What should happen to kids who intentionally lie on college applications?

Mo
Context on the choices:
1. Have their application rejected if the lie was discovered during the review process or get kicked out of college if the lie was discovered after. 
2. Have their name blacklisted so that other schools are warned as well. 
3. Forced to complete however much they lied about. Say they claimed 550 hours and only did 50. Make them do the extra 500 they claimed to do. Claimed to join the nonexistent Red Cross club at their school? Be the founder of a summer Red Cross club and then legitimately claim that. Etc. 
4. If they made it all the way through college, I read that the degree could be taken away if the lie was discovered. 
5. Other ideas/mix of options 
Recently I have discovered that a lot of my friends are lying on their college apps. They lie about volunteer hours and say that they were in clubs that they never even had at their schools. This is a huge problem for many reasons, the main one being that it unfairly increases competition in schools for things that don't even actually exist. 
I have done some research and found out that the above options and a few others are the results that some liars faced. Which ones do you find to be most appropriate for someone who is caught lying on an app?

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