Jerome F. Gorgon, Jr., U.S. Attorney’s Office for the Eastern District of Michigan | Department of Justice
Michelle Denise Hill, 48, of Detroit, pleaded guilty on Mar. 23 to wire fraud for her role in a scheme that obtained more than $2.5 million in federal student aid funds over the course of a decade, according to United States Attorney Jerome F. Gorgon, Jr.
The case highlights ongoing concerns about abuse of federal student aid programs and the importance of safeguarding public funds intended for education.
Court records show that from at least July 2015 through July 2025, Hill orchestrated a plan involving fraudulent applications for Federal Pell Grants and Federal Direct Student Loans from the U.S. Department of Education. She submitted these applications on behalf of more than 80 individuals who were presented as students at Wayne County Community College but had no intention to pursue degrees. Hill acquired high school diplomas for them—many from a Florida online “fast-track” school—and completed their college coursework online herself to make it appear they were making academic progress and thus eligible for continued aid across multiple semesters. The proceeds were generally split between Hill and these individuals.
The scheme resulted in over $3 million being awarded by the Department of Education, with approximately $2,530,854 actually disbursed on fraudulent claims. As part of her plea agreement, Hill will pay restitution in this amount.
Hill entered her plea before United States District Judge Brandy R. McMillion; sentencing is set for August 3, where she faces up to twenty years in prison.
United States Attorney Jerome F. Gorgon said: “Federal student aid exists to open doors for Americans who are working to better themselves and their families. Michelle Hill slammed those doors shut, turning a lifeline into a racket and stealing millions from a program that belongs to our hardworking neighbors.”
John Woolley, Special Agent in Charge at the U.S. Department of Education Office of Inspector General’s Central Regional Office said: “I am proud of the work of OIG Special Agents and our law enforcement partners for their work in this case and their dedication to protecting the integrity of Federal student aid funds... We will continue to pursue those who misappropriate Federal student aid or game the system for their own self-interests. America’s students and taxpayers deserve nothing less.”
The investigation was conducted by agents from the U.S. Department of Education’s Office of Inspector General and prosecuted by Assistant United States Attorneys Ryan A. Particka and John K. Neal.
