San Leandro Man Sentenced To 27 Months In Prison For Student Aid Fraud Scheme

SACRAMENTO, Calif. — Myron Jacobs, 41, of San Leandro, was sentenced today by United States District Judge Morrison C. England Jr. to 27 months in prison and ordered to pay $66,748 in restitution for mail fraud, associated with a student aid fraud scheme, United States Attorney Benjamin B. Wagner announced.

According to court documents, between August 1, 2009, and December 31, 2011, Stacey and Myron Jacobs engaged in a scheme to defraud the Department of Education by recruiting individuals to act as straw students at various community colleges and applying for financial aid assistance in their names. The recruited straw students were not active students at these schools and many did not intend to become active students at these schools. Stacey Jacobs had the financial aid funds sent to addresses associated with her or to others with whom she was associated. Due to the scheme, the Department of Education lost at least $66,748.

This case is the product of an investigation by the U.S. Department of Education OIG. Assistant United States Attorney Lee S. Bickley prosecuted the case.

Myron Jacobs is currently in custody. His co-defendant Stacey Jacobs is next scheduled for a status conference on May 22, 2014. The charges against her are only allegations; she is presumed innocent until and unless proven guilty beyond a reasonable doubt.