The high number of counts, a total of of 127, is because each alleged instance of fraudulent enrollment and identity theft is a separate count. Holladays wife, Deborah, was accused in the federal indictment of establishing a bogus consulting company, which the Athens system allegedly paid to locate virtual students. They also concocted a scheme in which Tutt, Corkren and Deborah Holladay, Trey Holladays wife, created consulting companies that allegedly recruited students to the virtual schools. Six former educators indicted of federal conspiracy charges A trial date had been set for September 13th in Montgomery for former Athens City Schools Superintendent Trey Holladay, his wife Deborah Holladay and Rick Carter, director of innovative. Over the past months, Athens City Schools has fully cooperated with the Department of Justice as its investigation proceeded. Dr. Beth Taylor. Those students continued to attend brick-and-mortar private schools each day, continued to participate in private school athletics and their parents continued to pay tuition to the private schools. As Attorney General, I am committed to stand together with our partners in law enforcement to ensure that allegations of wrongdoing are investigated, and that appropriate action is taken.. The various defendants then received, for theirown personal use, portions of the state money. Eddie Burkhalter is a reporter at the Alabama Political Reporter. Trey and Deborah Holladay released the following statement following the indictments release: We are a family of teachers and coaches. The indictment alleges that the defendants conspired to fraudulently enroll students in public virtual schools and then falsely report those students to the Alabama State Department of Education. There is absolutely no way that we would do anything detrimental to the school system. Pomona Unified School District or PUSD serves approximately 30,000 Pre-K-12 students and 17,000 adult learners at 44 schools in Pomona and Diamond Bar, California.It is located 30 miles east of downtown Los Angeles, and is the third-largest school district in Los Angeles County.. The defendants in this case prioritized their own profits over the education needs of our students. Community Rules apply to all content you upload or otherwise submit to this site. William Lee Trey Holladay, III formally separated from Athens City Schools in October 2020. Holladay left the school district months after the FBI started investigating him in 2020. The indictment further alleges that the defendants went to various lengths to conceal the fraud from the state.Such lengths included: creating fake report cards, manufacturing false addresses for the students of the private schools who lived outside of Alabama, and submitting falsified course completion reports to the state department of education. ACS would then use, directly and indirectly, portions of the excess money to fund the completion of capital projects, including, the new campus of Athens High School.". If you want to plan the perfect spring picnic, food and drink are important, but its certainly not the only factor to consider. To learn more about The Alabama Education Lab and receive notifications about stories and events, sign up for its newsletter, Ed Chat. Each will have three years of supervised release after serving prison time. Upon reviewing the allegations against Dr. Rick Carter, Athens City Schools has placed him on administrative leave until further notice. Defense attorneys filed a motion with the court to delay the trial from its original September start in order to give them more time to . All sections in the city are zoned to an elementary, middle, and high school.[3]. There are issues that most of Alabama knows we need to address. In fact, as mentioned during the Justice Departments press conference, the indictment does not include any current Limestone County School employees. Former Limestone County superintendent sentenced in fraud case The indictment states the purpose of the conspiracy was to obtain greater state funding allocations through the Foundation Program than they would otherwise have been entitled. Holladay was on leave from June 2020 until his last day with the district on Oct. 31, 2020. The various defendants then received, for their own personal use, portions of the state money. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of Advance Local. All rights reserved (About Us). In 1995 the school district bought the former Indian Hill Mall, a failing shopping center built in the 1960s, and redeveloped it into an educational, commercial and retail complex called The Village at Indian Hill.[1]. The Alabama Attorney Generals Office also assisted in the investigation. He is also listed as a friend of Trey Holladay in the indictment. Because the jury found the state proved certain aggravating circumstances, Dismukes could face a prison sentence of up to 20 years. Former Athens, Limestone superintendents indicted for virtual-education The jury found Lorenzo Mills guilty of assaulting three incarcerated people with a riot baton and falsifying a report. . The former superintendent of the Athens City Schools System on Thursday pleaded guilty to conspiring with others to defraud the state by inflating the number of students enrolled in a virtual school. Pasadena's Minimum Wage Rate Increases to $16.93 on July 1. TEAM MASCOT. | As the office responsible for identifying fraud, abuse, and other criminal activity involving U.S. Department of Education funds and programs, ensuring that those who abuse these funds or game the system for their own selfish purposes are stopped and held accountable for their criminal actions is a big part of our mission., Integrity and trust are characteristics of Alabama teachers and administrators. It is located 30 miles east of downtown Los Angeles, and is the third-largest school district in Los Angeles County. LIMESTONE COUNTY, Ala. Former Athens City Schools Superintendent Trey Holladay, his wife and former Limestone County Schools Superintendent Tom Sisk are among those named in a federal. FBI Special Agent in Charge Johnnie Sharp, Jr. Acting Special Agent in Charge of the U.S. Department of Education Office of Inspector Generals Southeastern Regional Office. Trey Holladay, Athens, Alabama professional. Expert Retired The Los Angeles teachers union's last strike was in 2019. Hubbard, originally sentenced to four years for violating ethics laws, has been in the custody of the ADOC since September 2020. Such lengths included: creating fake report cards, manufacturing false addresses for the students of the private schools who lived outside of Alabama, and submitting falsified course completion reports to the state department of education. Carter will be sentenced in August. LIMESTONE COUNTY, Ala. - Former Athens City Schools Superintendent Trey Holladay pleaded guilty in a multi-million dollar virtual academy fraud scheme. Now, after months of a federal investigation, the Athens City School Board of Education unanimously approved a $250,000 separation agreement with Holladay. Peeples most recently served as an inspector in the Inspection Division at FBI Headquarters in Washington. Here, both the Limestone County School District and the Athens City School District received more than their fair share of funding at the expense of even the most cash-strapped school district, Thompson wrote. Dr. Holladay has almost two years remaining on his superintendent contract. Trial delayed for defendants in virtual schools fraud case In total, the Alabama Department of Education believes the six people robbed public schools of more than $5 million using a variety of methods to falsify virtual schools rolls and illegally gain more per-pupil funding. Tom Sisk, who pleaded guilty for his role in the scheme, will serve 18 months in federal prison. Former Athens City School superintendent pleads guilty to defrauding state, Will Dismukes found guilty of first-degree theft of property, Alabama Supreme Court upholds removal of Talladega probate judge. This case was investigated by the Federal Bureau of Investigation and the United States Department of Educations Office of Inspector General. A few years ago, some of the same people excusing Trump's recent indictment were celebrating Gov. Two Former Alabama Public School Superintendents Among Six Charged with According to court records and information contained in Holladays plea agreement, Holladay and Sisk did so when they submitted to the ALSDE lists of enrolled students who were, in reality, full-time students at private schools located in other parts of the state.. We will continue to cooperate with Acting U.S. Attorney Sandra J. Stewart and her team until the matter is completely adjudicated and settled.. Carters motion for a new trial was rejected by Judge Thompson. District, teachers, at odds. Former Athens, Limestone superintendents face federal conspiracy - WAFF Its just wrong, Opinion | Sen. Jay Hovey may have meant well, but he was wrong. Holladays next court date was scheduled for February 2022. of Justice explained in a statement: The indictment alleges that the defendants conspired to fraudulently enroll students in public virtual schools and then falsely report those students to the Alabama State Department of Education. All defendants are presumed innocent until proven guilty beyond a reasonable doubt. Trey Holladay. Former Limestone County Superintendent Tom Sisk was sentenced to 18 months in federal prison on Tuesday, fined $15,000 and ordered to pay $13,000 in restitution. Limestone County Schools released a response to the indictment: On Tuesday, February 23, 2021, Limestone County Schools learned it was mentioned in an indictment for involvement with a virtual school program during the 2016-2017 school year. Former Athens City Schools superintendent Trey Holladay was sentenced Thursday afternoon to five years in federal prison after pleading guilty to participating in a multiyear scheme to. ATHENS, Ala. (WAFF) - Former Athens superintendent, William Lee "Trey" Holladay has entered a guilty plea for a conspiracy charge. TM & document.write(new Date().getFullYear()); Former Athens City School teacher Deborah Irby Holladay was indicted on one charge of Conspiracy and numerous charges of Wire Fraud. A sentencing date has not been set for Holladay. ATHENS, Ala. (WAFF) - UPDATE: See details from Thursdays special meeting of the Athens City Board of Education below the details of each individuals charges. In connection with the agreements to acquire student information from the private schools, the co-conspirators paid over $600,000 of the money the Athens district received to the participating private schools and their employees and administrators. The Day's Scoop: Your daily email briefing on all things Alabama politics. The former superintendent of the Athens City Schools System on Thursday pleaded guilty to conspiring with others to defraud the state by inflating the number of students enrolled in a virtual school. Show All Show Calendar. David Cole again takes election challenge to the Alabama Supreme Court, Manufacture Alabama endorses Judge Chris McCool for Supreme Court, Alabama Forestry Association endorses Chris McCool for Alabama Supreme Court, Alabama Forestry Association endorses Twinkle Cavanaugh for PSC president, Alabama-based Strategy Management win three industry awards, Opinion | Educational outcomes not politics should be our top priority, Ivey: Pre-K secretary dismissed due to distractions of different lifestyles, equity, Local agencies receive $4.4 million in grants to weatherize homes, Ivey signs bill setting mandatory minimums for fentanyl trafficking, Economic development bills to focus on rural development, site prep, Week in review: House handles business after passing General Fund budget, Alabama Arise supports Senate bill to reduce grocery tax, Bill filed to ban drag shows in public spaces, Bill targeting shoplifting passes Senate Judiciary committee, Abortion access advocates lobby legislators to support HB17, oppose HB208, Alabamas spring housing market in a unique position, Gov. All three men will also face three years of supervised release at the end of those sentences and will pay hefty fines. We will continue to hold high standards at every level from local schools to the state with the expectation that every public school dollar will be spent to support our children., Public officials and employees are obligated to perform their duties and administer funds with integrity and according to requirements of the law, said Alabama Attorney General Marshall. Athens had experienced a similar uptick in revenue the last five years. Robert Bentley's resignation for similar crimes. As Attorney General, I am committed to stand together with our partners in law enforcement to ensure that allegations of wrongdoing are investigated,and that appropriate action is taken.". Date: 8/14/2023. When he entered his guilty plea, Holladay admitted that he, along with co-defendant Thomas Michael Sisk, superintendent of the Limestone County Schools system (LCS), conspired to fraudulently inflate the number of students enrolled in their systems, the statement reads. is a thirty-one-year veteran public school educator with twenty-seven years in educational leadership. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Copyright 2023 Nexstar Media Inc. All rights reserved. Board of Education members are elected to a four-year term. In a statement, Superintendent Eric Mackey said the state department had worked with investigators and prosecutors on the issue. 20Former Limestone County Superintendent Tom Sisk was sentenced to 18 months in federal prison after pleading guilty on April 8, 2021 to conspiring to defraud the United States government. Corkren also pleaded guilty to aggravated identity theft. House Calendar for 4/27/2023 - South Carolina Legislature Online He faces up to 20 years in prison. Alabama department of education wanted defendants to repay $5.7 million, found guilty of conspiracy, four counts of wire fraud and two counts of aggravated identity theft in March, Buy newspaper front pages, posters and more. . Officials say this settlement payment resolves and eliminates any further compensation as well as other expenses which may have otherwise been obliged to pay related to the matter. David Cole again takes election challenge to the Alabama Supreme Court, Manufacture Alabama endorses Judge Chris McCool for Supreme Court, Alabama Forestry Association endorses Chris McCool for Alabama Supreme Court, Alabama Forestry Association endorses Twinkle Cavanaugh for PSC president, Alabama-based Strategy Management win three industry awards, Opinion | Educational outcomes not politics should be our top priority, Ivey: Pre-K secretary dismissed due to distractions of different lifestyles, equity, Local agencies receive $4.4 million in grants to weatherize homes, Ivey signs bill setting mandatory minimums for fentanyl trafficking, Economic development bills to focus on rural development, site prep, Week in review: House handles business after passing General Fund budget, Alabama Arise supports Senate bill to reduce grocery tax, Bill filed to ban drag shows in public spaces, Bill targeting shoplifting passes Senate Judiciary committee, Abortion access advocates lobby legislators to support HB17, oppose HB208, Alabamas spring housing market in a unique position, Gov. So far, the operators of the private schools have not faced charges for their roles, if any, in the scheme. The Dept. The first of the Measure PS projects were completed in summer 2009. Former Athens City Schools Superintendent Trey Holladay, one of six defendants indicted on federal charges of conspiracy in the scheme, is charged with conspiracy and 88 counts of wire fraud. . HUNTSVILLE, Ala. (WAFF) - Former Athens Superintendent William Lee "Trey" Holladay is scheduled to be sentenced Tuesday after pleading guilty for conspiracy in December. ACADEMIC CHALLENGE TEAM. According to the indictment, the defendants obtained student identities to use in their scheme from various private schools located across the stateparticularly private schools in the Black Belt region of Alabama. Former Athens superintendent Trey Hollaway, who pleaded guilty to his role in concocting a scheme to defraud public schools across the state, will spend the next 60 months in federal prison. Moving forward, we will be a transparent and accountable school system which provides the best educational experience we can for our students.. Published on May 25, 2021 at 2:25 pm CDT. Former Athens City Schools Superintendent Trey Holladay pleads guilty The Plaintiffs, in this case, are students who prosecutors say had their identities stolen. NASAs SpaceX Crew-5 Astronauts Visits Marshall Space Flight Center, Mental Health Awareness Month: Erasing the stigma of mental illness, Athens City Schools approves separation agreement with former superintendent, $250,000 payment, Limestone County Schools Superintendent Tom Sisk heading to Bristol, TN Board of Education. Former Athens superintendent, two others sentenced in virtual school case That is completely unacceptable, said Kori Smith, Acting Special Agent in Charge of the U.S. Department of Education Office of Inspector Generals Southeastern Regional Office. The four co-defendants each pleaded guilty to conspiracy to . All rights reserved. Six people, including two former superintendents, are named in the indictment. The FBI started investigating Holladays home in June 2020. Holladays tenure as superintendent will end on October 31. Two other co-defendants Greg Corkren and David Tutt have admitted to operating similar businesses, with all involved raking in hundreds of thousands of dollars for locating virtual students that never actually enrolled in the Athens virtual school. The school system will continue to work with federal officials and the Alabama State Department of Education as the matter proceeds in court. BREAKING: Holladay, Sisk among 6 named in indictment Additionally, Trey Holladay, Carter, and Corkren are charged with aggravated identity theft. A federal judge granted the motion on Dec. 7. Tutt is listed as a longtime friend of Trey Holladay in the indictment. Thomas Sisk was the superintendent of the Limestone County, Alabama School District during the times investigated. The Day's Scoop: Your daily email briefing on all things Alabama politics. Court records show on Tuesday Holladay. A former Athens school superintendent has pleaded guilty to conspiring with others to defraud the Alabama State Department of Education by falsely inflating the number of students enrolled in public virtual schools. April 27, 2023. The indictment further alleges that the defendants went to various lengths to conceal the fraud from the state. He is one of six state educators accused of enrolling those private school students into their virtual classes to get their tax dollars. Ill write about them over and over again. Co-defendants . Another round of projects was set for summer 2010, at 21 schools. However, over the course of several years, the individuals named in the indictment betrayed the trust of not only our citizens but our students, parents, and other teachers and administrators who continue to work diligently every day. A spokesperson for the FBI confirms that "law enforcement action" was taken at the home of Athens City School Superintendent Trey Holladay on Tuesday morning. Because of state laws, Athens Schools officials have been unable to terminate Rick Carter, who was convicted in March of seven felonies. This was accomplished by enrolling full time in-person students into their respective virtual schools. The systems received state funds for those students. 'Trey' Holladay, Ed.D. Published on December 17, 2021 at 7:52 am CST. Trey Holladay, the mastermind of the virtual school scam, was hit with a lengthy prison sentence and hefty fine. Pomona Unified School District or PUSD serves approximately 30,000 Pre-K-12 students and 17,000 adult learners at 44 schools in Pomona and Diamond Bar, California. The indictment states the purpose of the conspiracy was to obtain greater state funding allocations through the Foundation Program than they would otherwise have been entitled to Athens City Schools would then use, directly and indirectly, portions of the excess money to fund the completion of capital projects, including, the new campus of Athens High School. City of Pasadena Releases Independent Review of Officer-Involved Shooting of Anthony McClain. with co-defendants former Athens City Schools Superintendent Trey Holladay and former Athens City School principal and administrator Rick Carter .