Educational Technology: Questionable Payments
Context
Your EdTech company is thriving, yet you are reviewing highly questionable payments for approval: a massive, ill-defined bonus for the former CEO, and large "commissions" to a sales associate with no invoices, known for ties to a key school superintendent. Approving these secures your influence and personal benefits.
Dilemma
A) Challenge the payments, demanding full transparency and an investigation, risking personal fallout and internal conflict.
B) Approve the payments while burying the dubious details.
Summary
Ed-tech company AllHere, once celebrated for creating L.A. schools' $6 million AI chatbot, has filed for bankruptcy, revealing financial mismanagement and contract failures. Despite raising $12 million in investment, the company collapsed, owing creditors millions. Court hearings exposed questionable expenses, unpaid commissions, and leadership turmoil. AllHere struggled to meet contract terms, leading to an incomplete project and investigations into potential student privacy violations. With only minimal assets remaining, including an inaccessible company laptop, AllHere is shutting down, leaving unanswered questions about its downfall and the future of AI-driven education tools in public schools.
Resources:
| Last modified: | 10 June 2025 2.42 p.m. |