WASHINGTON (Legal Newsline) — A plaintiff alleges the U.S. Department of Education's failure to take appropriate safeguards of student applicant loan information led to more than $300,000 in fraudulent loan obligations.
Emerson Bradley, individually and on behalf of all others similarly situated, filed a complaint Nov. 9 in the U.S. District Court for the District of Columbia against the United States Department of Education alleging violation of the Privacy Act and other claims.
The plaintiff alleges in his class action that the U.S. Department of Education has caused "blameless victims" to be "saddled" with fraudulent student loans due to identity theft. Specifically, Bradley alleges the U.S. Department of Education has violated the Privacy Act by not implementing protocols to ensure student loan application information is not fraudulent.
He claims the defendant does not ensure the student loan applications are from the actual applicant or contain accurate information about identity theft victims in their systems. The plaintiff alleges that beginning in April of 2012, his father submitted several fraudulent applications to the defendants that falsely represented he agreed to endorse a series of students loans as a cosigner.
He claims the fraudulent loans obligated him as a co-signer for more than $341,000. Bradley alleges the defendant disseminated student loan information without making sure the records were accurate, complete and timely.
Bradley and the class seek monetary relief of no less than $1,000 per class member, interest and all other just relief. They are represented by Leonard Bennett and Craig Marchiando of Consumer Litigation Associates PC in Newport News, Virginia, and Drew Sarrett and Kevin Dillon of Consumer Litigation Associates PC in Richmond, Virginia.
U.S. District Court for the District of Columbia case number 1:22-CV-03442