Are Charter Schools the Second Coming of Enron?: An Examination of the Gatekeepers that Protect Against Dangerous Related-Party Transactions in the Charter School Sectors

Abstract

INTRODUCTION OVERVIEW OF ENRON A. ENRON AND DEREGULATION B. THE LJM SPES C. ENRON’S COLLAPSE II: ENRON’S GATEKEEPER PROBLEMS A. ARTHUR ANDERSEN B. INDEPENDENT ANALYSTS C. CREDIT RATING AGENCIES D. ENRON’S BOARD OF DIRECTORS E. SECURITIES AND EXCHANGE COMMISSION (SEC) III: CHARTER SCHOOLS AND RELATED-PARTY TRANSACTIONS A. CHARTER SCHOOL DEREGULATION AND PRIVATE INVESTORS B. EXAMPLES OF ENRON-LIKE RELATED-PARTY TRANSACTIONS 1. IMAGINE SCHOOLS 2. IVY ACADEMIA CHARTER SCHOOL 3. AMERICAN INDIAN MODEL CHARTER SCHOOLS 4. GRAND TRAVERSE ACADEMY 5. PENNSYLVANIA CYBER CHARTER SCHOOL C. THE FEDERAL GOVERNMENT, RELATED-PARTY TRANSACTIONS, AND THE NEED FOR STRONG GATEKEEPING IV: CHARTER SCHOOL GATEKEEPERS A. AUDITORS B. CHARTER SCHOOL GOVERNING BOARDS C. CHARTER SCHOOL AUTHORIZERS D. STATE EDUCATION AGENCIES (SEAS) E. U.S. DEPARTMENT OF EDUCATION CONCLUSIO