As these students are about to find out, the IRS doesn’t screw around in situations like this.

Lauren Cooley of Campus Reform reports.

Busted: Students use financial aid accounts for tax fraud

Federal authorities froze more than 1,000 student bank accounts last month in response to a fraudulent scheme run by Miami Dade College students and alumni.

The accused college students, all recipients of financial aid, supposedly received kickbacks ranging from $100 to $1,000 for providing their Higher One accounts as a method to file fraudulent income tax returns using stolen identities.

Some Miami Dade College students acted as recruiters to grow the fraudulent program further on campus. A total of 18 students have been charged thus far.

“[T]he situation was reportedly orchestrated by individuals not connected to the college, taking advantage of often vulnerable students,” says a statement released by Miami Dade College to WPLG.

However, all but three suspects are students or alumni of the school.

According to authorities, the student accounts received upwards to $500,000 in fraudulent income-tax refunds from the federal government and had plans to make up to $1.9 million in total. Those involved will likely face between two and 10 years in prison.