Gardiner's alleged "frauds" were complex and included what appears to have been a no-interest $70,000 loan to one of his other business entities, the report says.
O'Shea's misconduct, it says, was "no less destructive, as he systematically siphoned cash from virtually every aspect of [the school's] operations, even going so far as to misappropriate money raised by the Student Council and National Honor Society that was intended for the Marine Corps' Toys for Tots Program."
The 62-page report, by former federal prosecutor Henry E. Hockeimer and other attorneys at Ballard Spahr Andrews & Ingersoll L.L.P., also alleges that O'Shea's sister, Constance, coordinator of the school's elementary program, destroyed computer records in April at her brother's behest to keep investigators from getting them.
The board released the report at a meeting of about 40 parents and staff members inside the lunchroom in the charter's high school building, at 1700 Tomlinson Rd.
When attorneys read from the report about O'Shea's alleged misappropriation of money intended for Toys for Tots, gasps emanated from the audience.
Neither Gardiner nor O'Shea cooperated with the internal investigators, and both have declined to comment on their administration of the school.
The school's board hired the attorneys to comb through records after The Inquirer reported in mid-April that the Philadelphia School District's inspector general was investigating allegations of financial mismanagement, nepotism, and conflicts of interest at the charter.
Federal authorities subsequently launched a criminal probe. Patty Hartman, a spokeswoman for the U.S. Attorney's Office, declined to comment yesterday.
