Federal A Washington Roundup

E-Rate Indictments Target Six Companies

By Andrew Trotter — April 19, 2005 1 min read
  • Save to favorites
  • Print

Six technology companies have been indicted on federal fraud charges in connection with E-rate projects at schools in seven states.

A federal grand jury in San Francisco found enough evidence to charge the companies with schemes to defraud the Federal Communications Commission and E-rate program managers.

The projects involved 11 school districts in Arkansas, California, Michigan, New York, Pennsylvania, South Carolina, and Wisconsin, the Department of Justice announced April 7.

The companies are: Video Network Communications Inc. of Portsmouth, N.H.; Howe Electric Inc. of Fresno, Calif.; Sema4 Inc. of San Juan Capistrano, Calif.; Digital Connect Communications, also of San Juan Capistrano; Expedition Networks Ltd. of North Hills, Calif.; and ADJ Consultants Inc. of Temecula, Calif.

The companies have defended themselves in media reports.

Michael A. Molfetta, a lawyer representing Howe Electric, told Education Week that his client was steered into trouble by other companies working on the same E-rate projects as Howe Electric.

Related Tags:

Events

Reading & Literacy K-12 Essentials Forum Supporting Struggling Readers in Middle and High School
Join this free virtual event to learn more about policy, data, research, and experiences around supporting older students who struggle to read.
School & District Management Webinar Squeeze More Learning Time Out of the School Day
Learn how to increase learning time for your students by identifying and minimizing classroom disruptions.
This content is provided by our sponsor. It is not written by and does not necessarily reflect the views of Education Week's editorial staff.
Sponsor
Reading & Literacy Webinar
Improve Reading Comprehension: Three Tools for Working Memory Challenges
Discover three working memory workarounds to help your students improve reading comprehension and empower them on their reading journey.
Content provided by Solution Tree

EdWeek Top School Jobs

Teacher Jobs
Search over ten thousand teaching jobs nationwide — elementary, middle, high school and more.
View Jobs
Principal Jobs
Find hundreds of jobs for principals, assistant principals, and other school leadership roles.
View Jobs
Administrator Jobs
Over a thousand district-level jobs: superintendents, directors, more.
View Jobs
Support Staff Jobs
Search thousands of jobs, from paraprofessionals to counselors and more.
View Jobs

Read Next

Federal From Our Research Center Trump Shifted CTE to the Labor Dept. What Has That Meant for Schools?
What educators think of shifting CTE to another federal agency could preview how they'll view a bigger shuffle.
3 min read
Collage style illustration showing a large hand pointing to the right, while a small male pulls up an arrow filled with money and pushes with both hands to reverse it toward the right side of the frame.
DigitalVision Vectors + Getty
Federal Video Here’s What the Ed. Dept. Upheaval Will Mean for Schools
The Trump administration took significant steps this week toward eliminating the U.S. Department of Education.
1 min read
The U.S. Department of Education building is pictured in a double exposure on Oct. 24, 2025, in Washington, D.C.
The U.S. Department of Education building is pictured in a double exposure on Oct. 24, 2025, in Washington, D.C.
Maansi Srivastava for Education Week
Federal What State Education Chiefs Think as Trump Moves Programs Out of the Ed. Dept.
The department's announcement this week represents a consequential structural change for states.
6 min read
The U.S. Department of Education building is seen behind the Dwight D. Eisenhower Memorial on Oct. 24, 2025 in Washington, D.C.
The U.S. Department of Education building is seen behind the Dwight D. Eisenhower Memorial on Oct. 24, 2025 in Washington, D.C. The department is shifting many of its functions to four other federal agencies as the Trump administration tries to downsize it. State education chiefs stand to be most directly affected.
Maansi Srivastava for Education Week
Federal See Where the Ed. Dept.'s Programs Will Move as the Trump Admin. Downsizes
Programs overseen by the Ed. Dept. will move to agencies including the Department of Labor.
President Donald Trump signs an executive order regarding education in the Oval Office of the White House, Wednesday, April 23, 2025, in Washington, as Commerce Secretary Howard Lutnick, Labor Secretary Lori Chavez-DeRemer, and Education Secretary Linda McMahon watch.
President Donald Trump signs an executive order regarding education in the Oval Office of the White House on April 23, 2025, as Commerce Secretary Howard Lutnick, Labor Secretary Lori Chavez-DeRemer, and Education Secretary Linda McMahon watch. The Trump administration on Tuesday announced that it's sending many of the Department of Education's K-12 and higher education programs to other federal agencies.
Alex Brandon/AP