Cases of fraud among students on federal financial aid are growing, authorities say. Fraud is more rampant among students at more expensive colleges and universities than among those attending less expensive institutions.

• Administrators admit that they almost never try to verify that tax documents submitted in support of aid applications are authentic -- and do not pursue families suspected of cheating.

• When a case of cheating is discovered, college officials do not inform the Department of Education -- even though they are required to do so.

• Truly needy applicants are victimized when financially-secure families cheat -- since less assistance is available to them.

• Some 4.4 percent of Pell grant applicants -- grants reserved for truly needy families -- understated family income among 2.3 million recipients in the 1995-96 school year.

About half of U. S. undergraduates get some form of financial aid -- a total of $50 billion a year in loans and grants.

Source: Steve Stecklow, "Student Applications For Financial Aid Give Lots of False Answers," Wall Street Journal, March 11, 1997.