Two staffers at a Central Coast charter school have been arrested after allegedly embezzling nearly $300,000 from school funds.
The International School of Monterey in Seaside were alerted to the illegal activity after Terry Bumper, the school’s former food services director, placed a suspiciously large Costco order for eggs, bacon, and potatoes.
A school administrator flagged the exorbitant shopping spree, which led Seaside Police to uncover that Bumper, 42, had embezzled $58,800 from the school by ordering products he used in his personal catering business, Flava 2 You, which he launched in 2023.
Bumper is also accused of renting out the school’s kitchens for personal profit.
His alleged misuse of money led the school to uncover another massive fraud, according to investigators.
Chief Financial Officer Rosa Segura allegedly siphoned more than $238,000 from school funds to pay for personal expenses, including luxury vacations, restaurants, spas, and online shopping, authorities said.
The 45-year-old “made Bumper look like a saint the way she was ripping off the school,” Borges told the Los Angeles Times. Segura was arrested for felony embezzlement on Oct. 22.
Bumper was arrested for felony embezzlement on Sept. 24, and the Monterey County District Attorney’s Office formally filed felony embezzlement charges against him on Oct. 20.
“There’s something about this level of theft that really gets under my skin… You are ripping off not just the school, not just the kids; it’s taxpayer dollars — you are ripping everybody off,” Seaside Police Chief Nick Borges told the outlet.
Bumper pleaded not guilty at his arraignment and was released after posting $20,000 bail.
He denied routing any funds to his private catering business and told Monterey County NOW that his only responsibility was ordering food for the school.
“I did everything I could for them kids, and I would never steal from them kids,” Bumper told the news outlet in an interview. According to him, his coworker Segura held final approval over all orders.
At the moment, investigators have not been able to determine whether Segura and Bumper worked together or knew about the alleged misuse on each other’s end.

Investor enthusiasm for artificial intelligence’s potential to transform the global economy has fueled massive bets on the sector; however, growing concerns about a possible downturn are prompting investors to seek financial protection against losses, The Wall Street Journal reported Saturday.
“We’re seeing really significant demand from folks looking to protect downside,” said Stephen Solaka, a senior vice president at Gateway Investment Advisers.
Investors and technology executives are increasingly turning to financial instruments such as put options and credit-default swaps to protect their investments.
Put options give investors the right to sell shares at a predetermined price before a specified date. For shareholders seeking protection, these contracts can limit potential losses if stock prices fall sharply, although investors must pay a premium for that protection.
A combination of rising borrowing costs for major data center projects and chip purchases, falling share prices among AI companies, and a broader stock market selloff has heightened concerns about the sector’s financial outlook.
Friday’s technology stock selloff wiped out more than $1 trillion in market value. The Nasdaq 100 index fell 3.4%, while the broader S&P 500 dropped 1.8%. The S&P 500’s technology sector was hit particularly hard, declining more than 4.2%, NBC News reported Friday.
AI companies keep pursuing billions in funding, even amid selloff
The growing demand for financial protection comes as AI companies continue seeking enormous amounts of capital to fund infrastructure development and expansion.
According to Solaka, some investors have accumulated such substantial gains from technology stocks that they now prioritize protecting their wealth over pursuing further returns.
“These people have made so much money, they’re quitting to hedge their stock,” Solaka said, adding that some companies restrict employees’ trades.
For example, trading in put options tied to AI cloud infrastructure company CoreWeave surged to record levels in October and remained elevated, according to data from Cboe Global Markets.
AI investors turn to credit-default swaps to hedge against debt risks
Investors are also turning to credit-default swaps, financial contracts that protect against a borrower failing to repay its debt.
According to the report, the cost of insuring against debt defaults by major technology companies, including Amazon, Alphabet, Microsoft, Meta, and Oracle, rose over the past month to its highest level since 2021.
“There were no exceptions, suggesting broad market concern about the sector rather than idiosyncratic credit events at individual companies,” said Eugene Grinberg, a co-founder of bond data provider Solve.
As investment in AI infrastructure grows, trading firm Jump Trading has begun offering financial contracts that allow companies to protect themselves against a potential collapse in the price of computing power.
For example, companies renting out Nvidia chips could use these contracts to lock in a minimum rental price, protecting revenue if demand for AI computing power falls.
The growing demand for financial protection is reminiscent of the events depicted in The Big Short, when investors used credit-default swaps to bet against mortgage-backed securities before the 2008 financial crisis. Unlike those investors, however, many of today’s technology shareholders are not necessarily betting on a market collapse, but seeking to protect gains accumulated during the AI boom.

Residents of Villa Vie Odyssey — which remains stuck in Cambodia — have been informed the cruise ship is now under control of its lender, according to a message sent to residents and obtained by CBS News.
The ship will soon be moved from Cambodia to Singapore, where it could eventually be auctioned off, according to multiple sources familiar with the matter. Company leadership, however, said they’re optimistic they can get the ship back — if they find an operational partner.
“This is a 30- to 90-day process, and, during that process, we have time to get a restructure done,” Mike Petterson, the company’s founder and executive chairman, told CBS News.
Passengers had only the weekend to remove all of their belongings from the ship before it became inaccessible to them, as the lender took over the operational costs of the ship.
“They have now the responsibility to pay the crew, fuel and the operations of the vessel and safekeeping of the vessel,” Petterson said, stressing that they’re exploring options to keep the ship going. “They would be willing to work with a funded plan — they’re not out of negotiations — it’s not like you get your car repossessed and you can’t get it back.”
Some passengers expressed frustration with the company’s optimistic tone and worried it gave some residents a sense of “false hope.”
“The lender has taken possession of the ship, but that does not mean the Odyssey’s future has been decided,” the message to residents read, in part. “No sale has been scheduled. We believe there is time to bring forward a viable plan and are working to do that.”
An effort by a group of residents to buy the ship from the company also failed, after a lender denied them funding, according to sources who spoke with CBS News. The effort had received pledges from 169 residents who were willing to put more money into the project.
Internal communications reviewed by CBS News showed the ship was in financial distress for at least three months prior to Cambodia. Now, additional documents show that the company had a sense of urgency in getting more residents to provide even more funds.
During a meeting that took place in early August, the company wrote in an internal PowerPoint presentation: “A significant new line of inquiry is the need to distinguish actual inability to contribute from unwillingness to contribute further.”
Joel Greiff from Naples, Florida spent $350,000 on a cabin on board, but he spent just 26 days on the ship after moving into it in October. Greiff told CBS News he paid an initial deposit in August 2025 and paid the remainder in May 2026.
In late July, Greiff said he received a message from the company about its financial woes. At the time, the company was asking residents for more money to keep the ship afloat.
“I sell my RV on August 3rd and I’m like — oh,” Grief said. “This is gonna fail. Every sign is there.”
Since being kicked off the ship, he has found a place to live in Kompat, Cambodia.
“I went and found a place to stay for $200 a month. Beautiful place,” he said. “It’s right on the river. It’s what I wanted and what I needed.”
Greiff said he has come to terms with the fact that he may never see the money he invested in the ship again.
“I do not feel ill will, I just feel that they don’t know how to run a business whatsoever,” he said. “They might want to contemplate never running a business again.”
It is still unclear what will happen to the Odyssey next, but, prior to becoming stranded in Cambodia, Residential Cruise Holdings, the parent company of Villa Vie, was in the process of acquiring at least one additional cruise ship and working on two residential cruise projects.
“I don’t have any update on that,” said Petterson. “Our focus is 100% on the Odyssey. Villa Vie was entirely capitalized by the residents themselves. There is no stakeholder outside of the residents.”
A Chapter 11 bankruptcy for Villa Vie would cost the ship about $3 million for the first 60 days of the process, according to the message sent to residents.
“The plan we are pursuing is to support those operations through DIP financing and resident maintenance collections,” the message read. “The debt and legal issues are serious, but they do not erase the value of the ship, the resident community or the opportunity to build a stronger operating model. A structured transition with new capital and experienced operators can address the challenges and create a path forward.”
Petterson said the company is entirely owned by employees and residents, “so, when there is a financial need, residents are by definition the shareholders of the company and are naturally asked as shareholders to contribute.”

A new ranking of the best places to retire in the US gives its top honor to a city not in the sunny climes of Florida but in Michigan. Midland is No. 1 in the US News & World Report ranking, which assesses factors including housing affordability, access to health care, traffic and walkability, state taxes, and resident happiness. One big reason the city of about 43,000 people scores well is that it offers a relatively low cost of living compared to cities of similar sizes. Roughly 21% of its population is over 65. The top 10 cities:

NEW YORK (AP) — The theft of billions of dollars from Binance within a matter of minutes, the biggest crypto heist in history, was orchestrated by North Korean hackers, the FBI said Saturday.
READ MORE: What to know about the $6.3B hack on Binance, likely the biggest-ever crypto theft
The bureau said in a statement that this week’s attack was tied to “malicious cyber activity” by an entity known as TraderTraitor, the same actors behind a $1.5 billion Bybit hack last year.
The FBI asked crypto exchanges, blockchain analytics companies and others to block transactions linked to various addresses to make sure the money is not laundered to cover up its origins.
It also said its probe found that TraderTraitor was converting stolen assets primarily into a cryptocurrency called ethereum. The FBI expects that TraderTraitor will now attempt to convert the assets using DeFi and “instant swap services.”
Asked by reporters as he appeared on Saturday night during a Halloween party at his Mar-a-Lago estate in Florida, however, President Donald Trump suggested investigators weren’t yet certain that North Korea was involved.
“I’m not concerned. We’re learning about it,” Trump said of the case. “We don’t know if it’s North Korea.” Though he added that, it could yet be determined that it was.
WATCH: $6 billion cryptocurrency heist puts investors on edge
Crypto expert Ari Redbord said he expects the hackers will break the stolen assets into pieces and try to launder them through smaller exchanges to evade detection, a process that could unfold over months.
“It’s bank robbery, in this case, at the speed of the Internet,” said Redbord, chief policy officer at blockchain intelligence firm TRM Labs. “However, we can also track and trace those funds in real time in order to build investigations, to disrupt and to seize back funds.”
He added: “It’s just this cat and mouse game.”
On Thursday, $6.3 billion in bitcoin and other digital currency was stolen from Binance, the world’s largest crypto exchange, in what several crypto experts said bore the hallmarks of a North Korean hack.
The company said Saturday that it had enough set aside in the same digital currency that was stolen to cover 90% of the missing assets and promised that customers would be fully reimbursed.
Associated Press writer Russ Bynum in Savannah, Georgia, contributed.