PHOENIX — A Maricopa County Grand Jury has indicted three women accused of fraud and theft in connection with Arizona’s health care system and private school voucher program.
The indictment was issued in July. 12News obtained a copy of the charges on Thursday. The indictment contains 25 counts of theft, fraud and illegal control of an enterprise involving the women between 2017 and 2022.
Prosecutors allege Michell Leigh Dils fraudulently obtained over $100,000 from the state’s Department of Education, the Empowerment Scholarship Accounts fund and the state’s health care provider, AHCCCS. According to the indictment, Dils acquired or maintained companies “through racketeering” that include Ace Medical Solutions, Academic Training AZ, All Family Solutions, Love Learning and Arizona School For Exceptional Kids.
Two other women, Angela Lee Turner and Sarah Gretchen Ishler, are accused of fraud and theft. Ishler is accused of fraud involving public funds of more than $25,000 and Turner is accused of fraud involving public funds of less than $25,000.
In May, Mayes told 12News on Sunday Square Off she launched an investigation into potential fraud involving the ESA program. A spokesperson for Mayes said Thursday the indictment is part of that investigation.
A copy of the indictment is below:
The ESA program
Under the ESA program, all Arizona students can use taxpayer dollars to cover tuition at private and parochial schools. The money is also available for homeschooling and special education students.
It started in 2011 as a small program for disabled children but was expanded repeatedly over the next decade until it became available to all students in 2022.
ESA enrollment has soared in the 16 months since the universal expansion – and so has the cost to the state general fund.
But the program has drawn a lot of controversy over its cost, wait times for reimbursements and vendor issues. The program is projected to cost $100 million more than projected this year.
Arizona is currently ranked 45th out of 50 states for education according to U.S. News & World Report's 2023 Best State rankings.
Up to Speed
Catch up on the latest news and stories on the 12News YouTube channel. Subscribe today.