Marcus May, charter operator, was sentenced to 20 years in prison and a fine of $5 million for fraud.
PENSACOLA, Fla. (AP) — The founder of a company that operated charter schools in several Florida counties has been sentenced to 20 years in prison.
The Pensacola News Journal reports Marcus May also was sentenced Tuesday to pay a $5 million fine for using those schools to steer millions of dollars into his personal accounts. He was convicted last month of two counts of racketeering and one count of organized fraud.
May’s company, Newpoint Education Partners, operated charter schools in Escambia, Bay, Broward, Duval, Hillsborough and Pinellas Counties.
Prosecutors say May misappropriated millions in public money to buy furniture, computers and other materials at inflated prices from fraudulent companies headed by his close associates.
A co-defendant, Steven Kunkemoeller, has been sentenced to 4 1/2 years for racketeering and organized fraud.
Diane Ravitch's blog 
And ALL of the purchases should be auctioned off and the money returned to the taxpayers of Florida. I’m glad a 20yr sentence was deemed, but the $5 million fine….well that seems a little bit low.
As you reported several weeks back, Diane, a charter school director in Albuquerque, NM received 5 years in prison for doing the same thing. Five years is not enough for what he did. There are more charter schools leaders in the US stealing taxpayer dollars. These leaders just have not been caught yet but they will receive their just rewards of time in prison. It is just a matter of time.
It is about time that one of these fraudsters is held accountable for ripping off the state for a charter scam while the public schools struggle from under funding. The state should actively pursue these thieves. Even better would be to make charters subject to an annual review from an independent auditor and passing laws to stop the transfer of ownership of public real estate to private companies. This has been common practice in south Florida.
They are making an example of this guy to make it look like they take charter fraud seriously.
For every fraudster who goes to jail, there are probably 100 or maybe even 1000 who go unpunished.
There were only a handful of people who did jail time for all the liars loans and derivative scams associated with the multitrillion dollar housing bubble.
And most of the latter were very low level folks. Of course, they made a well publicized example of Bernie Maddoff, but he was the only one.
The rest not only avoided jail time but in many cases were allowed to keep their I’ll gotten gains.
Jamie Dimon, CEO of one of the most fraudulent companies of all (JP Morgan Chase) even got a 20 million bonus for keeping his sheisters out of jail and keeping the fines to a small percent of what his company had made off the fraudulent deals.
The Obama justice department treated them all with kid gloves, mostly because it was pals of the people investigating who had committed the fraud.
Fraud has become the preferred method of doing business in some sectors of the economy (eg, investment banking)
There is virtually no risk to individuals and the risk to the companies is minimal compared to what they stand to gain. It’s the relatively low cost of doing business.
PS read what former Savings and Loan fraud investigator William Black says about fraud in the financial sector and you will never again invest a single dime of your hard earned money in Wall Street.
There’s a story breaking in Chicago about the “retirement” of the founder of the Noble Network of charter schools. More “improper” behavior.
Beat me to it. https://preaprez.wordpress.com/2018/11/14/chicagos-noble-charter-ceo-resigns-after-inappropriate-contact-with-former-female-students/#comment-135077
The rip-off ed reform nexus between Florida and Ohio is fascinating:
“AKRON, Ohio– Prosecutors in Florida accuse the former head of a charter school company that runs locations in Akron and Cleveland with stealing more than $1 million from the schools.
Russell Edgar, an assistant State Attorney in Escambia County, Florida, said the investigation started when complaints were brought to his attention about schools there being mismanaged.
The investigation led them to Marcus May, the CEO of Newpoint Education Partners and Fairlawn, Ohio-based Cambridge Education.
It manages more than 20 charter schools in Akron, Cleveland and other Ohio cities. The Akron schools run by Cambridge Education include Towpath Trail High School, Muddlebury Academy, Main Preparatory Academy and Colonel Preparatory Academy.”
They operated in Ohio with complete impunity, apparently. That will continue, because all of the people who ran ed reform in Ohio were just re-elected. Literally the same 7 politicians who have overseen this robbery for the last 20 years. DeWine, Husted, Mary Taylor, the whole ed reform gang remain firmly in control in Ohio with no independent oversight and any dissenters sidelined and silenced.
It will get worse in Ohio. They know now they won’t be held accountable. It’s complete industry capture.
The worst part isn’t the charters. The worst part is that the whole gang in Columbus completely stopped working for or supporting public schools when charter fever hit.
It isn’t the abuse re: 5% of schools that does the real damage. It’s the neglect.of 95% of schools.
https://fox8.com/2017/06/27/ex-ceo-of-akron-charter-schools-accused-of-stealing-1-million/
Excellent connection, even if very depressing.
Anti-regulation, you say? Put THAT judgment in your pipe and smoke it. In a related note in this morning’s news:
“Trump said he will nominate conservative lawyer Neomi Rao, known for her strong anti-regulatory views, to replace newly appointed U.S. Supreme Court Justice Brett Kavanaugh on an influential federal appeals court.”
https://www.huffingtonpost.com/entry/trump-neomi-rao-replace-kavanaugh_us_5bebe66de4b044bbb1aa8079?utm_medium=email&utm_campaign=__TheMorningEmail__111418&utm_content=__TheMorningEmail__111418+CID_6d02f837aca362aac2782397e4a91366&utm_source=Email%20marketing%20software&utm_term=conservative%20lawyer%20Neomi%20Rao&ncid=newsltushpmgnews__TheMorningEmail__111418
Ohio actually knew about the problems in Florida, but that didn’t stop us- we gave them tens of millions more in taxpayer funding and STILL didn’t audit:
“CLEVELAND, Ohio – Cambridge Education Group, the operator of 19 Ohio charter schools and of a new school about to open in Cleveland’s West Park neighborhood, is distancing itself from recent fraud and racketeering charges in Florida against founder Marcus May.
But details are trickling out about how much that alleged fraud may have spread from Florida to the 19 schools Cambridge operates here in Ohio.
And Cambridge and its counterpart in Florida, Newpoint Education Partners – a company that is itself under indictment in that state – have had a tight relationship for several years, beyond just being founded by May.”
https://www.cleveland.com/metro/index.ssf/2017/08/operators_of_new_west_park_cha.html
“In Ohio, schools run by May or Cambridge were overcharged close to $500,000 for online lessons and t-shirts for students, court filings in Florida say, though they do not specify the exact timing and which schools were affected.”
I suppose I should thank Florida law enforcement. Apparently my own state government is too corrupt to do anything about this.
No wonder to many charter schools are closing and more could be in huger scandal relating with fraud , it’s sad when someone go to prison and let his family alone that is heart braiking I don’t know why the legal sistem punished for to many years I don’t agreed with that , there is another’s options as confiscated they mansion or Yates and let only decent house for then , it’s sad and in necessary . I’m a person who knows a lot about how Charter schooll date doing terrible and public schoolls are better choices but I’m feeling sad for this Person .
https://www.sun-sentinel.com/news/education/fl-ne-charter-schools-report-20180918-story.html
Do you feel equally sorry for people who end up in jail for non-violent drug offenses that hurt no one?
This guy swindled the taxpayers of Florida to the tune of millions of dollars, which hurt education for thousands of Florida students. He’s lucky he only got a few years. If he misses his family, he should have thought about that before he pulled his crimes.
But, yes, we should confiscate his mansion and all his other assets down to bare minimum. That shouldn’t excuse him from jail time though.
Oops, I got myself confused. I see the charter operator got 20 years – it was the co-defendant that only got 4 and a half years. I guess 20 years is more than “a few”. Still don’t feel bad for him though, any more than he felt bad for the people he was ripping off. The only thing I feel bad about is that he doesn’t have more of the company of his peers in prison.
Ms.dienne77 , I respect the way you think I want to thanks for your comment I really appreciate it , no many want even read my messages I dong know why , by the way the point is that I feel bad when people’s life change when family’s are destroying by the sistem , I read this article and I want to share with you ,
Why prison should be abolished?
In this series exploring utopian ideas, prison abolition campaigner Jasmine Ahmed tells Casper Hughes that incarceration cannot solve society’s ills
Ms.dianne77 . Do you have hear how the same way that tax-payers money is been using to turn our public schoolls sistem to privete sector ? The way rehabilitation sistem I mean prison system is in the same path , the only way to stop those problems is .
1- Get more involved with the parents and Students who are the principal concern , many students are in prison as the result of traumatic feelings , my son future was destroyed by those who are working on their protects , a Charter schooll destroyed my son future , my son should be at the university or playing at Mayor league, he was an great baseball player but Charters leaders care only on they self , I feel very sad because my son future is not as he dreamed , I feel sorry by those who vomited the crimes , I have to go by my self and exposed those crooked nation wide now the result I have to leave inside a city as The Insider , cameras everywhere because it’s dangerous when you tell the truth, what else I can do ? Deserve the worst to those individuals? I can’t not , I feel very blessed to stay with my wife and daughter even though I have to do nothing else to stay focused 24/7 protecting my family for the only reason tell the truth!
I really appreciate your comment and you are very welcome to my wed .
Have a wonderful day ! Thanks
reibelcastillo – I’m all for prison abolishment. In general. My exception is people who abuse power – they deserve everything the justice system can throw at them and more.
I’m absolutely sympathetic to poor and desperate people who get into trouble because they don’t see a way out of their desperate lives. Absolutely prison shouldn’t be a substitute for humane treatment or education or good jobs or access to mental health care or substance abuse treatment. I’m all in favor of re-envisioning a world where “toss ’em in the can, throw away the key” is not an option – how then would we deal with people who confront society’s inadequacy (which is essentially what most criminals are).
But there is a place for prison for those who willfully harm others just because they can. People who have been given the world on a silver platter and still it isn’t enough. People with power need to know that that power will be checked. That’s what’s been so badly lacking in our society lately, maybe starting with Ford’s pardon of Nixon, maybe before that, certainly continuing with Obama’s “Look Forward, Not Backward” – giving a pass to the architects of the war crimes of the Bush era. Those are exactly the people who need to be in prison. If there are no enforceable laws for the elite, there is no order in society. This charter operator, while certainly not the biggest fish in the pond, is enough of an elite that he needs to rot in prison for a very long time. Like I said before, all we need now is more of his kind to join him.
Thanks Dianne I understand , I agreed with you , maybe I can’t not explain properly, I feel very sorry for them because they are to be busted soon or later , no matter how , the worts prison it’s an guiltily conscience , my son told me Daddy those individuals don’t have conscience be careful with them , true, I was ilegaly kick out of a public park because the Charter Schooll principal don’t want me to expose to tell to a lot of parent ,,
A bunch of students teens have been victim of sex-arrangement for teachers and coaches it’s unfear that the polices of his city warned me with a trespass warned for the only reason complain that my son was fisical and mentally destroyed and my daughter target of the Principal and others individuals.
Abuse of power?
Can you call an strong frase to call it ?
My English it’s poor , sorry but I can tell that I used my last penny to tell the truth nation wide Sadly I’m don’t have the money to hire another lawyer , my ex-lawyer did nothing but negóciate with the defenders bejain my wife and I , it’s misconduct but he got conextion plus he fear face the Mayor city and Principal of that Charter Schooll , now the only thing I can do is keep telling the truth as much short as possible with out waist time because my son future it’s over , destroyed but those crookeds and ver well documented and now my daughter it’s attending to a public Schooll , I’m proud of her she is my motto , Melanie is her name is at 10 grade and she is top student at a huge hight school with more than 3 thousands students, she got plenty of honor a
awards and she won more in the district of Miami Dade she won 2do place , some people are telling she deserve it the 1rts place but it’s not easy stop favoritism in any are that is a huge problem, now back to the point I want to expose my wife and I don’t have the mover to proceed with have the love and disire to juro as much we can closer to our daughter, we don’t want lost her as we loss not the money , no only that HEALH but mire with loss our son because I don’t know where he is at because he hace fear to get close to this city , it’s another example of abuse of power and acuse of children’s it’s the problem , my son is free and not in Jail but many others of his ex-classmate are in Jail or doing party bad because they are Rebel as the consequences of traumatic things that happen in their life!
Expose , Expose and Expose until someone understand.
Thanks very much !
dienne77, did you really mean “I’m all for prison abolishment.”?
https://apple.news/Ap_7U4Ll2T_asIIc3VaDlNg
I do care about my people !” I don’t believe in Putin “
https://edition.cnn.com/2019/02/07/europe/russia-dennis-christensen/index.html
Do you feel Sorry for the ilegal prosecution of
https://www.jw.org/en/news/jw/region/russia/arrest-detention-dennis-christensen/ ?
https://www.jw.org/en/news/jw/region/russia/arrest-detention-dennis-christensen/
Americans should read this and listen very carful
I wonder how many years they will actually serve. Maybe two and then parole?
Lloyd I don’t how much but Florida got 67 county’s more than six hundreds Charter schools BUT there is only one county who is running with out law I mean running with out Sheriff’s it’s not easy make guilty those fraudulents individuals because it’s like stay in another country’s I mean county . I think are a bunch of sharks free and rruning Charter Schoolls their way . Florida it’s like another country!
https://plus.google.com/114862454090815568394/posts/EtmhUu4hvqV
publicly funded, private sector corporate or not corporate charter schools across the country from California to Florida are all run without many if any rules or over-site. There is little or no transparency. This creates a business climate that crooks like Trump cannot resist and they flock to take advantage of the golden opportunity to steal public money and get away with it.
When Rudy Giuliani, Trumps unhinged and almost brain-dead lawyer, said white collar crime wasn’t a crime, this was what he was talking about. Even if the crooks get caught, the fines and prison time doesn’t match the crime and how much money they stole.
Lloyd
When Rudy Giuliani, Rudy Giuliani, lawyer, said that white collar crime wasn’t a crime, Mr.Giuliani was he ok when he said that ? He was drunk or mentally incompetent ( NGI ) or under pressure? If Bernard Madoff Lisend or read or someone told him them Mr. Criminal master main the best all time ever is going to fight back and soom he will be next adviser of Mr. Trump another Master MAIND
This is garbage. Marcus May should have gotten 40 years with NO parole, and the privatized prison system in Florida would have welcomed the taxpayer money to fund his stay!!! May Marcus May rot.
Diane offers us a wonderful site, organized into the most important stories regarding public education. There is a wide range of subjects to discuss, important subjects often neglected by a large part of the media. Would it be possible to narrow a specific portion of what is being reported into the criminal activity related to charter schools? There seems to be a huge number of such stories, and though criminal activity in public education is not limited to charters………the percentage of such stories related to charters, based on number of students supposedly being served, must be huge.
Lloyd you can explain to the rest of the people who are posting comments, you can understand my English because you are ben fighting agains Charter schoolls witn Diane , my English it’s terrible but anyone can ask me , if that person care about the good education, by the way if this gentleman Julio Robaina was not guilty by faicing tax-problems . 1. 9 millions Hiealeah Education Acadenic funder quit but now the current Mayor Carlos Hernandez it’s the Chairman of Hialeah Education Acadenic. Those people I’m pretty sure they are not happy at all with me , why ? Because I stand up defending my children’s and hundreds more students are been helped by my job as well worldpress it’s the best blog to share and blogers care about the Good Education by the way I never been dirispected by Diane users and bloggers. To many Charter Schooll date under escrutinio one WAY or another .
I don’t deserve prison time or nothing bad to any person but the law should be applied blain but the problem it’s the money 💰.
By the chance I wish I could be an bloger expert to …👍
https://plus.google.com/114862454090815568394/posts/EtmhUu4hvqV
There is something ironic about sending this one low-life to 20 yrs’ jail for ripping off taxpayers. Meanwhile, the pols who set taxpayers up to be ripped off– banking favors (if not bribes) from deep pockets in exchange for close-to-zero regs (& zero enforcement funding for the few applicable regs)– get off scot-free. Even re-elected.
View same in every public-goods arena. All are squeezed to death by our society’s top-heavy trickle-up corporate wealth, which pushes a combo of low-reg privatization and cheap-run starved publics as “tax relief” for the peons who carry their share of tax load.
Big pharma floods market w/ poison pills via distracted, overregulated docs/ hospitals/ clinics trying to make ends meet, leaving public to clean up un-clean-uppable addiction mess. Who gets jailed? Addicts & small-time pushers. Keeping private jailers happy: they influence legislators & law enforcement to delay “justice-system reform,” to up the ante on warm bodies needed to keep their biz expanding.
Unprofitable public goods get neglected bigly, even closed [unless rescued by billionthropic whim]: libraries, museums, parks…
I am at a loss to explain the neglect of big infrastructure, as Amazon & big-box retail need roads, bridges, rail to transport merchandise (??). But the neglect of local infrastructure is a no-brainer. US mid-/ upper-mid employees: you can be replaced by off-shored Skypers, so live w/ pot-holed highways & overcrowded broken-down commuter trains/ subways. And lower-mid/ wkg-class employees never complain, knowing there are wkg-poor immigrants piled into tough-axled vans lined up to take their jobs.
I don’t think it is ironic if you consider the fact that it is intended as a sort of dog and pony show: “See, we take fraud seriously”
Charters are set up for fraud…you would have to be stupid to not commit fraud !
A lot Charter schoolls are rruning by Crookeds I don’t want nothing with them I think they are stupid because the meaning of stupidity is when someone knows what is wrong and then they have to paid for the stupidity like go to prison or delete their corruption is truth Charters are set up for frauds and more than that they have to change the way they treat students . I got a really bad experience with them . Sad but truth!
BOUTH OF MY CHILDRENS SUFFERING AND A LOT BECAUSE OF THOSE CROOKED!
And even stupider to get caught!
So right. Charters are set up for fraud. The government and New School Ventures Fund gives you money and space to open a charter. You send out flyers, you advertise. You call your charter “The world’s Best, Most Excellent School for Total zsuccess.” The Government asks, how many students you have, and the money starts rolling in. No one checks on your claims. Start stuffing the dollars in your pockets.