A report from the Hartford Courant:

“HARTFORD — City and state educators said Monday that they had been served with subpoenas by a federal grand jury examining the expenditure of millions of dollars in public money by the troubled charter school management company FUSE.

“The subpoenas were issued Friday to the Hartford Public Schools and the state Department of Education, both of which have had extensive dealings with the state-subsidized FUSE, short for the Family Urban Schools of Excellence.

“FUSE was created in 2012 as a management company that used public and private money to take over failing, inner-city public schools and operate them as public charter schools. FUSE’s management agreements with public school systems gave it wide discretion over spending on salaries, rents, curriculum, equipment and other items.

“A series of embarrassing disclosures in the past month appears to have crippled FUSE, costing the organization all its management business, worth more than $1 million a year. The closely affiliated Jumoke Academy fired FUSE as manager of its three Hartford charter schools. Schools in Bridgeport and New Haven severed ties with FUSE, and educators in Louisiana, concerned about events in Connecticut, pulled FUSE from a charter school set to open in Baton Rouge next month.

“The subpoena to Hartford Public Schools demands all city records since 2012 related to FUSE founder and former CEO Michael M. Sharpe, FUSE, Jumoke Academy and Milner Elementary School. Hartford hired FUSE in 2012 to turn around Milner, but the relationship soured and ultimately ended when a fall 2013 assessment showed that, in spite of $1 million in additional spending by FUSE at Milner, students continued to read at rock-bottom levels.”

The State Department of Education did not release a copy of its subpoena.

Jumoke Academy charter schools had received $53 million in state funds since its founding in 1997.