Trey Holladay, the mastermind of the virtual school scam, was hit with a lengthy prison sentence and hefty fine. The school systems agreed to pay the consulting companies a percentage of the per-pupil funds. The charges against us are unfounded and will be vigorously defended. 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. The state department told federal officials it had recouped funding from Limestone and Conecuh counties, but did not state the amounts. City of Pasadena Releases Independent Review of Officer-Involved Shooting of Anthony McClain. He left Limestone County Schools to become the director of Bristol, TN schools. with co-defendants former Athens City Schools Superintendent Trey Holladay and former Athens City School principal and administrator Rick Carter . The school system will continue to work with federal officials and the Alabama State Department of Education as the matter proceeds in court. 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. . This material may not be published, broadcast, rewritten, or redistributed. Rick Carter is an employee of the Athens City School District with some past duties including technology teacher and virtual programs coordinator. Upon reviewing the allegations against Dr. Rick Carter, Athens City Schools has placed him on administrative leave until further notice. Holladay left the school district months after the FBI started investigating him in 2020. 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Thursday night the Athens City School Board announced they are going forward in making changes in the districts leadership. None of the other individuals charged in the indictment remain affiliated with Athens City Schools in any manner. This case was investigated by the Federal Bureau of Investigation and the United States Department of Educations Office of Inspector General. Two more of his co-conspirators will join him for at least a portion of that time. Use of and/or registration on any portion of this site constitutes acceptance of our User Agreement (updated 4/4/2023), Privacy Policy and Cookie Statement, and Your Privacy Choices and Rights (updated 1/26/2023). Hubbard, originally sentenced to four years for violating ethics laws, has been in the custody of the ADOC since September 2020. APRs Josh Moon first reported about the FBIs investigation into Holladay in August when he reported that in less than three years, Limestones general fund budget swelled from a reserve balance of around $2 million to now more than $20 million. Holladay , . A few years ago, some of the same people excusing Trump's recent indictment were celebrating Gov. 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. In November 2008, 75% of voters approved Measure PS, a $235 million school bond measure, to provide for the renovation of schools. Former Athens City Schools superintendent pleads guilty to conspiracy charge, Whats old is new again: Joe Davis Stadium comes back to life ahead of HFC season-opener, Former FBI investigator gives insight on Texas shooter manhunt, READ MORE: Former Limestone Co. He faces a maximum prison sentence of five years along with substantial monetary penalties. As a result of this, districts received payments from Alabamas Education Trust Fund as if the students actually attended public schools. Corkren will pay $1.3 million. Court records show on Tuesday Holladay. None of the other individuals charged in the indictment remain affiliated with Athens City Schools in any manner. This page is not available in other languages. The four co-defendants each pleaded guilty to conspiracy to . 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. Holladays next court date was scheduled for February 2022. ATHENS, Ala. (WAFF) - Former Athens superintendent, William Lee Trey Holladay has entered a guilty plea for a conspiracy charge. 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. The indictment also contains substantive wire fraud charges against Trey Holladay, Deborah Holladay, and Carter. PRIVACY POLICY | Ivey announces new record low unemployment rate for Alabama, Small business optimism declines in March, 2022 economic development projects brought record capital investment, Online job ads in February down 12.4 percent from last year, Britt: Kids Social Media Act critical for protecting children, Sewell calls on Congress to reject Republican debt ceiling demands, Britt part of bipartisan effort to regulate kids use of social media, US Sen. 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Six people, including two former superintendents, are named in the indictment. W.L. In fact, as mentioned during the Justice Departments press conference, the indictment does not include any current Limestone County School employees. Public Invited to 'Spring Into Wellness' Community Health Festival. Scholastic Inc. 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. SUPERINTENDENT. She says following the statement, the board unanimously voted to keep Rick Carter on administrative leave. According to a former lawmaker, the FBI and U.S. Department of Education were asking questions about other possible issues within Alabamas virtual schools as late as this fall. Federal officials said the two former superintendents and four other people fraudulently claimed private school students who attended schools in the Black Belt Region, were enrolled full time in Athens City and Limestone County School Districts. All rights reserved. Now, after months of a federal investigation, the Athens City School Board of Education unanimously approved a $250,000 separation agreement with Holladay. According to court documents, education records will not be disclosed to the public, however, they will only be shared with those involved in this case. 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. The two superintendents then received state money for the inflated enrollment numbers, which they then kept for personal use, through a complicated system of false report cards, false addresses and false completion reports, prosecutors said. 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. 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. 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. During his professional career, Tutt held various positions, including football coach at Marengo Academy in Linden. The jury found Lorenzo Mills guilty of assaulting three incarcerated people with a riot baton and falsifying a report. Corkren faced an additional two-year sentence and up to $250,000 fine for the aggravated identity theft charge. 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. 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. TEAM MASCOT. They anticipate to have a new superintendent in place very soon. Holladay is accused of purposely scheming private school students and their parents out of millions of dollars for his personal gain. Making sure that victims of federal crimes are treated with compassion, fairness and respect. The defendants in this case prioritized their own profits over the education needs of our students. As a result, the private schools obtained funds that they were not lawfully entitled to receive.. LIMESTONE COUNTY, Ala. - Former Athens City Schools Superintendent Trey Holladay officially pleaded guilty in a multi-million dollar virtual academy fraud scheme on Thursday. According to court records and information contained in Holladays plea agreement, Holladay and Sisk gave the state lists of enrolled students who were, in reality, full-time students at private schools located in other parts of the state. Rick Carter, a former principal in Athens, was found guilty by a federal court jury earlier this year for his role in the scheme and is awaiting sentencing. Former teacher Greg Corkren and former Marengo High football coach Webb Tutt will serve 22 and 24 months, respectively, in federal prison. Please look at the time stamp on the story to see when it was last updated. He faces up to 20 years in prison. First Day of School 2023-2024. DIVISION II STATE CHAMPIONS. All defendants are presumed innocent until proven guilty beyond a reasonable doubt. The defendants offered the private schools various inducementsincluding computers, direct payments, and access to online curriculumto persuade them to share their students academic records and personal identifying information with the public school districts. Upon reviewing the allegations against Dr. Rick Carter, Athens City Schools has placed him on administrative leave until further notice. 1998 - 2023 Nexstar Media Inc. | All Rights Reserved. As a result of the fraudulent reporting the school systems received payments from Alabamas Education Trust Fund as if the students actually attended public schools. Any defendant convicted of wire or mail fraud faces a maximum sentence of 20 years imprisonment, as well as substantial monetary penalties and restitution. The defendants named in the indictment are: (1)Dr. William L. (Trey) Holladay, III, 56, a resident of Athens, Alabama and the former superintendent of the Athens City Schools district; (2)Deborah Irby Holladay, 57, of Athens and formerly employed by the Athens City Schools district; (3)William Richard (Rick) Carter, Jr., 45, also of Athens, currently the executive director of planning for Athens City Schools and formerly the districts director of innovative programs; (4)David Webb Tutt, 61, of Uniontown, Alabama; (5)Gregory (Greg) Earl Corkren, 56, of Tuscaloosa, Alabama; and (6)Thomas Michael Sisk, 55, a resident of Toney, Alabama and formerly the superintendent of the Limestone County School district. The first of the Measure PS projects were completed in summer 2009. April 20, 2023. All sections in the city are zoned to an elementary, middle, and high school.[3]. Trey Holladay, 57, faces up to five years in prison and substantial monetary penalties according to a statement by the U.S. Attorneys Office for the Middle District of Alabama. Former Athens City Schools Superintendent William "Trey" Holladay was indicted on one charge of Conspiracy and dozens of charges of Wire Fraud and Aggravated Identity Theft. 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. Another round of projects was set for summer 2010, at 21 schools. He left that post in February of 2020. According to a plea agreement finalized Thursday, Trey Holladay admitted that he, along with Thomas Michael Sisk, former superintendent of the Limestone County Schools system, conspired to tell the state false numbers of students in their school systems so that they could pocket additional state money. Wednesday, March 15, 2023 Print Edition St. Patrick's Day in Athens A Tuscaloosa County man mentioned more than 150 times in a federal indictment involving four local former educators received more. is a thirty-one-year veteran public school educator with twenty-seven years in educational leadership.He is in his fourth year as superintendent of the Athens City Schools system in Athens, AL. 2023 Advance Local Media LLC. TM & document.write(new Date().getFullYear()); If you want to plan the perfect spring picnic, food and drink are important, but its certainly not the only factor to consider. The settlement also provides financial savings and more certainty for financial obligations under Holladays employment contract. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of Advance Local. Eddie Burkhalter is a reporter at the Alabama Political Reporter. 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. All the while, the state reimbursed the Athens City Schools district and the Limestone County Schools district for the cost of supposedly educating these private school students. David Rothwell Athletic Director at Iredell-Statesville Schools Statesville, NC. Robert Bentley's resignation for similar crimes. Corkren also pleaded guilty to aggravated identity theft. Current Limestone County Schools Superintendent Dr. Randy Shearouse released this statement: 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. Co-defendants . April 19, 2023. All rights reserved (About Us). Scroll to continue reading. Athens City School Superintendent Trey Holladay was placed on administrative leave after federal agents raided his home in June, 2020. RELATED: Limestone County Schools Superintendent Tom Sisk heading to Bristol, TN Board of Education. conspired to tell the state false numbers of students in their school systems, Buy newspaper front pages, posters and more. Assistant United States Attorneys Jonathan S. Ross, Alice S. LaCour, and Brett J. Talley are prosecuting the case. Our nation-wide commitment to reducing gun crime in America. Former Limestone County Schools superintendent Tom Sisk was indicted on one charge of Conspiracy. Alabama Board of Education Vice President Wayne Reynolds told AL.com that the sentences were justified. The Board has not been informed of a date certain for the conclusion of the investigation. See WAFFs story below from October 2020 when the Athens City Board of Education removed Holladay from his role as Superintendent. 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. Athens City School Superintendent Trey Holladay was placed on administrative leave after federal agents raided his home in June, 2020. The following statement was read by Superintendent Beth Patton: The Athens City Schools community is shocked and very concerned to read Tuesdays release from the U.S. Attorneys office. Trey Holladay is a Principal at Oxford City Schools based in Oxford, Alabama. Dr. Holladay has almost two years remaining on his superintendent contract. In fact, the indictment alleged, the Holladays were simply being paid for the phony transcripts of private school students. Hollaway was ordered to pay $2.9 million. 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. If convicted of the conspiracy charge, the DOJ says that , "Each defendant faces a maximum sentence of five ears imprisonment, as well as substantial monetary penalties and restitution. School officials have not discussed this matter at the request of federal officials, and will continue to refrain from discussing it. I hope that this indictment serves as a warning for others who might try to line their pockets with public funds., Public corruption remains the FBIs top criminal priority because public officials must be trusted to do their jobs with honesty and integrity, stated FBI Special Agent in Charge Johnnie Sharp, Jr. The citizens of Alabama should rest assured that the FBI will continue to work with our law enforcement partners to investigate corruption at every level and hold accountable those officials who violate the publics trust and use their position for profit or gain., These so-called educators have been charged for preying on the schools that placed them in positions of trust to educate students and the students they promised to serve. 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. 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. District, teachers, at odds. Zwingli and the other reformers showed that engaging in debate about faith was intellectually progressive. Tutt will pay $259,000. So far, the operators of the private schools have not faced charges for their roles, if any, in the scheme. The private schools used in the scheme are almost entirely white. The federal investigation has been ongoing since that time. Use of and/or registration on any portion of this site constitutes acceptance of our User Agreement (updated 4/4/2023), Privacy Policy and Cookie Statement, and Your Privacy Choices and Rights (updated 1/26/2023). Co-defendant William Richard Carter, Jr. is currently set for trial on February 7, 2022. 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. Date: 8/14/2023. Superintendent Trey Holladay is shown in a photo on the Athens City Schools website. Others indicted include William Richard Carter, Jr. (Conspiracy, Wire Fraud, Aggravated Identity Theft), Gregory Earl Corkren (Conspiracy, Aggravated Identity Theft), and David Webb Tutt (Conspiracy). The agreement states Holladay will face a minimum sentence of no fewer than 30 months in prison. You can email him at [emailprotected] or reach him via Twitter. The charges against us are unfounded and will be vigorously defended. The federal indictment claims that Holladay and his wife were the masterminds behind this plan. If convicted of the conspiracy charge, each defendant faces a maximum sentence of five years imprisonment, as well as substantial monetary penalties and restitution. Advertisement. The scheme saw educators steal the identities of students in private schools and then use them to bilk public schools out of millions. According to his. RELATED: Athens City Schools approves separation agreement with former superintendent, $250,000 payment. If you purchase a product or register for an account through one of the links on our site, we may receive compensation. Former Athens City Schools superintendent William L. "Trey" Holladay III on Thursday received the maximum sentence of five years in federal prison and ordered to pay $2.9 million in . Advertisement. Its just wrong, Opinion | Sen. Jay Hovey may have meant well, but he was wrong. To learn more about The Alabama Education Lab and receive notifications about stories and events, sign up for its newsletter, Ed Chat. LIMESTONE COUNTY, Ala. - Former Athens City Schools Superintendent Trey Holladay pleaded guilty in a multi-million dollar virtual academy fraud scheme. In fact, as mentioned during the Justice Departments press conference, the indictment does not include any current Limestone County School employees.

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