
(The Center Square) – An Ohio college that touted a “Free College Benefit Program” was actually illegally funded with millions in taxpayer dollars, according to indictments released Thursday.
3 Indicted for Stealing $20M From Ohio Community College
Three individuals have been indicted for allegedly stealing $20 million in Pell Grant and other public funds intended to benefit the students of Eastern Gateway Community College, which closed in 2024.
3 people indicted in racketeering case over millions allegedly stolen from Eastern Gateway Community College
JEFFERSON COUNTY, OHIO (WTRF) - Three individuals have been indicted by the Jefferson County Grand Jury in a racketeering case over nearly $20 million that was allegedly stolen from the now-shuttered Eastern Gateway Community College. The indictment alleges a coordinated criminal scheme, whereby Pell grants and other federal financial aid, as well as state subsidies, [...]
Three indicted in alleged theft of $20 million from defunct Eastern Gateway Community College | The Highland County Press
A Jefferson County grand jury has handed down indictments against three individuals in the alleged theft of about $20 million from the now-defunct Eastern Gateway Community College (EGCC), Auditor of State Keith Faber announced.
Eastern Gateway's last president indicated on 9 counts
COLUMBUS, Ohio - The last president of the now-shuttered Eastern Gateway Community College and two others have been indicted for improperly using financial aid money, which led to the college’s collapse, Ohio State Auditor Keith Faber and U.S. Under Secretary of Education Nicholas Kent announced Thursday afternoon.
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