Arizona Man Gets 120 Months for Student Aid Fraud

Tramell Thomas, 40, of Phoenix, Arizona, was handed a 120-month federal prison sentence plus three years’ supervised release for masterminding a massive financial aid fraud scheme. The U.S. Attorney Jason Dunn and Special Agent Adam Shanedling announced the verdict, which also includes $563,890.85 in restitution to the Department of Education and community colleges.

Thomas was found guilty on one count of conspiracy to defraud the government by submitting 181 false Free Applications for Federal Student Aid (FAFSAs). He also faced six counts of aiding and abetting mail fraud due to the distribution of federal student aid debit cards.

The conspirators, including Thomas, accessed Department of Corrections websites in multiple states to steal inmates’ personal information. Using this data, they filed FAFSAs under stolen identities, seeking nearly $1.3 million in federal student aid. The DOE paid out approximately $563,000 before the fraud was detected.

Thomas’s co-conspirators, Heather Carr, Mercedes Diaz, and Marcelle Green, have all pleaded guilty and are currently serving their sentences. U.S. Attorney Dunn emphasized that defrauding the government is a crime against taxpayers and called the sentence a reflection of that.

Special Agent Shanedling praised the OIG Special Agents and law enforcement partners for their dedication to protecting federal student aid funds. He vowed to continue targeting those who steal from these vital programs, noting America’s students and taxpayers deserve better.

The case was investigated by Assistant U.S. Attorneys Martha Paluch and Bryan Fields.

RELATED: Navajo Man Gets 10 Years for Child Sex Abuse

RELATED: Milwaukee Man Gets 10 Years for Green Bay Meth Ring