Chicago Charter School Settles SEC Doc Suit Over $38M Bond

Law360, New York (June 2, 2014, 2:18 PM EDT) -- A Chicago charter school has agreed to settle a lawsuit filed by the U.S. Securities and Exchange Commission claiming it failed to inform investors that it was paying its senior officers' brothers millions to perform construction work, the agency announced Monday.

According to the suit, UNO Charter School Network Inc. and the United Neighborhood Organization of Chicago never disclosed the contracts to shareholders in its $37.5 million construction bond, even though the conflict of interests jeopardized various grants it was receiving from the Illinois Department of...
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