A former San Ysidro superintendent who may have engaged in fraud or misappropriated district funds has filed a defamation lawsuit against a trustee who made public allegations against him.
By Eduardo Rueda – Investigative Reporter
The San Diego Grand Jury released a report critical of past actions of the San Ysidro School District, citing missing funds, destruction of documents, and an overall lack of financial accountability spanning several years.
The report calls attention to the District’s lax financial controls and lack of oversight by the school board members sitting between 1997 and 2014.
The report lays most of the blame on “staff”, meaning the superintendent and his administrators. The bulk of the inappropriate activity occurred during the tenure of Superintendent Manual Paul who headed the District from 2007 to 2013.
Several members served for long tenures during that period, including Yolanda Hernandez and Jean Romero, who each served over a dozen years on the board. Other members that served during this period were Raquel Marquez Maden, Paul Randolph, Jose Barajas, and Jason Wells.
Board President Rosaleah Pallasigue,
Board Member Irene Lopez, and former Superintendent Julio Fonseca. Photo – Mario A. Cortez
San Ysidro School District Superintendent Julio Fonseca resigned abruptly on Friday night after a four-hour closed-door Board meeting.
The District’s Board of Trustees had called a special meeting for September 1, to review complaints against Fonseca, including one raised by a district employee.
The Board conducted a closed-door meeting among the board members, Fonseca, and his lawyer for over four hours, before emerging to announce its action.
“The Board, by a vote of five to zero, accepted the resignation of the Superintendent effective immediately, in exchange for 18 months of compensation and release of all claims,” reported Board President Rosaleah Pallasigue. “Dr. Fonseca’s departure is based on a personal situation,” Pallasigue added.
Mario A. Cortez | La Prensa San Diego
San Ysidro School District’s bond ratings have been lowered after it failed to make a bond payment in September 2017 amid the firing of both its Superintendent and Deputy Superintendent last fall.
Standard & Poor’s (S&P), a global credit rating agency, lowered the District’s general bond rating from “A” to “BBB+”, and lowered the rating on Certificates of Participation (COPs) from “A-” to “BBB”, the lowest rating still considered investment grade. The next lower rating is considered to be junk bond status.
“The rating actions reflect our view of the District’s management practices and internal controls following its late principal and interest payment in September 2017,” said Benjamin P. Geare, primary credit analyst for S&P. “The negative outlook reflects our view of lingering effects from the District’s history of poor internal controls could lead to additional unforeseen events that would pose financial stres