A Southlake nonprofit that ran a sold‑out fundraiser for Carroll ISD’s Special Olympics raised thousands of dollars, but most of that money did not reach the district as donors expected. Sources say the funds went undelivered for more than a year, prompting parents and school officials to start asking pointed questions. Those concerns grew louder this spring after public records showed changes in the foundation’s corporate status.
Two sources told The Dallas Express that the Feb. 1, 2025, gala raised at least $9,000 for Carroll ISD’s Special Olympics, yet the district had no record of receiving the proceeds at the time of a public records request. The outlet reported that Southlake Foundation President Kush Rao later told its reporters that “the check had been mailed to Carroll ISD yesterday.” Rao referred follow-up questions to board member Laura McCaskill, who did not respond to the outlet’s requests. The district then confirmed it had received some funds after the outlet’s outreach, but people familiar with the matter said the payment covered less than half of the amount raised, leaving unresolved questions about the remaining balance, according to The Dallas Express.
Event and fundraiser
Event listings show the fundraiser, billed as “Hats Off to Special Stars,” took place Feb. 1, 2025, at The Westin Southlake and was promoted as a benefit for the district’s Special Olympics program. Organizers publicly praised the turnout, and the night was listed as sold out. The event page states that proceeds were to be used “directly for Southlake Special Olympics and for the benefit of special education students,” according to BetterWorld.
Public records and company status
Public records described by Dallas Express show the Southlake Foundation was in tax forfeiture in February and March, and was listed as “inactive” and having “forfeited existence” in April. That sequence raises practical questions about how the organization handled donor dollars and how it later transmitted any funds to the school district. The timing of those filings, along with the long gap between the gala and later payments, has become a focal point for local scrutiny.
Who runs the foundation?
Southlake Foundation’s website lists Kush Rao as president and describes the group as a community nonprofit that runs cultural events, youth programs, and fundraisers, according to Southlake Foundation. Local coverage has profiled Rao as an active organizer in Southlake and a leader behind events such as DiwaliFest and community runs, as reported by Southlake Style. Those civic ties make questions about the missing money especially resonant for parents, volunteers, and school officials.
District programs and remaining gaps
Carroll ISD’s Special Programs pages and recent board materials describe the Special Olympics program as an ongoing part of district life, with community fundraising helping support athletes and events, according to Carroll ISD. The district routinely recognizes Special Olympics athletes and related activities in board materials and campus news. Even so, the district still appears to lack a complete accounting for all the proceeds originally raised at the 2025 gala, leaving lingering questions about what happened to the remainder.
Legal and regulatory questions
The Texas Attorney General’s Charitable Trusts division represents the public interest in charity and can investigate or initiate legal action when charitable assets are not properly managed. If donors or the district believe money was diverted or misused, the Attorney General’s office outlines complaint procedures and is one of the authorities that can review the records, according to the Texas Attorney General.
The Dallas Express investigation has triggered paperwork checks and renewed attention from community members, and the outlet has stated it will update its reporting as more information comes in. We will continue monitoring filings and statements from Carroll ISD and the Southlake Foundation and will update this story as additional records or responses become available.
