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Charter School Firm Settles With DOJ for $4.5M on Alleged E-rate Violations

Charter school operator Concept Schools agreed to a $4.5 million settlement to resolve allegations it rigged bidding for E-rate contracts 2009-2012, DOJ said Tuesday. The company allegedly selected technology vendors for its network of charter schools in Indiana, Illinois and…

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Ohio without competitive bidding, and those vendors provided equipment at a higher price than the FCC approved. Concept Schools allegedly “failed to maintain sufficient control over equipment reimbursed by the FCC, some of which was discovered missing.” Concept agreed to enter an FCC compliance program, the release said. “E-Rate contractors and schools receiving E-Rate funds must understand and know that actions that undermine the contracting process, such as conspiring to rig competitive bidding, will not be tolerated,” said FCC Inspector General David Hunt. The settlement was a coordinated effort by DOJ, the FCC IG office, FBI and Department of Education IG office. Concept Schools didn’t comment.