Tulsa Public Schools Bond Fraud Charges Filed Against Former Official

Tulsa Public Schools Bond Fraud Charges Filed Against Former Official And Contractors

A major Tulsa Public Schools bond fraud investigation has resulted in criminal charges against a former district administrator and two construction company owners accused of orchestrating an alleged scheme that diverted more than $779,000 in taxpayer-funded school bond money.

Oklahoma Attorney General Gentner Drummond and Tulsa County District Attorney Steve Kunzweiler announced Thursday that 27 criminal charges have been filed against former Tulsa Public Schools bond director Charles Christopher Hudgins, along with Gayle Gwinup and Thomas McKenna, owners of Allied Engineering Group.

Prosecutors allege the defendants participated in an elaborate scheme involving roofing projects that were billed to the school district but never completed.

The investigation remains active, and state officials say additional charges could still be filed.

Tulsa Public Schools Bond Fraud Allegations Center On Roofing Projects

According to court documents, the Tulsa Public Schools bond fraud case stems from projects conducted between 2019 and 2024.

Investigators allege Hudgins used his position as the district's executive director of bond and energy management to direct bond-funded work to Allied Engineering Group.

Prosecutors claim the company received payments for dozens of roofing projects that were either incomplete or never performed.

Court filings further allege that much of the money paid to Allied Engineering Group was then funneled to Hudgins through his own private business.

The three defendants have been charged with conspiracy to defraud a school district, multiple counts of embezzlement, and numerous counts involving alleged kickbacks.

According to the Oklahoma Attorney General's Office, investigators believe the scheme resulted in losses totaling more than $779,000.

Audit Findings Triggered Criminal Investigation

The case originated from concerns raised during a state audit of Tulsa Public Schools.

The Oklahoma State Auditor and Inspector's Office identified potential conflicts involving Hudgins in a February 2025 audit report and referred the matter to prosecutors.

Auditors found that Hudgins' private company was working as a subcontractor for Allied Engineering Group while he maintained authority over district bond projects involving the same contractor.

The audit also alleged Hudgins conducted personal business during district work hours and utilized school district resources for private purposes.

According to the Oklahoma State Auditor and Inspector, the findings prompted further investigation by state law enforcement agencies.

State Auditor Cindy Byrd confirmed her office is preparing a second audit involving Tulsa Public Schools but declined to discuss additional details because of the ongoing investigation.

School District Cooperating As Case Moves Forward

Attorney General Drummond praised current Tulsa Public Schools leadership for cooperating throughout the investigation.

He said every dollar allegedly stolen represented money that could have been used to improve classrooms, repair facilities, or benefit students.

Tulsa Superintendent Ebony Johnson issued a statement saying the district has implemented significant financial safeguards and oversight measures designed to prevent similar situations from occurring again.

Defense attorneys for the defendants have denied wrongdoing.

Attorney Allen Smallwood, representing McKenna, stated that his client acted legally and within approved contractual agreements.

According to the Tulsa Public Schools, district officials remain committed to cooperating with authorities as the judicial process continues.

The case now moves into the court system while investigators continue examining whether additional criminal conduct occurred within the district's bond program.

🔴 MORE RADIO NEWS