Criminal defense for Student Finance Fraud in Bonn

Legal Basis

§ 263 StGB

Sentencing Range

A fine or imprisonment of up to five years; more in particularly serious cases (Section 263(3) StGB)

Summary

Obtaining training assistance (BAföG) through concealed assets or income

Student Finance Fraud (BAföG) in Germany – Overview

An allegation of BAföG fraud concerns students and pupils who obtained support under the Federal Training Assistance Act (BAföG) through incorrect information – usually by concealing their own assets. The benefit is administered by the office for training assistance (Amt für Ausbildungsförderung). Because the support depends on assets and income, these details are relevant to it; false information can trigger a fraud investigation under Section 263 of the German Criminal Code (StGB).

What is BAföG fraud?

BAföG is granted depending on income and assets. In particular, the applicant’s own assets above the allowance and the parents’ income must be declared. Liability arises where a person deceives about this – for example by concealing existing assets in the application. The offence is frequently discovered through automated data comparison: the offices compare the declarations with the exemption orders and capital income recorded at the Federal Central Tax Office.

Typical situations

• Concealed assets: savings, securities accounts or building-society contracts above the allowance at the time of application.
• Asset shifting: temporarily transferring assets to third parties to avoid declaring them.
• Incorrect income figures: understated parental or personal income.
• Concealed work: undeclared earnings during the funding period.

An incorrect or omitted statement about a relevant fact, intent and a resulting loss are all required.

What penalties apply?

The range of Section 263 StGB applies: a fine or imprisonment of up to five years. As those affected are often first-time offenders and the amounts remain modest, many cases end with a discontinuation (Sections 153 / 153a of the Code of Criminal Procedure) or a penalty order. In addition, the wrongly paid BAföG is reclaimed; this recovery is separate from the criminal assessment.

Defence

The defence examines whether there really is an incorrect statement about a relevant fact, whether intent existed and whether the loss is correctly calculated. For young people it must also be considered whether a less serious case or the application of juvenile criminal law comes into question. The case file should be inspected before any statement.

Frequently asked questions

How is concealed BAföG assets discovered? Mainly through automated comparison with exemption orders and capital income recorded at the Federal Central Tax Office.

Do I have to repay the BAföG? The recovery of wrongly paid support is separate from the criminal case and generally arises even if the proceedings are discontinued.

Should I make a statement to the BAföG office? Not without legal advice; respond only after your lawyer has inspected the file.

Practical example and particularities

Example: A student does not declare a securities account of 12,000 euros in the BAföG application, which exceeded the allowance at the time of application. The office learns of this through automated data matching with the Federal Central Tax Office. Only the assets on the day of application are decisive; later changes are irrelevant.

A particularity is the strict cut-off date: anyone transferring assets to third parties shortly before the application in order to fall below the allowance risks the allegation, because such shifts can be treated as abusive and attributed back. As many of those affected are young adults, the application of juvenile criminal law or a less serious case often comes into question.

This information is general in nature and does not replace advice in an individual case.

Summons or accusation of Student Finance Fraud? What matters now

Make no statement to the police at first

As an accused person you are never obliged to comment on the allegation. Anything said to the police can be used against you. Provide statements only through your defense attorney and only after reviewing the case file.

File inspection comes first

A sound defense against the allegation of Student Finance Fraud requires knowledge of the investigation file. Only once the available evidence is clear can we decide whether a statement is advisable or whether remaining silent is the better strategy.

Possible discontinuation of proceedings

Not every case ends in a trial. Depending on the evidence and any prior record, the proceedings may be discontinued for lack of sufficient suspicion (§ 170 II StPO), for triviality (§ 153 StPO) or subject to conditions (§ 153a StPO). Often a penalty order without a public trial can be achieved.

Repayment, loss calculation and intent

In social-benefit cases, repaying the wrongly received amounts is separate from the criminal assessment: the criminal loss covers only the amount that would not have been paid with correct information. The defence examines the specific duty to inform, intent, and the loss calculation by the authority, which is often overstated. A considered, early repayment can favourably influence sentencing and a discontinuation subject to conditions.

What we do after reviewing the file

We examine the evidence for reliability and admissibility, look for procedural errors, develop the defense strategy, seek a dismissal of the proceedings through discussions with the public prosecutor’s office and represent you, if necessary, at trial before the Bonn Local Court or Bonn Regional Court.

Available 24/7: +49 228 504 463 36

This information does not replace a review of the individual case. In criminal proceedings, the defense strategy depends substantially on the case file, the specific allegation and the evidence.