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JEFFERSON CITY, Mo. — Attorney General Chris Koster, the State Board of Education, and the Department of Elementary and Secondary Education (DESE) filed suit last week against a now-defunct Kansas City charter school for refusing to repay $3.7 million in overpaid funds to DESE.

Koster is taking action against Hope Academy, a charter school that operated from 2009 to 2014. A state audit revealed in December that the school had been overpaid to the tune of $4.3 million in its final two years.

The funds dispute stems from the school’s alleged misrepresentation of attendance records, as well as other fraudulent reporting.

State Auditor Nicole Galloway said that Hope Academy reported a 97 percent attendance rate when the actual rate was about 32 percent. The audit also found that students received credit for classes in which they weren’t participating and for unapproved activities outside of the classroom.

“Hope Academy was designed to give students a second chance at making a positive change in their lives, but the fraud and manipulation uncovered by my audit showed that students weren’t served, and taxpayers were deceived,” Galloway said in a statement. “My audit identified a series of fraudulent and manipulative practices, and today’s announcement is a positive step toward accountability and transparency. Taxpayers, parents, and above all, students deserve better. Public officials cannot evade review, and the audit process and subsequent lawsuit are necessary steps to ensure officials are held responsible.”

Since the school’s closing in June of 2014, DESE has recouped only about $600,000 from the school, leaving state authorities wondering where the remaining $3.7 million went.

Now, the state’s top law enforcement officer is stepping in to get that money back.

Koster said in a news release that, “Hope Academy failed to live up to its promises in educating the children in its school. Now, Hope Academy continues to fail the children of the Kansas City Public School District by refusing to return funds earmarked for students in Kansas City.”