The leader of the nation’s second-largest school district has stepped down from his position following federal raids on his residence and workplace earlier this year. Alberto Carvalho announced his resignation as superintendent of the Los Angeles Unified School District on Sunday, citing the need to eliminate distractions from student education. The departure marks the end of a four-year tenure that began in 2022 and saw him unanimously reappointed just months ago in fall 2025.
In his official statement, Carvalho emphasized that prioritizing students has always driven his decisions throughout his career. “Because I believe our schools must remain focused on students and learning without distraction, I am resigning as Superintendent of LAUSD effective today, June 21, 2026,” he declared. The resignation comes as federal investigators continue examining circumstances related to a collapsed multimillion-dollar artificial intelligence contract and possible conflicts of interest.
Federal agents execute search warrants across multiple locations
Last February, law enforcement officers were captured on video executing what appeared to be a search warrant at Carvalho’s personal residence. Footage showed multiple investigators carrying various items in and out of the property throughout the operation. District headquarters also experienced disruption when staff members were evacuated as federal agents arrived to conduct a parallel search of the administrative offices.
Authorities additionally targeted a residence connected to a longtime associate of the superintendent, according to reports from the FBI’s Miami office. While federal officials have not publicly commented on the investigation’s specific nature or scope, sources familiar with the matter indicate the probe centers on contractual arrangements and potential ethical violations.
Failed AI chatbot project draws scrutiny
The investigation reportedly focuses on AllHere, a startup company that no longer operates, which received a contract to develop an artificial intelligence-powered chatbot designed for student interaction. In 2023, Carvalho authorized a $6 million agreement with the company, including an upfront payment of $3 million to initiate the project.
- The contract was awarded in 2023 with substantial upfront funding
- The company founder faced embezzlement accusations in 2024
- Data privacy concerns emerged during the project’s implementation
- Whistleblower allegations contributed to the initiative’s collapse
- The startup ceased operations before completing the chatbot system
The entire initiative collapsed in 2024 after the company’s founder, Joanna Smith-Griffith, was accused of misappropriating funds. The project also raised significant data privacy concerns and prompted whistleblower complaints that ultimately led to its termination before completion.
Long-standing professional relationship under examination
According to public records cited in media reports, the AllHere contract was facilitated with assistance from Debra Kerr, an educational technology salesperson who maintained both personal friendship and professional connections with Carvalho dating back to the 2000s. Kerr’s residence in Miami was among the properties searched during the broader investigation related to the school district. The nature of her involvement in the contract process remains a key focus of the federal inquiry.
District leadership highlights achievements and plans transition
Despite the circumstances surrounding his departure, Carvalho used his resignation letter to outline what he characterized as historic accomplishments during his leadership. He pointed to record-breaking graduation rates, improved academic performance compared to pre-pandemic benchmarks, and what he described as equitable progress for disadvantaged students. “As the School Board stated, when it unanimously reappointed me late last year, our District’s executive leadership team valued achievement and equity and placed our most vulnerable students at the heart of our agenda,” he wrote.
The departing superintendent expressed gratitude to students, families, teachers, staff members, community partners, and district supporters. “The successes we have achieved belong to you. I will miss all of you and will continue to pray for the success, health, and wellbeing of every student and family in our District,” Carvalho stated in his farewell message.
The LAUSD Board responded with a statement affirming its dedication to maintaining public confidence during the transition period. “The Board remains steadfast in its commitment to ensuring stability, continuity, and continued progress through strong leadership,” district officials declared. “Our focus remains unchanged: providing every student with a high-quality education, supporting our dedicated workforce, and maintaining the trust of the communities we serve.” Acting superintendent Andrés E. Chait will continue leading the district until board members make a permanent appointment decision.
