Man pleads guilty to fraud in student loan case - KWWL - Eastern Iowa Breaking News, Weather, Closings

Man pleads guilty to fraud in student loan case

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CEDAR RAPIDS (KWWL) - A man pleaded guilty to mail fraud for his role in a scheme to obtain federal student loan money.

Michael Cortez, 31,  of Cedar Rapids entered the plea Friday in U.S. District Court.

Prosecutors say he and others applied for federal college aid in other people's names in 2006 and 2007 and arranged for a loan check to be directed to a post office box under their control.

Cortez remains free on bond, and a sentencing date hasn't been set.

Another participant, 22-year-old Cory Bailey, was sentenced last month to three years in prison for recruiting fake students to sign up for classes at Kirkwood Community College.

He has also been ordered to pay restitution of $133,000 to the U.S. Department of Education and $5,900 to the college.

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