Khadijah Ghafur sat silently in hijab and correctional jumpsuit, facing a judge, a lengthy prison term and the complete collapse of her elaborate plans. With a boundless determination that opened eyes and pockets, Sister Khadijah had built a chain of state-funded charter schools that stretched from Sunnyvale to Southern California. Now they were closed, and the self-styled civil rights activist from Selma, Ala., was convicted of stealing tens of thousands of dollars of public money meant for kids. Superior Court Judge R.L. Putnam got right to the point. He sentenced her to 14 years. But even after Ghafur's monthlong trial,...