This is an excerpt from the Wayne State University College of Pharmacy's student code of conduct: "Academic misconduct is any activity that tends to compromise the academic integrity of the institution or undermine the education process. Examples of academic misconduct include:
Cheating: Intentionally using or attempting to use or intentionally providing unauthorized materials, information or assistance in any academic exercise. This includes copying from another student's test paper, allowing another student to copy from your test, using unauthorized material during an exam and submitting a term paper for a current class that has been submitted in a past class without appropriate permission.
Such activity may result in failure of a specific assignment, an entire course, or, if flagrant, dismissal from Wayne State University."
This honesty-based question tests your character and reveals how you deal with awkward or uncomfortable situations. If you have found yourself in a situation like this, you can draw on that story for your reply. Be careful not to name any names or throw anyone under the bus, as you can rarely recover from negative behavior like that in an interview. Show the interviewers that you will follow their code of conduct and have an ethical obligation to report a classmate cheating.
