DETROIT – A Detroit woman due in federal court this week is accused of running a decade-long scheme that used other people’s identities to obtain millions of dollars in federal student aid — and then routed much of that money back to herself through bank accounts, debit cards and Cash App transfers, according to a federal criminal complaint filed in Wayne County.
Michelle Denise Hill is charged with wire fraud for an alleged operation that stretched from July 2015 to July 2025 in Wayne County and beyong, according to a federal complaint.
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Federal student aid fraud schemes often follow a familiar pattern, investigators wrote: ringleader recruits “straw” students, enrolls them in online courses, submits their financial aid applications and then ensures refund money is redirected after tuition is paid.
The complaint describes Hill as the “ringleader,” and states specifically, since 2015, Hill submitted fraudulent FSA claims for roughly 80 people, predominantly involving Wayne County Community College (WCCC) in Detroit.
Investigators said the alleged scheme caused over $3.2 million in FSA benefits to be awarded, with over $2.5 million to be disbursed to date.
The case began in 2022 after a school official raised concerns about a sudden cluster of aid recipients listing the same Florida high school on their applications.
Beyond that, the complaint says investigators spotted repeated patterns across applications and accounts — shared challenge-question answers, addresses, phone information and personal references, “often Hill herself.”
A key piece of evidence in the complaint is an internet address tied to Hill’s Detroit home.
The complaint also alleges Hill controlled where refund money went after aid was approved and tuition was taken out, including by owning or controlling multiple bank accounts – at least seven -- and receiving mailed debit cards tied to students’ aid refunds.
Investigators described withdrawals and transfers after disbursements, sometimes supported by bank video.
During April 2023, agents say they found notebooks, loose papers and devices in Hill’s home — including personal identifying information, logins, passwords, course schedules and banking information for recipients.
Hill, according to the complaint, admitted to helping people obtain aid and complete school-related tasks.
Hill also allegedly told agents she kept other people’s debit cards because people “trust her more than they trust themselves.”
In an interview, Hill’s adult son allegedly told agents Hill helps people sign up for school to “get their money.”
The feds say after reviewing seized devices, they found photographs of IDs, debit cards and bank information, “over 100 pages of completed and “signed” FSA documentation,” and more than 800 coursework files.
Investigators also described text messages that they say show recruitment, exchanges of personal data and payment arrangements, and alleged impersonation of students in communications with professors.
Hill was set to be arraigned on January 15, 2026.