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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

CINCINNATI — Cincinnati police, who were told a car was stolen with an infant still inside, now say that a child was never in danger and that the person who reported the car stolen lied to get a quicker response from police.Just before 10 p.m. Thursday evening, a 2010 Mercury Milan was reported stolen from a BP gas station in the 1300 block of Hopple Street with a 10-month-old infant still inside.Police caught up with two suspects in the car shortly before 11 p.m., and the suspects fled the vehicle about five miles away from where it was reported stolen.Officers did not find a child inside the vehicle, and the suspects evaded capture, police said.Cincinnati police said the person who reported the car stolen changed his story about 45 minutes into their investigation, saying the infant was not in the car when it was stolen."He stated that there's some money in the car, and that's why he told us there was a 10-month-old in the car, because he knew it would be a top priority for us if this was the case," Cincinnati Police Capt. Doug Snider said. 1066

CHULA VISTA, Calif. (KGTV) -- The man suspected of robbing a South Bay credit union was arrested following a crash Wednesday afternoon. According to Chula Vista Police, a man entered the Cal Coast Credit Union on the 300 block of East H Street around 2 p.m. Wednesday. Police say the man approached the teller window with his hand in his pocket simulating a weapon and demanded cash from the employee. After receiving the cash, the suspect left the credit union, getting into a getaway vehicle. Police were able to locate suspect based on vehicle information provided by a customer at the credit union. Officers spotted the vehicle going eastbound on H Street and tried to pull the suspect over, but he didn’t stop instead leading police on a chase. At some point during the chase, police say the man ran a red light on Otay Lakes Road, slamming into another vehicle. Both the suspect and victim in the crash were taken to the hospital with non-life threatening injuries. Police haven’t yet released the name of the suspect but say he is under arrest for the bank robbery and felony evasion. 1100

CHULA VISTA (KGTV) - Frustration is mounting for small businesses in Chula Vista after the same burglar was recorded breaking into a shop five weeks after he hit another business in the same strip mall.In the most recent case, a man wielding two different crowbars is seen prying open a locked back door after 1 a.m., before going inside, grabbing 0 out of the register, and taking off in a red truck with two other people inside. The door will cost ,000 to replace.Stephanie, a salon owner at Fiesta Plaza, says the same man was filmed breaking into her salon five weeks ago around 5 in the morning. In that case, the cash register was destroyed and the thief also grabbed 0.Anyone with information is asked to call Chula Vista Police at 619-422-TIPS. 778

CHULA VISTA, Calif. (KGTV) -- Parents and students at Eastlake High School say they came back from winter break on Wednesday, only to find out their classes had been changed or consolidated. Parents tell 10News they received an email just after 8:30 a.m. letting them know of the changes. The students were told once they got to school. One Eastlake High School mom told 10News her child's AP calculus class was consolidated, forcing her son to move to a different teacher and a larger class.The email to parents reads as follows: 540

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