Oakland Schools' Officials May Face Criminal Probe

Friday, June 15, 2012

The founder and governing board of three controversial Oakland charter schools could face a criminal investigation into allegations of fraud, misappropriation of funds and other illegal activities outlined in an official audit report released Wednesday.

The allegations against American Indian charter schools officials include $3.7 million in payments to businesses owned by founder Ben Chavis and his wife, including money for rent, storage fees, construction projects and the administration of summer school programs.

The final report by the Fiscal Crisis and Management Assistance Team will be forwarded to the county district attorney's office, said Alameda County schools Superintendent Sheila Jordan, who requested the independent audit in December.

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