The Board of a school in Southern California resigns after an audit ’s failing fraud

Episode Transcript

Speaker 1 (00:02):
A large fraud case has been discovered over at a
school in California. The entire board of California's highst Lands
Community Charter School has resigned after an audit found they
funneled one hundred and eighty million dollars in taxpayer funds
meant to teach adult immigrants. The board resignations it was

(00:23):
on June twenty fourth, twenty twenty five. They were removed
following a California State auditors report. So we'll look at
here the claim that students were faked. Some are making,
but it didn't exist as an exaggeration. The audit did
not explicitly state that students were fake or the classrooms
were non existed, instead of noted significant issues with attendance reporting,

(00:44):
where students were required as present for a full day
seven hours despite attending for much less time or leaving
immediately after signing in. Auditors observed classes with lax attendance enforcement.
But there's no evidence in the provided sources that students
were entirely fictious, but texious. Either way, they still committed
a great deal of fraud. The audit confirmed instances of

(01:04):
nepotism and unqualified hiring the director of attendance and emissions
for a sample, for example, had a salary of one
hundred and forty thousand dollars and even lacked a bachelor's
degree which was required, and their mother board member also
voted to approve their position. Another employee, the associate director,
earned one hundred and seventy five thousand. I don't know
how the associate earns more than the deputy director despite

(01:27):
lacking required qualifications as well. The audit also noted that
Highlands lacked policies against nepotism, leading to unqualified friends and
family being hired for high paying positions. The audit also
documented questionable financial transactions, waste for spending including luxury travel
and promotional merchandising, and lease for a luxury office overlooking

(01:51):
Petco Park in San Diego