The Los Angeles Unified School District announced the resignation of Superintendent Alberto Carvalho four months after he was placed on paid leave amid a federal investigation, with FBI search warrants executed at his home and district headquarters.

Carvalho has publicly denied any wrongdoing and remains uncharged; he expressed confidence that evidence will show he acted in students’ best interests.

The Board of Education emphasized stability and progress, with acting Superintendent Andrés Chait continuing in the role until a permanent decision is made.

LAUSD has faced ongoing financial strain, enrollment declines, and labor unrest, including a three-day strike in 2023 and subsequent labor agreements that critics questioned as financially risky.

Critics point to persistent academic underperformance, citing only about a quarter of fourth-graders reading at or above grade level and under 40% meeting math standards, highlighting deeper district challenges.

There remains significant uncertainty about the investigation’s broader implications for district governance and future steps.

The investigation references AllHere Education, Inc., including Debra Kerr, whose $630,000 commission and ties to Carvalho are noted in court records.

AllHere was contracted for a $6 million project in 2023 with a $3 million upfront payment; the project collapsed in 2024 amid embezzlement allegations against its founder and data privacy concerns.

Officials have not disclosed specific misconduct details tied to the district’s dealings with AllHere.

The report is an exclusive by PÚBLICO/The Washington Post, outlining Carvalho’s career, legal challenges, and immigration history.

The investigation centers on a $6.2 million AllHere contract for a virtual assistant tool, alleged to be a sham with misdirected funds.

Kerr’s company reportedly sold non-existent products to LAUSD and Miami-Dade County Public Schools, with invoices and unpaid bills appearing in bankruptcy records.