District Attorney Ron Freitas confirms FBI, DOJ investigation into Stockton Unified

A multi-agency investigation with the FBI and the US Attorney's Office into "any and all wrongdoing" at Stockton Unified has been underway for several months, the San Joaquin County District Attorney's Office confirmed Monday morning.

District Attorney Ron Freitas said the investigation was initiated from the state Fiscal Crisis and Management Assistance Team's Feb. 14 report that found evidence that fraud and misappropriation of funds have likely occurred at Stockton's largest school district.

"Any attempt to steal off the backs of our school children will simply not be tolerated ... this investigation will not limit itself to the terms of the report, but will look into any and all wrongdoing," Freitas said on the steps of his office in downtown Stockton Monday morning. "Every corner will be turned, every 'I' will be dotted and every 'T' will be crossed."

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Freitas, a former Lodi Unified School District trustee, said "our children are our most important resource and remain my top priority." His remarks Monday morning were largely a repeat of his statement after the release of the FCMAT report.

Freitas did not answer any questions at the press conference and was unavailable for an interview Monday.

Lee Neves, Freitas' campaign manager during the 2022 Election and now a contracted media consultant with the district attorney's office, spoke to The Record on Freitas' behalf. He said the press conference was given Monday to confirm the multi-agency investigation and that it's a "very top priority for the district attorney.

"The district attorney is going to get to the bottom of exactly what is happening at Stockton Unified School District," Neves told The Record. "Anyone who has misappropriated any funds whatsoever will be prosecuted to the fullest extent of the law."

Neves said the FCMAT report — focused on a $7.3 million contract with IAQ Distribution, Inc., a subsidiary of Alliance Building Solutions, Inc., for air disinfectant technology — serves as a "launching point" for the investigation.

"But any illegal activity discovered from or during the investigation, they're going to go after," Neves said. He did not provide any other details into the scope of the investigation.

Stockton Unified Interim Superintendent Traci Miller followed the district attorney's press conference with her own remarks outside of the Arthur Coleman Jr. Administrative Complex Monday morning. She said the district attorney's office did not give the school district advanced notice of their press conference and repeated remarks she said when she first stepped into the interim role eight months ago.

"We are happy to have them come in and (conduct an) outside investigation," Miller said Monday morning. "If there are issues inside this organization that need to be dealt with, if there are adults in this organization that are doing something on the backs of our children, we need to deal with that, and we are not afraid."

ICYMI: Stockton Unified has ‘serious’ technical budgeting concerns, deficit spending

At the press conference, Miller said she was "very proud" of the work Stockton Unified's Interim Chief Business Official Joann Juarez has done since September 2022 to address and correct the financial issues raised by FCMAT and the San Joaquin County Office of Education.

The district has completed several of the tasks and recommendations given by the county office of education, but several remain incomplete, county Superintendent Troy Brown said in an April 14 letter that cited "serious" technical budgeting concerns and deficit spending at Stockton Unified. Juarez has handed in her letter of resignation to the district and will return to her previous role as budget manager July 1.

This article originally appeared on The Record: DA Ron Freitas confirms FBI, DOJ investigation into Stockton Unified