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Former treasurer at Legacy charter school surrenders his state license
By Denise Dick
Columbus
The treasurer of the former Legacy Academy for Leaders and the Arts in Youngstown and several other community schools has voluntarily surrendered his license.
The Ohio Department of Education on Feb. 6 sent Carl Shye, a New Albany certified public accountant, a letter notifying him of the state board’s intention to “limit, suspend, revoke or permanently revoke” his five-year school treasurer’s license, citing six violations. The letter also informed Shye of his right to a hearing before the state board of education.
Shye sent a letter to ODE, signed March 6, in which he “voluntarily, knowingly and intelligently surrendered” his license issued in 2009.
Shye couldn’t be reached.
Last July, state Auditor Dave Yost’s office released a special audit of Legacy Academy, listing $352,000 in findings for recovery.
The charter school, which operated inside Mount Calvary Pentecostal Church on Oak Hill Avenue, closed at the end of the 2010-11 school year, citing declining enrollment. It had operated for 10 years.
Included in Legacy’s audit was a $233,923 finding against Shye. Auditors found that the academy had issued 90 checks to Shye totaling $483,923 including monthly treasurer fees, loan repayment, software licenses, compilation services, IRS audit meetings and audit-preparation services.
“Neither the academy nor Mr. Shye provided us with contracts, loan agreements, bills, invoices or any other valid supporting documentation to substantiate the amounts paid,” the July special audit said. “Additionally, there was no record of the governing board having approved the payments to Mr. Shye.”
Auditors gave Shye credit for services provided for $50,000 per year, or $250,000 for the period of July 1, 2005, through June 30, 2010.
During the time covered by the audit, academy checks were typically signed by the treasurer and the business manager. “However, 73 of the 90 checks issued to Mr. Shye only included Mr. Shye’s signature or the signature for Business Manager Edward Boling was signed by Mr. Shye,” auditors found.
Shye served as treasurer for several community schools in Ohio and had problems there as well.
The six violations cited by the state board of education are repeated violations of law, repeated failure to accurately report information, repeated failure to observe ethical standards, repeated failure to protect assets, repeated failure to manage employment contracts and repeated failure to take corrective action.
Other schools for which Shye was treasurer are also closed including NU Bethel Center of Excellence in Dayton and Montessori Renaissance Experience in Columbus.
Those schools, as well as Legacy, are among the schools where Shye was accused of the violations listed in the letter from ODE.