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CHULA VISTA, Calif. (KGTV) -- A new report from a state audit agency shows there is enough evidence that fraud or misappropriation of funds may have occurred within the Sweetwater Union High School District.The 79-page audit, conducted by the independent state agency Fiscal Crisis Management Assistance Team (FCMAT), was presented during Monday’s school board meeting.According to the report, the district’s school board relied on inaccurate financial information when they approved salary increases for district employees, resulting in pay raises they could not afford.RELATED: SUHSD: 90 bus drivers paid over 0K in overtime during 2017, database saysThe agency’s investigation also found the district kept borrowing from capital projects, such as Mello-Roos funds, to pay for operations without a method of repaying that money back into the fund.The report also stated Sweetwater misled rating agencies and bond insurers by “deliberate omissions of material information.”San Diego County Superintendent of Schools Dr. Paul Gothold said, "In short, after investigation of the district’s practices, FCMAT concluded that there is significant evidence to indicate that fraud, misappropriation of funds and/or assets, or other illegal fiscal practices may have occurred by current and former employees."RELATED COVERAGE:-- Sweetwater Union High School District votes to cut over 200 jobs-- State fiscal team reviews Sweetwater Union High School District's finances-- District approves interim budget with million shortfall-- Report: Sweetwater Union High School District incorrectly reported debtThe Sweetwater Union High School District has faced budget troubles dating back to September 2018, when they self-reported a million budget shortfall. Since then, teachers have been cut, bus routes were eliminated, and class sizes have increased.FCMAT recommends the state controller and local district attorney be notified of its findings.Frances Martinez, the former internal auditor for the district, told Team 10 the "people who purposely did wrong should be held accountable." Martinez said she raised the red flag regarding financial issues at the district, but was not taken seriously. She said when it came to some of the district's financial accounts, "that's how the reconciled. They just made up stuff and made a balance."Martinez said she was sitting next to Superintendent Karen Janney when the multimillion-dollar deficit was discovered. "She said, hey it's the business system. It's old, huh? Just making up stuff. I've heard about six different versions of the truth and none of them have been truthful."The former Chief Financial Officer Karen Michel would not participate in the audit. The team also could not make contact with Doug Martens, the director of fiscal services.With the release of the FCMAT report, it will be up to the District Attorney, State Superintendent of Public Instruction, and State Controller to determine if fraud did in fact occur within the Sweetwater District.The district was given 15 days to respond to the audit's findings with its "proposed action."One teacher in the district, who did not want to be identified, said the audit's findings were sad, but not surprising. "Hopefully, the positive that can come out of this is that we become more transparent and have more oversight and this will never happen again," the teacher said. On Tueday, SUHSD spokesman Manny Rubio provided this statement to 10News on behalf of the district: "The Sweetwater Union High School District is currently reviewing the report from FCMAT and its findings and recommendations. The District takes this report very seriously and will be determining next steps. Given that this matter is still pending, we will refrain from any additional comment at this time."The District Attorney's office said they are reviewing the audit. There is also an investigation into the district by the Securities and Exchange Commission. An agency spokesperson would not comment. 4002

CHULA VISTA, Calif. (KGTV) — More than 220 teachers are out of jobs in the South Bay and a superintendent has been placed on leave. Jessica Davis has been teaching in the Sweetwater Union High School District for almost five years. She's just one of more than 220 layoffs in the district's effort to balance the budget that's been crippling for years."I really poured my heart and soul into my career," said Davis. "I love what I do."RELATED: Sweetwater votes to lay off more than 220 educators, superintendent placed on leave amid budget crisisWhen she found out she was getting laid off it hit pretty hard. "I was more than a little bit shocked that they went that high up on the seniority list," said Davis. "That's probably why I didn't take the news so well initially."School administrators also put Superintendent Dr. Karen Janney on paid administrative leave, following a state audit released this week citing evidence of fraud and misappropriation of funds.RELATED: SUHSD: 90 bus drivers paid over 0K in overtime during 2017, database saysAccording to Transparent California, Dr. Janney's pay and benefits combined were nearly 4,000 in 2019. "I don't know that she should continue in any capacity," said Davis. "I think it would go a long way toward healing this wound if she resigned."The cuts come at an already uncertain time with the coronavirus pandemic changing the landscape of traditional schools. RELATED COVERAGE:State fiscal team reviews Sweetwater Union High School District's financesDistrict approves interim budget with million shortfallReport: Sweetwater Union High School District incorrectly reported debtDavis says she's looking at other districts because she needs a job come fall. But, she's hoping something changes and she can stay where her heart is."I believe the Sweetwater students are some of the most amazing kids. And a lot of them don't get a lot of credit for how amazing they are," said Davis. "What they have done to temporarily solve an issue that they created is not in the best interest of the students, teachers, and families in this community."The Sweetwater Education Association is hoping to negotiate with the board and get some of those teaching jobs back. 2225

CHULA VISTA, Calif. (KGTV) - Parents in Chula Vista are horrified after finding out that dozens of children are taking part in what is being called an after-school fight club. Alain Tripp has lived across the street from Bonita Vista Middle School for more than a decade. Once the bell rings, he sees students walk along the canyon trail to go home. But lately, he has been noticing something else. “Every so often I see a group of 15-20 kids. They’ll be standing there and fighting,” Tripp said.Tripp is not the only one who has seen fighting just off campus.Other neighbors said they had witnessed dozens of kids running down the trail on minimum-day Fridays, to participate in organized fights at Discovery Park. One Bonita Vista Middle School student’s mother sent 10News a photo of what appears to be many students scattering after one of the so-called fights. Parents said the students then upload fight videos onto a secret Instagram account, seeking internet fame.“They just see a lot of people who are Youtube famous… A famous Youtuber popping up in their heads and stuff,” Tripp said. “I feel like every year, kids are trying to grow up faster.”Some neighbors told 10News that they have tried to stop the alleged fights, but they say these keep happening. Now, the school is stepping in. 10 News got a copy of the letter sent to parents from Bonita Vista Middle School Principal, Teresa Kramer. 1457

CINCINNATI -- Police are looking for help finding a woman who took a blue morpho butterfly from Krohn Conservatory's special exhibit at about 5 p.m. Sunday. "I have never heard of anyone stealing a live butterfly from a butterfly show," said University of Cincinnati biology professor Stephen Matter Wednesday evening. The Menelaus blue morpho, which is prized by collectors for its vibrant, iridescent wing markings, lives natively in Central and South American forests. Although a news release from Cincinnati police identified it as "rare," it isn't especially, Matter said. It's just exotic by the standards of the Buckeye State.Matter and colleague Patrick Guerra said the butterfly was likely dead by Wednesday, given its biological need for a warmer climate than the one Cincinnati has experienced since Sunday. Anyone with information about this crime or suspect is asked to call Crime Stoppers at 513-352-3040 or submit an online tip at TIP411.com. Callers may remain anonymous and may receive compensation for their information. 1101

CHULA VISTA, Calif. (KGTV) — Firefighters worked Friday to extinguish a brush fire that sparked in the Otay Ranch area of Chula Vista.Officials said the fire started sometime around 12 p.m. near Heritage Rd. and Olympic Parkway, according to Chula Vista Fire Department. The fire began not far from the Republic Services Otay Landfill.Firefighters said the forward rate of the fire had been stopped at 10 acres just before 2:30 p.m. No structures were lost and no injuries were reported.Neighbors came out to watch firefighters work and monitor the blaze.Some were concerned, thinking of past fires that charred neighborhoods, while others like Jessica Rojas had faith in the firefighters, "we've been hearing like a lot of firetrucks and so we figured they were doing a good job of putting out the fires."In addition to CVPD crews on the ground, SDG&E's Sky Maverick helicopter was called to help battle the flames from above with water drops.Chula Vista Fire Captain Linda D'Orsi said this is a great reminder of the importance of defensible space, saying it's not too late in the year to do that yard work. She suggests working in the morning while it's cool and less likely to spark a fire.The cause of the fire was not immediately known. 1254

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