A former Los Angeles Unified School District employee and the owner of a technology vendor were charged Thursday in connection with a $22 million pay-to-play scheme that allegedly funneled taxpayer dollars away from classrooms.

The Los Angeles County District Attorney’s Office announced charges against Hong “Grace” Peng, 53, of Pasadena, and Gautham Sampath, 53, of Flower Mound, Texas. Peng worked as a technical project manager for LAUSD from 2018 to 2022, while Sampath owns the technology vendor Innive.

According to the felony complaint, Peng illegally awarded over $22 million in contracts to Sampath’s company and received more than $3 million in kickbacks. Sampath allegedly instructed Peng to delete incriminating messages and sought to exploit additional funding opportunities within LAUSD.

“Between 2018 and 2022, Peng was involved in signing, approving, or recommending over $22 million in funding from LAUSD to Innive,” the complaint reads. “Between 2018 and 2022, Peng received over $3 million in payments from Sampath, Sampath-controlled companies, or connected third parties.”

Both Peng and Sampath face multiple felony charges, including money laundering and having a financial interest in a contract awarded in an official capacity. If convicted on all counts, each could face up to seven years in prison. Arrest and extradition warrants have been issued.

Los Angeles County District Attorney Nathan Hochman called the alleged scheme “a blatant abuse of public trust” and emphasized that public officials and contractors who exploit taxpayer dollars will be held accountable.

LAUSD said it referred the matter to the Office of the Inspector General in April 2022 upon learning of a potential conflict of interest and pledged full cooperation with authorities.