"Ensuring the integrity of state-issued identification is a high priority and any irregularities are taken seriously and investigated."
That was Gov. Andy Beshear addressing the matter when it was first brought to light by a whistleblower and reported by Louisville's WDRB.
While the state did revoke nearly 2,000 licenses last year as a result, only now are the allegations translating to federal charges, ranging from unlawful production of identification documents to mail fraud and conspiracy.
Former clerks and outside operators accused of coordinating the scheme are alleged to have illegally issued licenses, altered state records, and accepted cash payments in as much as $1,500 per license.
So far, WDRB reports none of the individuals who purchased the licenses have been charged. Investigators said many did not speak English, did not understand the rules, and believed they were paying extra fees to expedite the licensing process.
The Kentucky Transportation Cabinet says it's taking action to guard against any similar schemes, instituting enhanced fraud training, cross-state tracking of credential issuance, and new reporting with Kentucky State Police, among other steps.