Oklahoma Judge Advances Epic Charter Schools Embezzlement Case Toward Trial
Why It Matters
Oklahoma’s largest alleged abuse of taxpayer funds is moving closer to trial, nearly four years after the founders of Epic Charter Schools were arrested. The case carries broad implications for charter school oversight and public education funding accountability across the state.
A judge’s ruling that public money retains its public character even after being deposited into private business accounts could set a significant legal precedent for how courts evaluate the handling of state education dollars.
What Happened
Oklahoma County Special Judge Jason Glidewell ruled Thursday that prosecutors presented sufficient evidence for nearly all felony charges against Epic Charter Schools co-founders David Chaney, 47, and Ben Harris, 50, to proceed to trial. The ruling came after a preliminary hearing that began in 2024 but was repeatedly delayed by procedural disputes.
Prosecutors charged Chaney and Harris in 2022 with 14 felonies each, alleging they diverted tens of millions of dollars intended for student education into their private companies. The charges include embezzlement, conspiracy, fraud, and racketeering under Oklahoma state law. Both men deny wrongdoing.
Judge Glidewell dismissed one count of embezzlement against both defendants and one count of computer fraud against Chaney, but found probable cause for the remaining charges. A formal arraignment is scheduled for June 24.
The judge also rejected a central defense argument. Chaney and Harris’ attorneys contended that public funds became private money once deposited into their business accounts. Glidewell was not persuaded, stating that the money retains its public character until its intended purpose is fulfilled.
By the Numbers
The financial scope of the alleged scheme is substantial, according to testimony and investigators’ findings:
- $69.3 million in management fees collected by Epic Youth Services, the private management company, between 2013 and 2021
- $55 million of that total was split among the three principal figures
- Harris received approximately $25 million, Chaney received $23 million, and cooperating witness Josh Brock received $7 million
- Brock held a 10% profit share in Epic Youth Services, while Chaney and Harris each retained 45%
- The preliminary hearing spanned eight days of testimony from investigators, auditors, Epic staff, and the state’s star witness
The Star Witness
Josh Brock, Epic’s longtime chief financial officer, is also charged in the case but is cooperating with prosecutors in exchange for leniency. Brock testified that he managed the books for Epic Youth Services while simultaneously serving as encumbrance clerk for the school itself — a dual role that allegedly allowed the scheme to operate largely out of view.
According to Brock’s testimony, the men used shell companies and submitted false invoices based on cost estimates rather than actual expenses to conceal their profits from state oversight. Prosecutors allege the funds were used for political donations, expenses related to a California charter school, and personal credit card charges for Chaney and Brock.
Investigators also found that Epic Youth Services controlled the school’s student learning fund — money set aside for laptops, extracurricular activities, and other student needs — and kept unspent balances rather than returning them to the school.
Zoom Out
The Epic case is among the most high-profile charter school fraud prosecutions in the country. Oklahoma’s state auditor, whose 2020 audit triggered the criminal investigation, described the alleged scheme as the largest abuse of taxpayer dollars in state history. A confidential investigation by the Internal Revenue Service is separately ongoing.
Charter school financial oversight has become a national policy flashpoint as enrollment in publicly funded but independently operated schools has grown. Cases like this one have prompted calls in multiple states for stronger audit mechanisms and real-time financial reporting requirements. For more on how Oklahoma’s legal and financial accountability systems are being tested, see our recent coverage of a former chief justice battling State Farm as sitting justices weigh the insurance giant’s fate.
What’s Next
With probable cause established, the case now moves toward formal arraignment on June 24. A trial date has not yet been set. Epic Charter Schools severed its relationship with Chaney, Harris, and Brock in 2021, and the school continues to operate under separate leadership. The ongoing IRS investigation may produce additional findings that factor into the federal dimension of the case.