Charter School Founder Indicted by Feds

Dorothy Brown accused in 6.5-million dollar fraud scheme

A Pennsylvania woman was charged Tuesday with defrauding three charter schools of more than 6.5 million dollars in taxpayer funds.

75-year old Dorothy June Brown of Haverford and four current and former charter school executives are charged in a 62-count indictment.  Charges include conspiracy to obstruct justice, wire fraud and witness tampering.

Joan Woods Chalker of Springfield, Michael A. Slade, Jr. of Philadelphia, Courteney L. Knight, and Anthony Smoot of New Castle, Delaware were also named in the indictment.
The four are charged with conspiring with Brown to obstruct justice.

“Today’s indictment alleges that these school officials chose to line their own pockets with Federal education dollars instead of using those funds for the intended purpose – educating the students they promised to serve.  That is unacceptable,” said Special Agent-in-Charge Steven Anderson, of the U.S. Department of Education’s Office of Inspector General’s Mid-Atlantic Regional office.

Prosecutors say Brown used her private management companies to defraud the Agora Cyber Charter School, the Planet Abacus Charter School and the Laboratory Charter School of Communications and Languages. Brown founded all the schools.

But Brown's attorney, Gregory Miller, says she denies all the charges and intends to vigorously defend herself.
 
Michael A. Davis, The School District of Philadelphia's general counsel issued this statement:

"The School District of Philadelphia will review the indictment from the U.S. Attorney and determine the appropriate course of action.  We are very concerned about allegations of financial wrongdoing involving certain charter schools reportedly associated with Dorothy June Brown.  The School District will appropriately review and investigate.

We have asked Michael Schwartz of Pepper Hamilton to assist the Office of the General Counsel in conducting an investigation into the allegations and advice on any future course of action that may be warranted.  In the meantime, pending renewal decisions on any charter school alleged by the indictment to be associated with Ms. Brown will be placed on hold.”

The charges of wire fraud, obstruction of justice and witness tampering each carry a maximum sentence of 20 years in prison.  The conspiracy charges each carry a maximum sentence of 5 years in prison.

If convicted, Brown, Chalker, Slade, Knight and Smoot all face substantial jail time.

 

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