I agree with you I am disgusted by this too, my college rolled out a similar thing where we no longer have any free lessons to study and do what we like in and we have to be constantly doing homework and assignment work unless we are on lunch or break. Needless to say I am not following that rule. The fact they label it fraud though is one step further, implying they own you when you are on the clock, I always wonder who comes up with these zero tolerance rules and how they live with themselves