Former Eastern Gateway College Officials Indicted in $20 Million Federal Aid Scheme

Former Eastern Gateway Community College president and two others face racketeering and felony charges for allegedly diverting $20 million in federal financial aid and state subsidies. The indictment claims an illegal 'last-dollar scholarship' program, leveraging Pell Grants, contributed to the college's closure and affected students. This follows a 2022 U.S. Department of Education cease and desist letter regarding EGCC's 'Free College Benefit' program.