'Flex card' scam uncovered at Johnson C. Smith University

- Johnson C. Smith University announced on Thursday that they've uncovered evidence of fraudulent transactions on student 'flex cards' that may involve students and Perkins Management Services staff.

Flex cards hold funds that students may use to purchase food at dining establishments on campus, including Burger King, Red Mango and Lorraine’s Café.

"Peer students that work there, they may give some to their friend. It's all at the leisure of the employee. No student at all, was able or put the money into their account by themselves," A JCSU Student who wanted to remain anonymous said.

According to JCSU officials, a senior member of Perkins Management Services staff reviewed daily transactions of flex card use and noted more than 300 transactions that appear to be fraudulent activity.

A student at Johnson C. Smith University, who wanted to remain anonymous, reached out to FOX 46 Charlotte stating some of the 60 to 70 students accused in the scam are upset claiming they were unaware of the extra funds on their account citing a possible malfunction with their cards.

"They can ruin a reputation and it is such heartache to people who come from single backgrounds, who have spent their last nickel and dine to get to their children here, to be accused of such allegation," A JCSU Student who wanted to remain anonymous said.

The University’s director of Judicial Affairs is undertaking a careful, thorough investigation and has contacted every student whose card has a questionable transaction.

Screenshot of email sent to JCSU students involved in this case here: 

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In the coming weeks, the university says the director will meet with each student to gather relevant facts.

Students found to have engaged in the fraud will face judicial review.

"Although these developments are disappointing, in no way do they reflect the character of JCSU’s student population, who embrace truth and honor, the core principles of higher education, and hold high the standards of the Gold and Blue," President Ronald Carter said in a written statement, released on Thursday. 

Students tell FOX 46 Charlotte they haven't been given substantial proof of the allegation and the school has reprimanded students without a full investigation.

"[They] fired on campus Resident Assistants. They have released people of their AGA or Royal Court. They are trying to strip duties and titles, athletic aid. They are trying to render you from having any other extra-curricular activities if you are just tied to an allegation. No one has had a judicial hearing. No one has gone through their due process. They are just giving out consequences for allegations," A JCSU Student who wanted to remain anonymous said.

Commencement ceremonies are scheduled at 8 a.m. Sunday, May 21. No word if all students will be able to attend at this time.

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