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Where does Ryan Walters' $1M TPS embezzlement claim come from? - 2 News Oklahoma KJRH Tulsa

TULSA, Okla. — State Superintendent Ryan Walters has been laser-focused on the Tulsa Public Schools district—particularly in recent weeks, vowing to investigate alleged accusations of financial mismanagement.

In a press conference Monday, he called out the district for low reading scores and specifically mentioned a $1 million embezzlement.

But the district, including TPS Superindentent Dr. Deborah Gist, and members of her board, give a different answer to these allegations.

“We have around $400,000 embezzled from an employee and around $600,000 unaccounted for with no records of where the money has gone,” Walters told 2 News in a live interview Tuesday morning.

2 News reported in Aprilthat TPS’ former Head of Talent Management, Devin Fletcher, is under investigation after an audit discovered $364,000 was paid with no business purpose to a vendor. Court documents name the “vendor” as Fletcher’s family members. That would explain the “around $400,000 statement.”

“Do you have any idea what he’s talking about?” 2 News Anchor Justin Fischer asked Gist on Tuesday as well, in reference to the rest of the money. “I imagine he’s talking about the same situation [Fletcher],” she said. “ That’s the only thing that’s happened. It was a terrible situation.”

Gist said she didn’t know where the other $600,000 is coming from.

“If there is any information, it is not known by the district, by the board, by investigators I am in touch with nor by auditing officials we are in touch with, so it’s really a mystery,” she added.

“It’s in her own audits,” Walters said.

2 News took a look at that audit. There is a $658,000 amount listed, but how much is questionable and whether any is questionable are unknown answers. The audit stated that the amount is under investigation by legal authorities.

Walters’ spokesperson clarified to us that this is the number he is referencing.
That number is still tied to that one instance regarding vendor contracts. Walters’ criticisms suggest there is a district-wide management problem.

“Their auditors have told them for three straight years they lack internal controls, and they can’t provide records of where the money is going,” said Walters.

The “three years, lacking internal controls” is also mentioned in the audit, but again goes back to the vendor situation. Fletcher no longer works for the district. The auditors also state that TPS “immediately strengthened internal controls” once becoming knowledgeable of the situation.

It is also important to note the vendor incident allegedly occurred from 2019-2022. Walters has pointed to the incident as potential calls to lower the district’s accreditation.

Accreditation, by rules, only looks at one school year at a time. Previous years are not supposed to be considered for accreditation renewal of a current year.


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