LIMESTONE COUNTY, Ala. Former Athens City Schools Superintendent Trey Holladay pleaded guilty in a multi-million dollar virtual academy fraud scheme. There is absolutely no way that we would do anything detrimental to the school system. A former correctional lieutenant was indicted by a federal grand jury on Tuesday with counts of use of excessive force and obstruction. The federal indictment claims that Holladay and his wife were the masterminds behind this plan. Two more of his co-conspirators will join him for at least a portion of that time. Cookie Settings/Do Not Sell My Personal Information. 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. Two more of his co-conspirators will join him for at least a portion of that time. Athens school administrator William Richard Rick Carter Jr. was found guilty of conspiracy, four counts of wire fraud and two counts of aggravated identity theft in March. Corkren and Tutt each faced a sentence of up to five years in prison and up to a $250,000 fine. Retired Superintendent Of Ed., Athens City Schools Experience at: Athens City Schools, School Superintendents of Alabama, Personalized Learning - Athens Renaissance Community Rules apply to all content you upload or otherwise submit to this site. The systems received state funds for those students. It is located 30 miles east of downtown Los Angeles, and is the third-largest school district in Los Angeles County. Moving forward, we will be a transparent and accountable school system which provides the best educational experience we can for our students. In doing so, they stole children and parents identities and bribed administrators of private schools. As part of the plea agreement, the U.S. Attorneys Office will move to dismiss other charges against Holladay. Dr. Holladay has almost two years remaining on his superintendent contract. Holladay faces up to five years in prison and large fines after pleading guilty. 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W.L. 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. He still faces 88 counts of wire fraud and 34 counts of aggravated identity theft. | Holladays next court date was scheduled for February 2022. 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. It goes on to allege, "It was a purpose of the conspiracy for Trey Holladay, Deborah Holladay, Carter, Corkren, Tutt, and Sisk to obtain, directly and indirectly, for their own personal use, portions of the increased revenue generated for ACS, LCS, and CCS by the fraudulent enrollment of private school students in the ACS, LCS, and CCS virtual schools.". 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. Terms of Use Former Athens City School teacher Deborah Irby Holladay was indicted on one charge of Conspiracy and numerous charges of Wire Fraud. Trey received a master's degree degree from West Alabama . They anticipate to have a new superintendent in place very soon. All defendants are presumed innocent until proven guilty beyond a reasonable doubt. The students whose identities were used in the scheme had little to no connection to the public school districts, federal officials confirmed. 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. This is an archived article and the information in the article may be outdated. ", 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., 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. And the investigation might not be over. 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. During the school years that the scheme allegedly occurredthe 2016-2017 and 2017-2018 school yearsthe private school students and parents had little to no connection with the public school districts in which they were supposedly enrolled. 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. According to the plea agreement, additional charges of wire fraud and identity theft against Holladay were dropped. The Alabama Attorney Generals Office also assisted in the investigation. As a result, the private schools obtained funds that they were not lawfully entitled to receive.. 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. ATHENS, Ala. (WAFF) - UPDATE: See details from Thursdays special meeting of the Athens City Board of Education below the details of each individuals charges. 1998 - 2023 Nexstar Media Inc. | All Rights Reserved. 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.". His previous experience includes system-wide administrator, high school principal, elementary principal, assistant principal, athletic director, classroom teacher, and head . Holladay now faces a maximum five-year prison sentence and has agreed to potential monetary penalties imposed by a judge, according to court records. Former Limestone County Schools superintendent Tom Sisk was indicted on one charge of Conspiracy. The Athens City Schools Board of Education held a special meeting Thursday at 7:30 a.m. ATHENS, Ala. A former Athens City Schools superintendent and a former Limestone County Schools superintendent are two of the six people listed in a federal indictment involving charges of Conspiracy, Wire Fraud, and Aggravated Identity Theft. Each will have three years of supervised release after serving prison time. After a full review of the situation and the uncertainties of the circumstances, the board of education believes it is both timely and appropriate to make a change in leadership as it is in the best interest of Athens City Schools. As a result of this, districts received payments from Alabamas Education Trust Fund as if the students actually attended public schools. A sentencing date has not been set for Holladay. ACADEMIC CHALLENGE TEAM. She says following the statement, the board unanimously voted to keep Rick Carter on administrative leave. 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. Marshals, Secret Service assist in Hartselle, Bill passes to ban smoking in car with minor, Tuesday Morning set to close all its stores, 6 in, Domestic abuse victim shares story of attempted murder, BestReviews.com - Top gifts to make everyone happy this spring, Surprise your mom with one of these Mothers Day, Mothers Day inspo: This foot massager has 20,000, Drew Barrymores Walmart collection is perfect for, Best Mothers Day gifts for the budding plant mom, Best Mothers Day Gifts for moms obsessed with books, Do Not Sell or Share My Personal Information. Former Limestone County Schools Superintendent Tom Sisk, left, and former Athens City Schools Superintendent Trey Holladay, right. 'Trey' Holladay, Ed.D. If youre thinking of altering your workout routine, youre probably looking for new exercises and equipment to help you reach your fitness goals. The Los Angeles teachers union's last strike was in 2019. Trey Holladay is a Principal at Oxford City Schools based in Oxford, Alabama. In his sentencing order on Thursday, federal judge Myron Thompson noted that the now-felons preyed upon some of the poorest school districts in Alabama, diverting hundreds of thousands of public school dollars from Alabama public schools and sending them instead to mostly white private schools that were operating in predominantly Black counties. Assistant United States Attorneys Jonathan S. Ross, Alice S. LaCour, and Brett J. Talley are prosecuting the case. 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 . 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. Ill write about them over and over again. While the school system was mentioned in the indictment brought in the United States District Court for the Middle District of Alabama, the indictment does not name the Limestone County Board of Education or anyone currently involved with Limestone County Schools as defendants. William Richard Carter, Jr. is currently set for trial on February 7, 2022. LIMESTONE COUNTY, Ala. - Former Athens City Schools Superintendent Trey Holladay officially pleaded guilty in a multi-million dollar virtual academy fraud scheme on Thursday. Six people, including two former superintendents, are named in the indictment. Moving forward, we will be a transparent and accountable school system which provides the best educational experience we can for our students.. Former Athens City Schools superintendent Trey Holladay has been sentenced to five years in federal prison after pleading guilty to participating in a multiyear scheme to defraud the state. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Copyright 2023 Nexstar Media Inc. All rights reserved. Community Rules apply to all content you upload or otherwise submit to this site. . Tom Sisk, who pleaded guilty for his role in the scheme, will serve 18 months in federal prison. 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. Robert Bentley's resignation for similar crimes. 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. The U.S. Attorney's Office in Montgomery has named two former school superintendents in an indictment. He faces up to 20 years in prison. The private schools used in the scheme are almost entirely white. Our nation-wide commitment to reducing gun crime in America. PRIVACY POLICY | Codefendants Gregory Earl Corkren, David Webb Tutt and Sisk previously pleaded guilty to conspiracy to defraud the government. Any defendant convicted of wire or mail fraud faces a maximum sentence of 20 years imprisonment, as well as substantial monetary penalties and restitution. Holladay was one of three defendants sentenced Thursday by U.S. District Judge Myron Thompson. There are issues that most of Alabama knows we need to address. Scroll to continue reading. He is one of two former schools superintendents, including former Limestone county Superintendent Tom Sisk, accused of conspiracy to defraud the U.S Government. Date: 8/14/2023. HUNTSVILLE, Ala. (WAFF) - Former Athens Superintendent William Lee "Trey" Holladay is scheduled to be sentenced Tuesday after pleading guilty for conspiracy in December. Additionally, any defendant convicted of aggravated identity theft could receive a mandatory consecutive two-year sentence on each count. The FBI started investigating Holladays home in June 2020. Trey Holladay, the mastermind of the virtual school scam, was hit with a lengthy prison sentence and hefty fine. is a thirty-one-year veteran public school educator with twenty-seven years in educational leadership. 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). SUPERINTENDENT. Landon Powell, Matt Williams, Hunter Dilworth, Ryan Brown, Trey Dyson and JK Love. City of Pasadena Celebrates AAPI Heritage Month. Published on May 25, 2021 at 2:25 pm CDT. Holladays tenure as superintendent will end on October 31. Dr. Trey Holladay and Deborah Holladay released the following joint statement. While the school system was mentioned in the indictment brought in the United States District Court for the Middle District of Alabama, the indictment does not name the Limestone County Board of Education or anyone currently involved with Limestone County Schools as defendants. The defendants named in the indictment are Dr. William L. ("Trey") Holladay, III, 56, a resident of Athens, Alabama and the former superintendent of the Athens City Schools district; Deborah Irby Holladay, 57, of Athens and formerly employed by the Athens City Schools district; William Richard ("Rick") Carter, Jr., 45, also of Athens, currently Subscribe to EDU for a bi-weekly digest of articles.Privacy Policy, Scholastics blog abouteducation and learning. Alabama Board of Education Vice President Wayne Reynolds told AL.com that the sentences were justified. 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. William Lee Trey Holladay, III formally separated from Athens City Schools in October 2020. Holladay was on leave from June 2020 until his last day with the district on Oct. 31, 2020. 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. 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. 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. If convicted of the conspiracy charge, each defendant faces a maximum sentence of five years imprisonment, as well as substantial monetary penalties and restitution. He is in his fourth year as superintendent of the Athens City Schools system in Athens, AL. Additionally, any defendant convicted of aggravated identity theft could receive a mandatory consecutive two-year sentence on each count. Athens City School Superintendent Trey Holladay was placed on administrative leave after federal agents raided his home in June, 2020. The four co-defendants each pleaded guilty to conspiracy to . Co-defendants . 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 restitution for his part in a multimillion dollar fraud scheme where he ordered private school students to be enrolled as full-time virtual public school students in order to receive state education funding. 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. In fact, as mentioned during the Justice Departments press conference, the indictment does not include any current Limestone County School employees. Jul. A few years ago, some of the same people excusing Trump's recent indictment were celebrating Gov. Athens had experienced a similar uptick in revenue the last five years. 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]. 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. Upon reviewing the allegations against Dr. Rick Carter, Athens City Schools has placed him on administrative leave until further notice. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of Advance Local. . Please look at the time stamp on the story to see when it was last updated. 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