Authored by Caden Pearson via The Epoch Times,
A recent government report has highlighted serious lapses in safeguards against potential fraud in President Joe Biden’s scuttled plan to unilaterally forgive $430 billion in student loan debt.
The Biden plan, announced in August 2022, aimed to provide relief ranging from $10,000 to $20,000 for 31 million federal student loan holders. Mired in legal challenges, court orders halted the program in November 2022 before the U.S. Supreme Court struck the final blow in June.
The Government Accountability Office’s (GAO) report, released Thursday, revealed that the U.S. Department of Education’s handling of the initiative lacked critical measures to ascertain whether the recipients’ incomes justified the debt forgiveness.
Spanning from January to September, the watchdog’s report specifically noted that the “increased flow of federal funds” for relief programs due to the COVID-19 pandemic increased the risk of fraud. This, the report stated, underscored the “imperative for federal agencies to manage fraud risks strategically.”
The watchdog’s report highlighted concerns over the Biden administration’s failure to verify incomes for millions…
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