ISD in Texas Terminates Employee Over $41K Gambling Incident; Investigation Ongoing

Incident Overview in Fabens Independent School District
The Fabens Independent School District in El Paso, Texas recently came under scrutiny after a former employee was found to have misappropriated district funds by gambling approximately $41,000 using the district’s credit card.
Upon discovering the irregularities, the district issued a statement acknowledging the unauthorized charges and confirmed that the individual involved was no longer employed by the district. This issue was initially revealed through an external audit.
Superintendent Dr. Rogelio Segovia responded promptly to the situation by terminating the employee following an internal investigation, resolving the matter before the audit report was made public.
Discovery of the Unauthorized Activity
The issue first emerged during a board meeting on January 21, which reviewed the district’s financial report for fiscal year 2025. The auditor reported concerns regarding the misuse of the district’s credit card, stating that cash advances appeared to have been obtained by an ex-employee for personal use without authorization.
Evidence suggested that the former employee used the credit card at a local casino and attempted to hide the transactions by manipulating the email statements of the credit card.
In response, the school district has implemented stronger internal controls and safeguards to prevent similar misuse in the future.
Ongoing Investigation and Broader Context
The Fabens ISD has pledged full cooperation with law enforcement agencies as the investigation continues.
Meanwhile, a separate gambling-related scandal has also affected other educational institutions in Texas. An investigation in 2025 revealed that athletes and staff at the University of Texas engaged in unlawful betting on college sports through mobile betting applications.
The athletic department self-reported five violations that occurred between July 11 and November 4, 2024, highlighting growing concerns around gambling within educational environments.