The co-owner of an online charter school network in California was accused of stealing tens of millions of dollars intended for primary education. He used a variety of schemes to inflate school enrollment to obtain state education funds, including getting small school districts to allow online charter schools, paying sports leagues, camps, and other youth programs to collect student information, distorting school calendars and moving children between online campuses to obtain maximum funding.

School officials in the city of Athens and Limestone County have conspired to obtain more public funding by claiming to enrol full-time private students in the system's virtual schools. The two school districts were improperly paid around $7 million in state education funding for the 2016-17 and 2017-18 school years. By November 2017, more than 500 private school students were fraudulently enrolled in Athens Renaissance schools and over 50 students in Conecuh County.