A "hold" does not usually affect the current term if you are already enrolled. It (at most schools) affects future terms. My guess is that these students have been contacted by an academic dean's office (or student conduct related office) for information regarding their status/investigation. Most schools have a limited time by which you need to reply/meet/provide information before they make a decision without your participation. I would imagine that students who knew about their parents activities will just let the clock run rather than providing information to USC. All student files would be private and we would not usually hear about the decision on individual cases
Students trying to transfer with a hold will have to answer the same questions that new admits answer in regards to academic integrity (and their reason for transfer). You can do an application for transfer without "official" documents until they are required by the institution (usually after the offer of admission) at many colleges.
For many more competitive schools, the transfer app deadline was March 1 or before. Depending on the year of the student, they may not need their SAT/ACT scores to transfer (part of the application process).
I would hope that we would hear from the SAT/ACT test owners about their way of handling the scores of these students. This older LI case is important in seeing that the College Board is taking responsibility (
https://nypost.com/2019/03/16/ex-na...at-cheating-calls-for-college-board-overhaul/) since it sanctions private test centers.
This is the link to theCollege Board statement from 3/13/19:
Information Regarding the College Admissions Fraud Case – College Board