Fraud

1400.390 FRAUD PROCEDURE

A. TYPES OF FRAUD

1. Admissions Application Fraud: The submission of fake or misleading applications created without educational intent.
2. Financial Aid Fraud: The attempt to obtain local, state or federal aid through fraudulent enrollment activity.
3. Enrollment Fraud: Registering for classes without intent to attend or participate.

B. DEPARTMENTAL ROLES AND FRAUD DETECTION

1. Admissions
   Wenatchee Valley College (WVC) utilizes the State Board Community and Technical College’s (SBCTC) fraudulent application detection tool in ctcLink’s online admissions application portal. Applicants flagged as “suspected fraudulent” are automatically blocked from matriculation until identity verification is complete.
   
   The admissions office may rescind matriculation or acceptance should applicants fail to provide valid identity verification or intentionally commit fraud. 
2. Financial Aid
   Financial aid coordinates with the admissions office in identifying fraudulent applicants. Applicants flagged will be required to verify their identity through a valid I,D. Financial aid disbursal is automatically held for any student flagged for any student flagged for suspected fraud
3. Enrollment
   Faculty play a critical role in detecting enrollment fraud policy by monitoring student participation:
   1. No Show’ Reporting: Faculty must report inactive students to the director of enrollment services within the first 10 instructional days of the quarter (fall, winter and spring) and eight instructional day of the quarter for summer
   2. Regular and Substantive Interaction (RSI): Although RSI may not always indicate fraudulent activity, it is best practice that will not only address academic dishonesty but also to some extend student fraud activity. Faculty must maintain and document RSI in all online and distance education courses to verify continuous, legitimate student participation.
4. To verify identity, WVC will use the following:

1. 1. Government-issued ID.
   2. Proof of residency.
   3. Official transcripts.
   4. Employment authorization documents.
   5. An email from official school district staff verifying student’s identity.

C. SYSTEM INDICATORS & STUDENT NOTIFICATION

When fraudulent activity is suspected, WVC staff will apply the R09 and SXI negative service indicators in ctcLink.

1. Service Indicators Applied: Day 1. Staff apply R09 and SXI indicators in ctcLink, which automatically places a hold on the student's account and halts financial aid disbursements.
2. Student Notification: Days 1-5: An automated and manual request is sent to the student via email/mail requesting immediate submission of verification documents.
3. The 30-Day Response Window: Days 1–30. The student has exactly 30 calendar days from the date of initial notification to report to WVC with the required documentation.
4. Cancellation of Aid and Enrollment: Day 31. If the student fails to respond or provide valid documentation within 30 days, all financial aid is canceled, refunds are reversed or held, and enrollment is dropped. If a suspicious admissions or financial aid application is determined to be fraudulent, the fraudulent student account must be reported to ctcLink Support. If there is documented monetary loss (financial aid or other) colleges must follow State Reporting Requirements and report to: a. Washington State Auditor's Office, and b. SBCTC Business Operations. If the monetary loss is federal financial aid fraud, the college must follow Federal Reporting Requirements and report to the Department of Education Office of Inspector General (OIG).
5. The college's local security administrator must lock the fraudulent student account and place the “Fraudulent Account” (SXF) service indicator on the account.

D. SAFEGUARDS FOR LEGITIMATE STUDENTS

WVC recognizes that legitimate students may occasionally be falsely flagged by automated systems. To protect honest applicants, the college commits to the following safeguards:

1. Proactive Outreach: WVC will make multiple, varied communication attempts (email, phone, text via ConexED) to reach a student before dropping their classes or canceling aid.
2. Holistic Evidence Review: Before removing a student from a course, staff will review learning management system (LMS/Canvas) interactions, communication logs, and faculty participation trackers as evidence of legitimate intent.
3. Appeals Process: Legitimate students who miss the 30-day window due to extenuating circumstances will be provided with a clear, accessible path to verify their identity late and have their enrollment reinstated if space allows.

E. WVC CONTACTS FOR FRAUD REPORTING

1. Fraud Reporting Leads
   • Maggie Segesser, Director, Enrollment Services
   • Lisa Bozett, Program Specialist 2, Enrollment Services
   • Cesar Guzman Castaneda, Director, Financial Aid
   • Tony Rosales, Assistant Director, Financial Aid
2. ctcLink Security Administrator
   • Jason Hetterle, Director, Information Technology

Approved by the president’s cabinet: 7/22/26
Last reviewed: 7/22/26
Policy contact: Student Services

Related policies and procedures

400.390 Fraud Policy