East Aurora school board member facing federal fraud charges in $1.3 million kickback scheme
Prosecutors say a former East Aurora school board president is accused of using her position to get a multimillion-dollar contract while a company connected to her received a $1.3 million payment.
For years, Annette Johnson helped lead the East Aurora school board. Now, the former board president, who still serves on the board, is facing federal fraud charges over a deal involving air purifiers purchased during the pandemic.
Aurora mayor John Laesch served alongside Johnson from 2015 to 2019 before the air purifiers were purchased.
"There was a number of questionable behaviors when I was on the school board with Annette Johnson," he said.
Among those questionable behaviors, the mayor says that "contracts appeared to be treated favorably."
Federal prosecutors say Johnson used her position as board president to steer a $2.7 million air purifier contract to a reseller. She spoke in favor of the purchase and voted to approve it. The money came from federal pandemic relief funds intended to help schools.
"None of this would have come to light except that myself and others in the community worked to get new board members on the East Aurora School Board last cycle and they elected a new board president, Juan Sinfuentes," Mayor Laesch said.
Prosecutors say after the district paid the reseller with a $1.3 million check labeled as commission, it was sent to a company where Johnson worked as chief financial officer.
In the indictment, prosecutors say that payment went to a company whose owner was in a romantic relationship with Johnson when she was school board president and that she had a financial interest in the deal.
"There's a rule requiring her to fill out a statement of economic interest. She didn't fill it out accurately," Laesch said.
In 2023, prosecutors say Johnson voted to approve another $201,000 payment related to the air purifiers.
In a statement, the district said in part, "While the allegations made against Ms. Johnson are incredibly serious and concerning, Ms. Johnson, like all other defendants, is entitled to a presumption of innocence."
They added, "The District has and will continue to fully cooperate with the authorities in any continued investigation of these matters."
The statement also says no other current board member, administrator, or employee is named as a co-defendant.
Johnson remains on the board, with her current term running through April 2029.
CBS News Chicago reached out to Johnson for comment about the allegations in the indictment.
The attorney for Johnson said in a statement:
"Annette Johnson is innocent. This was the height of the pandemic, and getting children safely back into their classrooms was paramount. The Superintendent authorized this purchase in the best interests of the District and its students. The District received air purifiers that worked then and are still working today, and Ms. Johnson did not take a dollar from this transaction. She will plead not guilty, and when all the facts come out in court, they will show that she did her job, and did it faithfully. Beyond that, we will not comment on a pending case."
