In 2012, Dallas ISD officials alleged some companies were not tutoring their students as required, like at this Apostolic Assembly church on Hume Drive. Two tutor firm owners pleaded guilty Tuesday to defrauding DISD and FWISD. (DMN file photo)
Florine Mati and David Mbugua used to run tutoring companies in the Dallas area.
On Tuesday, they pleaded guilty to defrauding the Dallas and Fort Worth school districts out of about $3 million worth of tutoring. U.S. Magistrate Judge Paul D. Stickney accepted their pleas: guilty to one count each of conspiracy to make false, fictitious or fraudulent claims. Mati and Mbugua each face up to five years in federal prison and a $250,000 fine, and they’ll have to pay restitution. They’ll be sentenced in February.
Mati, a former DISD teacher, and Mbugua formed four tutoring companies a few years ago: Diverse Learning, Wise Links (also known as Champions Mind), Boost Academy and Avenue Academy. They received state approval to tutor low-income students at schools that had failed to meet federal academic standards. The outside tutoring was required by the federal No Child Left Behind law.
The former business partners did not appear to make eye contact or talk to each other Tuesday morning, when they entered their guilty pleas in U.S. District Court. They’re being held in custody.
In a news release this afternoon, the U.S. District Attorney’s Office said:
During the course of their conspiracy, Mati, Mbugua and others submitted false claims to DISD, FWISD and other school districts in Texas, for tutoring services under the SES program that were not provided to students. They billed DISD $2,730,389, and they were paid $1,523,079. They billed FWISD $1,430,687, and they were paid $1,003,318. Approximately 75% of the total amounts billed – approximately $3,120,807 – was for services not provided. Mati and Mbugua wired some of the proceeds they received from these false claims to Kenya, beyond the reach of U.S. authorities.
The lawyers for Mati and Mbugua declined to comment Tuesday.