MPS bank impersonation scam, oversight gaps identified years ago

MILWAUKEE - A bank impersonation scam resulting in a $450,000 loss for Milwaukee Public Schools raises new questions about financial safeguards with the district.

Bank impersonation scam

The backstory:

The district announced Tuesday that it recovered $255,000, but officials are still trying to retrieve the remaining $195,000. 

FREE DOWNLOAD: Get breaking news alerts in the FOX LOCAL Mobile app for iOS or Android

In the district’s letter to its finance team, officials recommended a list of best practices to consider and implement to mitigate and prevent disbursement frauds. Recommendations now call for the same type of safeguards, including extra oversight and greater attention to payment requests, which were outlined in the audit.

Audit reveals oversight gaps

What we found:

Records obtained by FOX6 Investigators reveal gaps in the district's financial oversight had already been identified two years before the scam took place.

A 2024 audit from the MPS Office of Accountability and Efficiency identified several weaknesses in how the district handled its money, while calling for stronger checks on how the district handles payments. Among them, auditors found half of the sampled Office of Finance employees had not completed any mandatory fraud prevention training.

The audit also revealed technology employees added vendors and changed their information in the district's payment system without following the normal review process. Auditors additionally called for an extra review of certain payments to ensure proper approval.

MPS responds to FOX6 Investigators

What they're saying:

In a statement, an MPS district spokesperson wrote to FOX6 Investigators over email Wednesday:

"We are working with our new acting CFO to review all of these recommendations and get you the most accurate answers. We are committed to addressing all current and perceived vulnerabilities and, as we shared in our message yesterday, we are implementing both short and long term additional improvements to security protocols. One of those short term actions is ensuring that all finance staff who have not yet completed the latest related training do so by the end of this week."

MPS also announced a new acting chief financial officer following the scam, stating Jennifer Buros, who was originally hired as deputy CFO in July, would be stepping into the role. The district confirmed with FOX6 Investigators that the previous CFO, Aycha Sawa, remains a district employee, but would not provide additional details of any personnel matter.

Previous MPS CFO

Dig deeper:

Sawa served as CFO since September 2024. The district hired her after a series of money mismanagement issues led to a state funding freeze and leadership resignations. Records show MPS also raised concerns about Sawa's performance before the bank impersonation scam took place.

According to Sawa's personnel file, the former CFO received a notice of concern from the superintendent in November 2025. The letter stated there was a "significant error" in the financial information submitted to the board, noting an $80 million deficit was incorrectly entered in financial documentation prepared under her oversight.

SIGN UP TODAY: Get daily headlines, breaking news emails from FOX6 News

Another department caught the error before the documents went to the school board for final action, according to the records. Officials warned Sawa this could mislead the board and the public about district finances. Officials gave the former CFO 10 days to provide a new plan to ensure similar mistakes did not happen again.

The district declined to provide additional information about how the bank impersonation scam happened and whether Sawa played a role.

Portions of this article were formatted using A.I. FOX6’s Nicole Herzog and an editor reviewed it for accuracy and tone prior to publishing.