The state attorney general said in court documents that the principal, elementary school vice principal and school secretary at Myron B. Thompson Academy likely accessed the state Department of Education’s computer system to change employee attendance records to match false changes they made to the school’s paper records.
That was among a number of allegations the attorney general used to justify the seizure of scores of boxes of paper records and computer files from the school last month. Investigators raided the school’s administrative offices at the Richards Street YWCA in downtown Honolulu on Dec. 16.
The search warrant authorized the seizure of all school meeting, contract, financial, payroll and tax records. The search warrant also authorized the seizure of records relating to all employees, their friends, associates and relatives employed at the academy and specifically names Principal Diana Oshiro, Oshiro’s sister, Kurumi Kaapana-Aki, who is vice principal of the elementary school, and school secretary Gwendolynn Higgins.
The attorney general revealed in state court in November that it is conducting a felony theft investigation at the academy.
In documents the office later filed in state court, the attorney general says its investigation is also looking into charges of computer fraud, money laundering, racketeering, falsifying business records and tampering with government records.
So far no one at the school has been charged with any crimes.
However, Oshiro and Kaapana-Aki are facing multiple ethics violation charges.
The state Ethics Commission announced last month that it lodged 162 ethics violation charges against Oshiro and Kaapana-Aki. The charges stem from Kaapana-Aki getting paid for 144 school days from 2007 to 2012 when she was working at her other full-time job as a Hawaiian Airlines flight attendant.
Kaapana-Aki is charged with unauthorized absences on parts or all of those days. Oshiro is charged with misusing her position as principal to authorize the absences and use of comp time. And both women are charged with after-the-fact fraudulent attempts to justify some of the absences.
The commission has scheduled a March 17 hearing for Oshiro and Kaapana-Aki to contest the charges.
Kaapana-Aki is a member of the Hawaii State Teachers Association, which has a contract that does not allow members to accrue or expend comp time. In addition to her teacher-scale salary, Kaapana-Aki has received $35,000 per year under a series of "temporary contract employee" agreements with the academy.
The attorney general says that Ethics Commission Executive Director Leslie Kondo told one of its investigators last September that Oshiro, Kaapana-Aki and Higgins may have conspired to falsify and alter school business records that had been submitted to the commission for its investigation and may have also altered DOE computer records.
The investigator also said Kondo told him that Oshiro and Kaapana-Aki may have been operating a fraud scheme to allow Kaapana-Aki to work as a flight attendant during school hours.
Kondo would not comment on what the attorney general says he told the investigator.
After its investigator’s conversation with Kondo, the attorney general issued the Ethics Commission a subpoena asking it to turn over records of its investigation into the school. The commission went to court to block the subpoena.
On Dec. 12, a state judge ordered the commission to turn over the records.
Kondo has said that commission staff used Hawaiian Airlines personnel records to verify that Kaapana-Aki was absent from school on all or parts of the 144 days in question.
The attorney general says its analysis of various records suggests that Kaapana-Aki, Higgins and Oshiro conspired to falsely alter and complete school sign-in sheets and computerized attendance records.
A DOE official said typically it is the school secretary, also known as the school administrative services assistant, who has the password to make attendance entries into the department’s computer system.
Oshiro did not return a message left at the school asking for comment.
The Honolulu Star-Advertiser first reported in 2010 allegations of nepotism at the charter school.
In addition to hiring her sister as a vice principal, Oshiro hired three of Kaapana-Aki’s sons. She placed two on staff even though they had no college degrees or teaching licenses.
One was the athletic director even though the school had no sports.
The attorney general documents mention only one of Oshiro’s nephews, who was listed on the school website as secondary film teacher.