North Brunswick IRS Agent Admits To Student Loan Fraud

NORTH BRUNSWICK, NJ — An IRS collection agent who lives in North Brunswick tried to claim she was unemployed so she didn't have to repay a student loan, federal prosecutors said.

Chandra T. Porter, 53, of North Brunswick, a revenue officer with the IRS, admitted this week that she made false statements and submitted false documents to a federal program to defer repayment on a student loan, U.S. Attorney Craig Carpenito announced.

Porter pleaded guilty before U.S. District Judge Brian R. Martinotti in Trenton federal court to an information charging her with one count of making false statements and representations.

In June 2008 Porter applied for a Direct Plus Loan under the Federal Family Education Loan Program so that her relative could attend a college program. Between July 2008 and June 2010, the U.S. Department of Education disbursed $49,179 to the college program on behalf of Porter’s relative. After the relative completed the college program, the loan became due in December 2010, and Porter was required to make monthly payments towards the loan.

However, beginning in April 2012, Porter began submitting Unemployment Deferment Request applications to defer the loan payments, falsely representing that she was unemployed and was unable to find suitable employment. However, Porter was, in fact, a full-time employee of the IRS as a revenue officer.

Several of the deferment applications she submitted were faxed to the loan handlers from the IRS office where Porter worked, the US Attorney's office said.

The count of making false statements carries a maximum potential penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for Oct. 30, 2018.