CHICAGO (AP) — The Securities and Exchange Commission has charged a Chicago charter school operator with defrauding investors.
The SEC announced the charges Monday against UNO Charter School Network Inc. The SEC alleges the school operator and United Neighborhood Organization of Chicago failed to disclose a multimillion-dollar contract with a windows company owned by the brother of one of its senior officers. The SEC alleges investors in a $37.5 million bond offering for school construction weren’t informed about the transaction’s potential financial impact.READ MORE: Chicago Weather: Chilly, Rainy Saturday Night; Gradually Warming Temperatures Next Week
UNO is settling the charges by agreeing to improve its procedures and by appointing an independent monitor.READ MORE: One Person Shot On Dan Ryan Early Saturday Morning
Miguel d’Escoto left UNO in February after the Chicago Sun-Times reported that $8.5 million had gone to companies owned by his relatives.
A phone message seeking comment from UNO wasn’t immediately returned.MORE NEWS: Ed's Driveway: Chicago Auto Show 2021
(TM and © Copyright 2014 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed.)