Oklahoma's Missing Children Crisis: 78 Kids Lost, Nearly $800M Mishandled

Investigation by Project Milk Carton

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Oklahoma’s child welfare system is facing a crisis of accountability. Seventy-eight children have gone missing from state custody—nearly half for over three months—while state auditors have identified $791 million in questionable childcare fund management, according to a multi-source investigation by Project Milk Carton.

The findings paint a disturbing picture of a system that recently emerged from 13 years of federal oversight, only to descend into new scandals involving missing children, sexual abuse at a juvenile detention facility, and what State Auditor Cindy Byrd called “bad actors gaming the system at taxpayers’ expense.”

Why This Matters

Oklahoma ended federal court supervision of its child welfare system in March 2025 after implementing reforms following a landmark lawsuit that documented 129 child deaths between 2000 and 2011. That oversight, known as the D.G. v. Yarbrough consent decree, was supposed to signal Oklahoma had fixed its broken system.

Instead, the state is now facing revelations that suggest supervision ended prematurely. The 78 missing children, the detention center abuse scandal, and the massive financial mismanagement all occurred while the state was under the Pinnacle Plan reforms—or immediately after oversight ended.

The Missing 78

According to the Tulsa World, 78 children currently in Oklahoma Department of Human Services (DHS) custody are missing. Approximately 39 have been missing for more than three months.

DHS categorizes all of them as “runaways” rather than abduction victims—a classification that critics say absolves the agency of responsibility for losing track of vulnerable children already under state protection.

“That is ridiculous. There needs to be some accountability here,” former CASA volunteer Michelle Zettee told reporters.

Database records from the National Center for Missing and Exploited Children show 19 active Oklahoma cases, concentrated in Oklahoma County (6 cases), Tulsa County (4), and Canadian County (2). The youngest and longest-missing child is London Kerr, age 5, who has been missing since October 22, 2022.

The $791 Million Question

State Auditor Cindy Byrd’s investigation into federal childcare funds received since March 2020 uncovered $93.4 million in questioned costs for fiscal year 2023 alone, with $63.6 million specifically tied to DHS programs.

The audit findings reveal a pattern of fraud and negligence:

• Twenty of 73 sampled grant recipients are no longer operating

• Major remodeling projects unrelated to childcare

• Excessive payroll costs and large unrelated purchases

• Grant funds used to operate other businesses

• Failed documentation requirements

One particularly egregious case involved $2.1 million awarded to an applicant married to the former Oklahoma Human Services Director of Child Care Services—a conflict of interest now under criminal investigation.

“DHS did not put strong guidelines on how day cares were to use the funds, nor did it conduct any financial monitoring of childcare development,” Byrd stated in her audit report. “As a result, bad actors were able to game the system at taxpayers’ expense.”

Federal authorities have already demanded repayment of $1.6 million, with more expected.

Abuse Behind Bars

The Family Center for Juvenile Justice (FCJJ), Tulsa County’s juvenile detention facility, has become a focal point for abuse allegations that state regulators failed to stop despite years of warning signs.

Between April 2021 and May 2022 alone, the facility documented 324 uses of physical force and 474 room confinements. Grievances tripled from 60 to 192 during the same period. The state issued five corrective action plans between 2020 and 2024.

In February 2024—despite ongoing violations—Oklahoma granted the facility a permanent license.

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Two months later, in April 2024, rape incidents were reported. The subsequent federal lawsuit, filed May 23, 2024, names 21 victims and five accused staff members:

• Jonathan Hines**, detention officer: charged with child trafficking, evidence destruction, soliciting a minor, and lewd molestation

• DQuan Doyle**, detention officer: charged with sexual battery, indecent exposure, and aiding a minor in drug crime (arrested 11 months after initial report)

• Mandi Lee Raymond**, nurse: allegations of rape and providing contraband for sex

• Cindy Treadway**, officer: allegations of inappropriate relationship with a resident

• Anthony Taylor**, director: terminated May 6, 2024

According to Oklahoma Appleseed’s investigation, youth were confined to their rooms for 22+ hours daily—nearly double the legal limit. The facility operated with broken windows, holes in walls, and an unlocked medication cabinet.

The facility had been on probation and had received corrective action plans. State regulators knew about the violations. They licensed it permanently anyway.

Pattern of Negligence

In Haskell County, a foster child was left outside in 12-degree weather without a coat or shoes on February 18, 2025. The foster parents, Andrew and Kaytlin Fultz, were charged with child neglect.

What makes this case particularly damning: Cherokee Nation Indian Child Welfare had recommended the child’s removal in June 2024—eight months before the exposure incident. DHS ignored the recommendation.

Previous allegations of physical and sexual abuse had been made against the same foster family. The child reportedly appeared malnourished when finally removed from the home.

The Money Trail

Federal funding to Oklahoma DHS continues to flow despite the scandals. Database analysis reveals 97 grants from the Department of Health and Human Services, primarily for refugee and entrant assistance programs, including awards of $14.8 million, $9.8 million, $8.5 million, and $6.2 million.

Meanwhile, financial analysis of Oklahoma child welfare nonprofits reveals red flags:

• Community Youth Services of Southern Oklahoma** ($2.1 million revenue): zero reported officer compensation

• Youth Emergency Shelter Inc** ($997,000 revenue): zero officer compensation in FY2022, down from $71,100 the prior year

• Janada L Batchelor Foundation** ($1.8 million revenue): $185,213 officer compensation (10.25% of revenue)

Campaign finance records show DHS employees have contributed over $15,000 to political campaigns, led by Tracy Wilke (Child Welfare Programs Representative) with $5,129 in contributions.

What Happens Next

Oklahoma’s child welfare system needs immediate intervention:

1.Federal investigation into the missing 78 children and DHS’s failure to locate them

2.Recovery of questioned funds and prosecution of fraud cases

3.Emergency review of FCJJ’s permanent license

4.Independent audit of all foster care placements where removal has been recommended but ignored

5.Restoration of federal oversight until systemic reforms are proven sustainable

State Auditor Byrd warned that programs built on the mismanaged funds “will not continue once grant funds run out.” But the real question is: how many more children will go missing, be abused, or die before Oklahoma proves it can protect the most vulnerable kids in its care?

Call to Action

Oklahoma’s Missing Children Crisis: 78 Kids Lost, nearly $800M Mishandled

Shadow Patriot | Project Milk Carton | State: OK | Agency: HHS | January 17, 2026

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CIVIC ACTION BATTLE PLAN

TARGET: Oklahoma Department of Human Services (DHS)

STAKES: $791 million in questionable childcare fund management

JURISDICTION: Oklahoma (Federal oversight: HHS)

VICTIMS: 78 missing children (39 missing over 3 months)

THE SITUATION:

Oklahoma’s child welfare system just emerged from 13 years of federal oversight—and immediately collapsed into chaos. The state declared victory, ended court supervision in March 2025, and within months we have 78 missing children, nearly $800M in mishandled funds, and a juvenile detention facility where staff raped children while regulators looked the other way.

This is what happens when politicians celebrate “ending federal oversight” instead of fixing broken systems. State Auditor Cindy Byrd found $93.4 million in questioned costs for ONE FISCAL YEAR, with $63.6 million tied directly to DHS. Federal authorities already demanded $1.6 million back—and that’s just the beginning.

The pattern is clear: DHS can’t track money AND can’t track children. Twenty of 73 sampled grant recipients aren’t even operating anymore. One grant recipient was married to the former Oklahoma Human Services Director of Child Care Services—a $2.1 million conflict of interest now under criminal investigation.

Meanwhile, 78 children are missing. DHS calls them all “runaways”—convenient language that absolves the state of responsibility for losing children already under its protection. The youngest is London Kerr, age 5, missing since October 22, 2022.

This isn’t incompetence. This is a system designed to fail children while protecting bureaucrats.

PHASE 1: IMMEDIATE PRESSURE (NEXT 72 HOURS)

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YOUR FEDERAL REPRESENTATIVES:

SENATORS:

• James Lankford (R): 202-224-5754

• Markwayne Mullin (R): 202-224-4721

REPRESENTATIVES:

• Frank D. Lucas (R): 202-225-5565

• Josh Brecheen (R): 202-225-2701

• Kevin Hern (R): 202-225-2211

• Stephanie I. Bice (R): 202-225-2132

• Tom Cole (R): 202-225-6165

“CALL SCRIPT (60 SECONDS):”

“I’m calling about Oklahoma DHS losing 78 children and nearly $800 million in federal funds. State Auditor Cindy Byrd found $93.4 million in questioned costs—including a $2.1 million grant to someone married to a DHS director. Federal authorities already demanded $1.6 million back.

Oklahoma ended federal oversight in March 2025 and immediately lost control. I expect [Rep Name] to demand:

1. HHS Inspector General investigation into ALL DHS childcare grants

2. Congressional hearing on why oversight ended prematurely

3. Emergency audit of the 78 missing children's cases

4. Criminal referrals for fraud and negligence

I need a written response within 14 days on what action you’re taking. If I don’t get one, I will organize my precinct to find someone who will protect children instead of bureaucrats.”

EMAIL FOLLOW-UP:

Subject: URGENT: 78 Missing Children, $791M Mishandled - Demand HHS-OIG Investigation

Dear [Representative Name],

I am writing as your constituent to demand immediate congressional action regarding the crisis in Oklahoma’s Department of Human Services.

The Facts:

• 78 children missing from DHS custody (39 for over 3 months)

• $791 million in questionable childcare fund management identified by State Auditor

• $93.4 million in questioned costs for FY2023 alone

• Federal authorities have demanded repayment of $1.6 million (more expected)

• Criminal investigation underway for $2.1 million conflict-of-interest grant

Oklahoma celebrated ending 13 years of federal oversight in March 2025. Within months, the system collapsed. This suggests supervision ended prematurely and federal funds are being systematically mismanaged.

I demand you take the following actions:

1. Request an HHS Office of Inspector General investigation into ALL Oklahoma DHS childcare grants since March 2020

2. Call for a congressional hearing by the House Committee on Oversight and Accountability

3. Demand emergency review of the 78 missing children's cases—why are they all classified as “runaways”?

4. Support criminal referrals for officials who approved grants with conflicts of interest

I expect a written response within 14 days detailing what specific actions you are taking. Oklahoma children deserve representatives who will fight for them, not protect corrupt bureaucrats.

Sincerely,

[Your Name]

[Your Address]

[Your Phone]

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PHASE 2: TRANSPARENCY OFFENSIVE (THIS WEEK)

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FOIA REQUEST #1: HHS - Office of Grants Management

[Copy-paste ready. Mail to: HHS FOIA Officer, 200 Independence Ave SW, Washington DC 20201]

FREEDOM OF INFORMATION ACT REQUEST

Date: [Today’s Date]

To: U.S. Department of Health and Human Services

Office of Grants Management

FOIA Officer

200 Independence Avenue SW

Washington, DC 20201

Re: Oklahoma DHS Child Care Development Fund Grants (March 2020-Present)

Pursuant to the Freedom of Information Act (5 U.S.C. § 552), I request copies of the following records:

1. All grant applications, awards, and amendments for child care development funds awarded to Oklahoma Department of Human Services from March 1, 2020 to present

2. All monitoring reports, site visit notes, and compliance reviews for Oklahoma DHS child care grants during the same period

3. All correspondence between HHS and Oklahoma DHS regarding the $1.6 million repayment demand referenced in State Auditor Cindy Byrd’s investigation

4. All records related to the $2.1 million grant awarded to an applicant married to the former Oklahoma Human Services Director of Child Care Services, including conflict-of-interest disclosures

5. All corrective action plans, suspension notices, or penalty assessments issued to Oklahoma DHS or its sub-grantees from March 2020 to present

I request a waiver of all fees as this information is in the public interest and will contribute significantly to public understanding of government operations. The requested information concerns serious allegations of fraud and child endangerment.

If my request is denied in whole or part, I ask that you justify all deletions by reference to specific exemptions. I expect a response within 20 business days as required by statute.

Sincerely,

[Your Name]

[Your Address]

[Your Email]

[Your Phone]

WHY THIS MATTERS: This FOIA will expose whether HHS knew about the problems and did nothing—or whether DHS hid the fraud from federal monitors.

STATE RECORDS REQUEST #2: Oklahoma DHS

[Oklahoma Open Records Act request - mail to: Oklahoma DHS, 2400 N Lincoln Blvd, Oklahoma City, OK 73105]

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OKLAHOMA OPEN RECORDS ACT REQUEST

Date: [Today’s Date]

To: Oklahoma Department of Human Services

Records Custodian

2400 N Lincoln Boulevard

Oklahoma City, OK 73105

Re: Missing Children and Child Care Grant Records

Pursuant to the Oklahoma Open Records Act (51 O.S. § 24A.1 et seq.), I request copies of the following records:

1. Complete case files for all 78 children currently classified as missing from DHS custody, including:

• Initial placement records

• All incident reports filed regarding the child’s disappearance

• All communications with law enforcement

• Current search status and efforts

2. All internal communications, memos, or reports regarding the State Auditor’s finding of $93.4 million in questioned child care costs

3. All conflict-of-interest disclosure forms for child care grant applicants from March 2020 to present

4. All documentation related to the $2.1 million grant award referenced in the State Auditor’s report, including the relationship between the applicant and DHS staff

5. All corrective action plans, warning letters, or enforcement actions taken against the Family Center for Juvenile Justice from January 2020 to May 2024

These records concern matters of significant public interest involving the safety of children and stewardship of federal funds. I request a waiver of fees as disclosure will primarily benefit the public.

If any portion of this request is denied, please cite the specific statutory exemption and provide all reasonably segregable portions.

I expect a response within the timeframe required by Oklahoma law.

Sincerely,

[Your Name]

[Your Address]

[Your Email]

[Your Phone]

WHY THIS MATTERS: State records will show WHO made the decisions to classify children as “runaways,” WHO approved the conflict-of-interest grant, and WHO ignored warnings about the detention center.

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PHASE 3: PUBLIC COMMENT WARFARE (ACTIVE NOW)

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CRITICAL: HHS has TWO open comment periods DIRECTLY relevant to this scandal!

COMMENT #1: “Restoring Flexibility in the Child Care and Development Fund”

DEADLINE: February 5, 2026 (4:59 AM UTC)

URL: Restoring Flexibility in the Child Care and Development Fund

“COMMENT TEMPLATE (HHS is legally required to consider this):”

“I oppose any ‘flexibility’ that reduces oversight of Child Care and Development Fund grants. Oklahoma’s recent scandal demonstrates why strict monitoring is essential:

• State Auditor found $93.4 million in questioned costs for ONE fiscal year

• 20 of 73 sampled grant recipients no longer operating

• $2.1 million awarded in a conflict-of-interest scheme now under criminal investigation

• Federal authorities already demanded $1.6 million in repayments

• 78 children missing from state custody during the same period

‘Flexibility’ in Oklahoma meant fraud. DHS failed to establish strong guidelines, failed to conduct financial monitoring, and ‘bad actors were able to game the system at taxpayers’ expense’ (State Auditor Cindy Byrd).

Before HHS grants more flexibility, it must explain:

1. Why oversight of Oklahoma DHS ended when the system was still broken

2. What monitoring failed to catch nearly $100 million in fraud

3. How 78 children can go missing from a recently ‘reformed’ system

Strengthen oversight. Protect children. Reject this rule.”

COMMENT #2: “Nondiscrimination on the Basis of Disability in Programs or Activities”

DEADLINE: January 21, 2026 (4:59 AM UTC) - URGENT!

URL: Regulations.gov

“COMMENT TEMPLATE:”

“Oklahoma’s juvenile detention abuse scandal shows why strong nondiscrimination protections are essential for children with disabilities in state custody.

The Family Center for Juvenile Justice documented 324 uses of physical force and 474 room confinements between April 2021-May 2022. Youth were confined 22+ hours daily—nearly double the legal limit. The facility operated with broken windows, holes in walls, and an unlocked medication cabinet.

Despite five corrective action plans, Oklahoma granted a permanent license in February 2024. Two months later, rape incidents were reported. Federal lawsuit now names 21 victims.

Many children in DHS custody have disabilities. They were:

• Confined in illegal conditions

• Denied adequate medical care

• Subjected to sexual abuse by staff

• Ignored by state regulators who knew about violations

This rule must explicitly cover children in state custody and require:

1. Immediate investigation when facilities receive multiple corrective action plans

2. License suspension for ongoing violations

3. Independent disability rights monitors with enforcement power

Vulnerable children cannot wait for states to ‘self-correct.’”

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PHASE 4: GROUP MOBILIZATION

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FOR YOUR PRECINCT COMMITTEE:

“RESOLUTION LANGUAGE (bring to next meeting):”

“WHEREAS, Oklahoma Department of Human Services has lost track of 78 children in state custody, with 39 missing for over three months; and

WHEREAS, State Auditor Cindy Byrd identified $791 million in questionable childcare fund management, including $93.4 million in questioned costs for fiscal year 2023 alone; and

WHEREAS federal authorities have demanded repayment of $1.6 million with more expected, indicating systematic fraud; and

WHEREAS a $2.1 million grant was awarded to an applicant married to a DHS director in a conflict of interest now under criminal investigation.

NOW THEREFORE BE IT RESOLVED that the [Your County] [Republican/Democratic] Committee demands:

1. Immediate HHS Office of Inspector General investigation into all Oklahoma DHS childcare grants

2. Congressional hearing on premature termination of federal oversight

3. Criminal prosecution of all officials involved in grant fraud

4. Emergency review of all 78 missing children's cases

BE IT FURTHER RESOLVED that this Committee will not endorse any candidate for state or federal office who fails to demand accountability for this crisis.”

FOR YOUR CHURCH/COMMUNITY GROUP:

COORDINATED CALL DAY: Pick a date, get 20+ people to call the same representatives at 10:00 AM. Flood the phone lines. Use the script from Phase

1.LETTER-WRITING PARTY:

• Provide copies of the email template

• Bring envelopes, stamps, addresses

• Mail 50 letters in one night

• Bonus: Send copies to local media

SOCIAL MEDIA STORM:

Hashtags: #OklahomaMissingChildren #DHS Scandal #Where Are The78

Sample posts:

“Oklahoma celebrated ending federal oversight of child welfare. Now 78 children are missing and $791 million is unaccounted for. This is what happens when politicians prioritize PR over protection. #OklahomaMissingChildren”

“State Auditor found nearly $100M in fraud in ONE YEAR of Oklahoma DHS grants. How many children could have been saved with that money? How many are still missing because of this corruption? #WhereAreThe78”

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PHASE 5: ELECTORAL ACCOUNTABILITY

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PRIMARY TARGETS (2026 Election Cycle):

FEDERAL:

All Oklahoma House seats up for election in November 2026. Track which representatives:

• Ignore your calls/emails

• Refuse to demand HHS-OIG investigation

• Defend DHS or downplay the crisis

STATE:

Research which Oklahoma legislators:

• Voted to end federal oversight prematurely

• Approved DHS budget without accountability measures

• Received campaign contributions from nonprofits involved in grant fraud

LEVERAGE POINTS:

1. Primary challenges: Find candidates willing to run on child protection platform

2. Endorsement threats: “We will not support any candidate who protects corrupt bureaucrats over missing children”

3. Voter guides: Publish which officials acted vs. which stayed silent

4. Town hall confrontations: Show up with specific questions about the 78 missing children

ACCOUNTABILITY RESEARCH:

• Check FEC contributions: Did grant recipients donate to campaigns?

• Review State Ethics Commission: Any conflicts of interest?

• FOIA legislative correspondence: Did legislators know and ignore warnings?

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LOCAL NEWS TIP TEMPLATE:

“I have documentation of systematic failures in Oklahoma DHS that resulted in 78 missing children and $791 million in mismanaged federal funds.

State Auditor Cindy Byrd’s investigation found $93.4 million in questioned costs for ONE fiscal year. Federal authorities already demanded repayment of $1.6 million. A $2.1 million grant was awarded in a conflict-of-interest scheme now under criminal investigation.

This affects thousands of Oklahoma children in state custody and millions in taxpayer dollars. I can provide:

• State Auditor reports with specific findings

• Federal grant records

• Missing children's data from NCMEC

• Timeline showing failures occurred immediately after federal oversight ended

The public deserves to know why Oklahoma declared victory over child welfare reform while children were disappearing and money was vanishing.”

INVESTIGATIVE REPORTERS:

Contact investigative teams at Oklahoma City and Tulsa TV stations. This story has:

• Missing children (human interest)

• Financial fraud (accountability angle)

• Criminal investigations (breaking news)

• Federal vs. state conflict (political drama)

CONGRESSIONAL OVERSIGHT REQUESTS:

House Committee on Oversight and Accountability

How to request investigation: Contact your representative (numbers in Phase 1) and specifically request they ask the committee to investigate Oklahoma DHS.

HHS Office of Inspector General

File complaint: Submit a Hotline Complaint

Phone: 1-800-HHS-TIPS (1-800-447-8477)

Submit detailed timeline with dollar amounts from this plan.

GAO Investigation Request

Any member of Congress can request GAO investigate. Ask your representatives to request GAO review:

• Why HHS ended Oklahoma oversight prematurely

• What monitoring systems failed to detect $93.4M in fraud

• Whether other states have similar undetected problems

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CRITICAL DEADLINES & BATTLE CALENDAR

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IMMEDIATE (Next 48 Hours):

• Make representative calls (Phase 1 script)

• Submit public comment on disability nondiscrimination rule (DEADLINE: Jan 21, 2026)

THIS WEEK:

• Send FOIA to HHS

• Send Open Records request to Oklahoma DHS

• Email follow-ups to all representatives

BY FEBRUARY 5, 2026:

• Submit public comment on Child Care Development Fund flexibility rule

ONGOING (Next 30 Days):

• Organize letter-writing party

• Schedule coordinated call day

• Bring precinct resolution to next committee meeting

• Contact local investigative reporters

LONG-TERM (Through 2026):

• Track representative responses (or lack thereof)

• Research primary challengers

• Build voter accountability guides

• Monitor criminal investigations

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VICTORY CONDITIONS

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IMMEDIATE WINS:

• HHS-OIG opens investigation

• Congressional hearing scheduled

• Criminal charges filed in grant fraud case

• Emergency review of 78 missing children cases

SYSTEMIC WINS:

• Oklahoma DHS director resigns or is fired

• Federal oversight reinstated

• New grant monitoring requirements implemented

• Every missing child located or case transferred to FBI

ULTIMATE WIN:

• Officials who enabled this crisis to lose their jobs (election or prosecution)

• Federal law requiring independent monitors for state child welfare systems

• Oklahoma becomes the example of what happens when you prioritize children over bureaucrats

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SHADOW PATRIOT

Project Milk Carton | projectmilkcarton.org

“Seventy-eight children are missing. Nearly $800 million

is gone. And bureaucrats are calling it ‘flexibility.’

Make them answer for every missing child.

Make them account for every missing dollar.

Make them fear the informed public.

DO SOMETHING. NOW.”

What You Can Do Next

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