Audit mayhem goes to state

After weeks of suspense and public scrutiny, the University has turned its internal review of the Historically Minority Colleges and Universities Consortium’s finances over to the state auditor’s office for further investigation.

The consortium, funded by the N.C. General Assembly and administered by NCCU, was created to close the achievement gap between black and white students with a variety of supplemental education programs.

One or more former NCCU employees are suspected of embezzling up to $200,000 from the consortium.

In a letter to the N.C. Central University campus, Chancellor Charlie Nelms  stated that the Office of the State Attorney General and the State Bureau of Investigation had been alerted that an “unauthorized, private bank account in the name of the Consortium” had been uncovered during the administration’s internal audit.

Nelms wrote in the letter that the University needed to focus its resources on education and to leave the “forensic accounting to those expert in the field.”

According to the Durham Herald-Sun, Nelms wrote in a March 29 letter to state officials that evidence pointing to “theft, embezzlement and/or misuse of state funds by a former NCCU employee, and possibly others” had been discovered and that “substantial funds may have been diverted into this Bank of America account.”

The University froze the account upon its discovery and is not sure how much money may have been taken.

Some NCCU students say they are concerned and confused over the situation.

Business sophomore, Devon Owens said that she had heard that money had been misplaced but that she had not heard many facts.

“I heard it was affecting financial aid,” said Owens. “Somebody told me that a lot of people were going to have their grants cut by $2,000.”

Owens said that she had “looked over” Nelms’s letter to the campus but said she didn’t read it because she knew there was an investigation into missing money.

Student posts on Eagle’s Nest, the University’s “virtual water cooler” concerning the Consortium were mixed. Some posts had a strong reaction to the news while others took a “wait and see” approach.

On Feb. 16 thayes2 wrote that Nelms was continuing “a long tradition of sweeping it under the rug.”

“It’s a crime and all involved should be prosecuted and sent to prison,” thayes2 wrote.

Some students posted threads that warned against Eagles jumping to
conclusions. Others said they’re just keeping tabs on the situation.

“The University should be more alert of all activities, little and big, that pertain to finances,” said Owens. “It’s a way to clean up its image.”

“It doesn’t necessarily make people not to want to come here.”

“Most high school students aren’t focusing on this,” she said.

“Bear in mind that journalists are known for seeking out dirt – sometimes additional dirt that’s not there.” wrote awill237 on Feb. 17. “Is that naïve, or is that not allowing myself to be incited by the N&O article?”

On March 10 aoakes wrote, “Anyone ever thought of some type of rally to request informat[ion] from faculty and staff?”

To which thayes2 wrote, “I think we should definitely be more proactive in the quest for answers.”

Owens said she was confused about the management of the consortium and why it was not better managed.

“Why was it not found out before?” she said. “They should’ve noticed this much money was missing early on.”Owens agreed with the posts that students should be better informed of such situations concerning the University’s image.

“The University should be more alert of all activities, little and big, that pertain to finances,” said Owens. “It’s a way to clean up its image.”

“I think it affects accreditation more and receiving future grants and assistance may make people iffy about it,” she said. “It doesn’t necessarily make people not to want to come here.”

“Most high school students aren’t focusing on this,” she said.