Do OK as intern (7)
I believe the answer is:
confine
'intern' is the definition.
(I've seen this in another clue)
'do ok' is the wordplay.
'do' becomes 'con' (both can mean to defraud).
'ok' becomes 'fine' (synonyms).
'con'+'fine'='CONFINE'
'as' acts as a link.
(Other definitions for confine that I've seen before include "Keep within limits" , "Incarcerate" , "Imprison" , "Limit" , "pen" .)