Audit Finds NC A&T Wrongfully Awarded $5M In Aid To Students With Personal Or Professional Ties To The University – AfroTech
North Carolina Agricultural and Technical State University (N.C A&T) was investigated for improperly distributing financial aid to some students.
The News & Observer reports that a probe was conducted into N.C. A&T’s Division of Business and Finance for distributing more than $5 million in financial aid from the school’s Administrative Recovery Funds between 2017 and 2025.
The Office of the State Auditor found that more than $780,000 of that assistance was given to students “who were university employees, family members of university employees, or had a direct personal or professional connection to N.C. A&T,” according to the outlet. The fund consists of student fees for services like dining, housing, and parking.
It was leaders at the Historically Black College and University who flagged the “improper conduct” to the state auditor’s office in fall 2025 after learning that a student related to a university employee had inquired about financial aid that had been promised.
The report also cites several other instances of students related to university employees receiving financial aid. The nephew of the university’s former executive director of the Real Estate Foundation allegedly received $73,063 in financial aid. Separately, a daughter of a member of the Center for Teaching Excellence External Advisory Board received $23,052 in financial aid.
Furthermore, the report mentions that the son of the former associate vice provost for enrollment management was allowed to remain enrolled at the university despite having an outstanding account balance and received a $10,000 scholarship, which was five times the award budget.
“The influence and actions by former senior officials, combined with the lack of internal controls at N.C. A&T, led to several instances of preferential treatment that resulted in personal advantage and gain,” State Auditor Dave Boliek wrote in the report, per the News & Observer. “Public university dollars that could have benefited other students or programs were instead directed toward those who had the benefit of having a personal connection with senior officials.”
Chancellor James R. Martin II wrote in an email to students:
“The amount of financial assistance a student receives should never be a function of who they know. We award assistance based on need and merit — not on relationships or as favors.”
The report requests that the university assign financial aid decision-making responsibilities to a different office, establish stricter policies for funds, require documentation for financial award decisions, and report to the Board of Trustees when family members of the university receive financial aid.
“If the University does not take corrective action, it could be at greater risk of additional misuse of funds, noncompliance with financial aid regulations, and reputational risk, leading to loss of public and private donor support,” the report states, per the News & Observer.
Martin II has affirmed that the school will conduct independent audits of financial aid award processes, enforce mandatory training for financial aid staff, and issue policies to govern the management of internal financial awards.
He’s also said the Division of Business and Finance is no longer able to award financial aid. The university will also “immediately discontinue” awarding scholarships to students to whom it has wrongfully awarded. Senior officials who had wrongly allocated funds are no longer employed at the university, per the News & Observer.
“N.C. A&T identified this problem through our own internal audit process, and I personally contacted State Auditor Boliek because full transparency demands nothing less,” said NC A&T Chancellor James R. Martin II, in a press release.
“I am grateful to Auditor Boliek and his team for the thoroughness and professionalism of their review. Our students deserve to know that every dollar they pay is managed with integrity, and the corrective actions we have taken reflect that commitment. We welcomed the Office of the State Auditor’s review, we support the referral to the Guilford County District Attorney’s Office and State Bureau of Investigation, and we will continue to cooperate fully,” he continued.
