Empire of Deceit: An Investigation of the Gülen Charter School Network, Book 1

Description

. For years, one of the largest charter school network operating in the United States has secretly concealed their affiliation with the controversial Turkish imam Fethullah Gülen. Now, their activity has come under greater public attention. A pattern of hidden agendas, phony real estate practices, self-dealing among their own vendors, inflated kickbacks, and rampant abuse of visa programs are just some of the practices uncovered by following investigation into the Gülen schools operating in 28 different states. --- Jointly published by Amsterdam & Partners LLP (UK) and Amsterdam & Partners LLP (U.S.) (together, trading as Amsterdam & Partners LLP). Amsterdam & Partners LLP (UK) is a limited liability partnership registered in England and Wales under registration number OC342567. Its registered office and principal place of business is at 3rd Floor, 139 Piccadilly, London W1J 7NU. It is authorised and regulated by the Solicitors Regulation Authority (SRA), under SRA number 499805. Its professional rules and code of conduct are available at http://www.sra.org.uk/solicitors/code-of-conduct.page . Amsterdam & Partners LLP (U.S) is a limited liability partnership registered in the District of Columbia. Its registered office and principal place of business is at The Homer Building, 601 Thirteenth Street, NW, Eleventh Floor South, Washington, DC 20005. This material is distributed by Amsterdam & Partners LLP on behalf of the Republic of Turkey. Additional information is available at the Department of Justice, Washington, D.C. Copyright 2017. All rights reserved. No part of this publication may be reproduced, distributed, or transmitted in any form or by any means, including photocopying, recording, or other electronic or mechanical methods, without the prior written permission of the publisher, except in the case of brief quotations embodied in news media, political or editorial commentary, critical reviews and certain other non-commercial uses permitted by copyright law. For permission requests, write to the publisher at: [email protected] Printed in the United States of America. ISBN: 978-0-9993351-0-9 --- EMPIRE OF DECEIT: An Investigation of the Gülen Charter School Network Book I Contents Foreword Introduction Gülen Charter Fraud in the United States: A Primer Introduction Methodology An Introduction to Fethullah Gülen Gülen’s Philosophy in Action: A Model for Apparent Fraud Maintaining Academic Credibility: How the Gülen Organization Skews Testing Data and Academic Performance Building Student Loyalty and the Gülen Organization’s Point System Educational Institutions The Tuzuk Agreement and Forced Tithing for Employees of the Gülen Organization Business Interests and the Gülenist’s American Dream Kickbacks and Conspiracy to Defraud Federal Funds – the FBI Investigation of Concept Schools The Most Egregious Examples of Insider Property Deals in Each Region Cultural Associations Spotlight on Niagara Foundation and Pacifica Niagara Foundation: Pacifica Institute: The Gülen Organization’s Primary Aims in Public Education Markers of a Gülen Organization Charter School The Life Cycle of a Gülen Organization Charter Network Stage One: Setting the Stage Stage Two: Creating the Customers Stage Three: Creating the Boss Stage Four: Too Big To Fail Dismantling the Gülen Organization Charter Empire Moving Forward Aims and Tactics NORTHEAST REGION Quick Facts The Origins of the Northeast Region New York New Jersey Pennsylvania Massachusetts Real Estate and Bond Financing Regional Network Comparison Regional Vendors Regional Employee Overlap* New Jersey Quick Facts Overview List of Schools and Charter Applications Denied A History of Strategic Ambiguity and Conflicting Interests Founders are Paid Employees and Contractors of iLearn Schools Financial Issues and Educational Compliance Concerns Payment of Immigration Costs by Schools is Illegal State monitoring reports – Special Education and Title I Findings - Special Education: Financial Statements Instructional vs.administrative expenses Gift to iLearn CEO Bond Financing Real Estate iLearn school properties Excessive Use of H1-B Visa Program Scandals, Investigations, & Notable Activities Old Bridge Albert Einstein EnergySmart Charter Linden – Union Arts and Science Charter Federal Civil Rights Complaint Filed Notable Turkish Vendors Technotime Business Solutions Apple Educational Services Gülenist Cultural and Business Organizations Active in New Jersey Friends of Gülen Spotlight Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the New Jersey Gülenist Network New York Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H1-B Visa Program Scandals, Investigations, & Notable Activities Notable Turkish Vendors Gülenist Cultural and Business Organizations Active in State Friends of Gülen Spotlight Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the New York Gülenist Network Massachusetts Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Massachusetts Network Hampden ChicopeeProperty History Pennsylvania Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Friends of Gülen Spotlight: Robert Casey, Matt Cartwright, and Mike Brubaker Individuals Caught in the Gülen Organization Web Notable Articles regarding the Pennsylvania Network SOUTHEAST REGION Quick Facts The Origins of the Southeastern Region Regional Network Comparison Regional Vendors Regional Employee/Founder Overlap* Florida Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests A Sample of Board Member/Employee Overlap Across the Florida Network  Inter-Entity Lending Practices Real Estate Bond Financing Excessive use of the H-1B Visa Program Scandals and Notable Events Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Florida Network Georgia Spotlight on a Failed Network Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Excessive Use of the H-1B Visa Program Whistleblower Testimony Notable Turkish Vendors Individuals Caught in the Gülen Organization Web Notable Articles regarding the Georgia Network South Carolina Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H1-B Visa Program Notable Turkish Vendors Scandals, Investigations, & Notable Activities Gülenist Cultural and Business Organizations Active in State Friends of Gülen Spotlight Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the South Carolina Gülenist Network GREATER TEXAS REGION Quick Facts The Origins of the Greater Texas Region Real Estate and Bond Financing Charter School Solutions Regional Vendors Arkansas Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H1-B Visa Program Notable Turkish Vendors Scandals, Investigations, & Notable Activities Gülenist Cultural and Business Organizations Active in State Friends of Gülen Spotlight Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the Arkansas Gülenist Network Louisiana Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests     Financial Issues Bond Financing Real Estate Excessive Use of H-1B Visa Program Scandals, Investigations, & Notable Activities Investigation and Closure of Abramson: FBI Investigation of Kenilworth Notable Turkish Vendors Gülenist Cultural andBusiness Organizations Active in State Atlas Foundation (Atlas Interfaith Foundation) Turkish Cultural Centers:   Friends of Gülen Spotlight Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the Louisiana Gülenist Network Southern Missouri Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Real Estate Bond Financing Excessive use of the H-1B Visa Program Notable Turkish Vendors Notable Gülenist Organizations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Frontier Missouri Network New Mexico Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of H1-B Visa Program Notable Turkish Vendors Scandals, Investigations, & Notable Activities Gülenist Cultural and Business Organizations Active in State Friends of Gülen Spotlight Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the New Mexico Gülenist Network Oklahoma Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H-1B Visa Program Notable Turkish Vendors Scandals, Investigations, & Notable Activities Gülenist Cultural and Business Organizations Active in Oklahoma Friends of Gülen Spotlight Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the Oklahoma Gülenist Network Tennessee Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of H1-B Visa Program Notable Turkish Vendors Scandals, Investigations, & Notable Activities Gülenist Cultural and Business Organizations Active in State Friends of Gülen Spotlight Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the Tennessee Gülenist Network Texas Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H-1B Visa Program Notable Turkish Vendors Scandals, Investigations, & Notable Activities Gülenist Cultural and Business Organizations Active in State Friends of Gülen Spotlight: Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the Texas Gülenist Network District of Columbia Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Abuse Bond Financing Real Estate Excessive Use of H-1B Visa Program Notable Gülenist Vendors Scandals, Investigations, & Notable Activities Gülenist Cultural and Business Organizations Active in State Friend of Gülen Spotlight Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the DC Gülenist Network MIDWESTERN REGION Quick Facts The Origins of the Midwestern Region Horizon/Noble (OH) Horizon/Math and Science (IL) Math and Science (WI) Math and Science (MN) Math and Science (IN) Math and Science (MI) Regional Network Comparison Regional Vendors Regional Employee Overlap* Illinois Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Real Estate Bond Financing Excessive Use of the H-1B Visa Program Scandals, Investigations & Notable Activities Spotlight: Friends of Gülen Mike Madigan Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Illinois Network Indiana Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Abuse Bond Financing Real Estate Excessive use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Friends of Gülen Spotlight: Bilal Eksili Individuals Caught in the Gülen Organization Web Notable Articles regarding the Indiana Network Michigan Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Real Estate Bond Financing Excessive Use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding MMSA Minnesota Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Abuse Bond Financing Real Estate Excessive Use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Minnesota Network Northern Missouri Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Abuse Real Estate Bond Financing Abuse of the H-1B Visa Program Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Missouri Network Ohio Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Abuse Inter-Entity Lending Practices Real Estate HSA Cincinnati: HSA Columbus HS: HSA Youngstown: Noble Academy Cleveland: HSA Denison MS: HSA Lorain: HSA Toledo: Bond Financing Excessive Use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Wisconsin Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Arizona Network MID-ATLANTIC REGION Quick Facts The Origins of the Mid-Atlantic Region Regional Network Comparison Regional Vendors Regional Employee Overlap* Maryland Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Maryland Network North Carolina Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H1-B Visa Program Scandals, Investigations, & Notable Activities Notable Turkish Vendors Gülenist Cultural and Business Organizations Active in State Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the California Gülenist Network WESTERN REGION Quick Facts The Origins of the Western Region Magnolia (CA) Beehive (UT) Lotus (CO) Sonoran (AZ) Coral (NV) Regional Network Comparison Failed Expansion Attempts Regional Vendors Regional Employee Overlap* Arizona Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Arizona Network California Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H-1B Visa Program Scandals, Investigations, & Notable Activities Notable Turkish Vendors Gülenist Cultural and Business Organizations Active in State Friends of Gülen Spotlight: Loretta Sanchez Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the California Gülenist Network Colorado Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive use of the H-1B Visa Program Scandals, Investigations, & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations Individuals Caught in the Gülen Organization Web Notable Articles regarding the Lotus Network Nevada Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H-1B Visa Program Scandals, Investigations & Notable Activities Notable Turkish Vendors Gülenist Cultural Foundations and Business Associations Active in State Individuals Caught in the Gülen Organization Web Notable Local Articles regarding the Coral Network Utah Quick Facts Overview A History of Strategic Ambiguity and Conflicting Interests Financial Issues Bond Financing Real Estate Excessive Use of the H-1B Visa Program Scandals, Investigations, & Notable Activities Notable Turkish Vendors Gülenist Cultural and Business Organizations Active in State Gülen Connections: Individuals Caught in the Gülen Organization Web Notable Press Coverage and Research Regarding the Utah Gülenist Network Appendix I: Tuzuk BY-LAWS 2005 Appendices II: Tuzuk (Turkish) TUZUK 2005 Hampden Chicopee Property History Whistle Blower