Fabrications in any competitive application process - for college, scholarships, jobs, etc. - harm every honest candidate, and so taking credit for nonexistent accomplishments cannot constitute a “little white lie.” White lies are generally understood to be harmless, trivial, and - under many definitions - selfless. Lying on a resumé or application is hardly trivial, nor is harmless, and it certainly isn’t a selfless act.
The ethics of reporting such fabrications are muddled, but white lies they are not.