The Trump administration has signalled a tougher international pursuit of suspects accused of defrauding the United States of millions of dollars in federal student aid, with Vice President JD Vance specifically naming Nairobi, Kenya, as US authorities widen their crackdown beyond American borders.
According to nation.africa, Vance shared an announcement on X, formerly Twitter, following the US Justice Department’s unveiling of criminal charges under Operation Ghostbusters, a nationwide investigation into a scheme involving stolen American identities and fraudulent student aid applications.
“If you steal American identities, if you steal taxpayer dollars, if you exploit programs meant to help students build a future, we will find you. Whether you are in Nebraska, New Jersey, Virginia, or Nairobi, we will pursue you,” Assistant Attorney General Colin M McDonald of the Justice Department’s National Fraud Enforcement Division said in the announcement.
The operation has uncovered alleged networks that used stolen identities to enrol fictitious students in American colleges and obtain federal loans and grants, with the proceeds allegedly channelled to accounts controlled by individuals in the United States and abroad, including Kenya.
On Thursday, the Justice Department announced charges against five defendants in the wider investigation and revealed that authorities had seized more than $750,000 (Sh97 million) in cryptocurrency linked to a network associated with Kenyan nationals.
“This is the first international seizure of its kind in Kenya,” McDonald said, adding that the department would pursue those accused of exploiting federal student aid programmes.
The US Department of Education also issued a warning to suspected fraudsters, saying the crackdown was intended to protect taxpayers and ensure financial aid reached genuine students.
“Every dollar that falls into the hands of a fraudster is a dollar that will not go to a student in need,” said Under Secretary Nicholas Kent.
“Today’s action sends a strong message to fraudsters both at home and abroad, the Trump Administration is watching and will hold you accountable and protect American taxpayers,” he added.
Among the cases highlighted by the department is that of Francis Smith Mogambi, a Kenyan citizen indicted in Nebraska over allegations that he used stolen American identities to obtain federal student aid.
A federal grand jury returned a 10-count indictment against Mogambi on October 19, charging him with five counts of theft of government money and five counts of aggravated identity theft.
According to the indictment, Mogambi allegedly worked with associates in Kenya between November 2025 and May 2026 to steal the identities of American citizens, enrol them in educational institutions without their knowledge and redirect federal financial aid cheques to himself.
Prosecutors allege that he retained 30 per cent of the proceeds and sent the remainder to his associates in Kenya.
Court documents also allege that Mogambi attempted to recruit another person into the scheme, offering $2,000 a week to participate.
The Justice Department said Mogambi had been arrested and detained pending trial.
The investigation extends beyond Nebraska, with federal prosecutors also pursuing alleged fraud networks linked to Virginia and New Jersey.
In the Virginia case, prosecutors allege that a Kenyan national received more than 700 fraudulent student aid refunds totalling approximately $1.44 million (Sh182 million) before transferring at least $1.3 million (Sh169 million) through transactions involving accounts in the United States and Kenya.
In New Jersey, three defendants are accused of working with individuals in Kenya to obtain more than $1 million in federal student aid using stolen American identities. Prosecutors allege that the proceeds were transferred overseas to co-conspirators linked to a purported Kenyan safari company.
The Justice Department said investigators identified 830,840 potentially fraudulent federal student aid accounts associated with nearly $130 million (Sh16.9 billion) and recommended that the Department of Education disable them.
The wider investigation is estimated to involve more than $200 million (Sh26 billion) in potential fraud, with more than 40 cases open across 26 FBI field offices.
The department said it was working with Kenyan law enforcement agencies to recover money allegedly stolen from American taxpayers and pursue suspects operating across borders.
An indictment contains allegations, and defendants are presumed innocent unless proven guilty in court.
