Waste of the Day: Nepotism at NC College
Topline: North Carolina Agricultural and Technical State University awarded $5 million in scholarships “without evidence of merit or need,” some of which were “deliberately funneled” to school employees and their relatives, according to a report by State Auditor Dave Boliek released on April 23.
Key facts: The university collects fees from students for housing, dining and parking. They are supposed to fund administrative costs like facilities and human resources, not scholarships.
But $73,063 was used to help a board member’s nephew cover tuition, the audit found. Another board member’s daughter got $23,052. In total, 24 school employees or their relatives got $238,405 in scholarships.
Another 20 scholarships worth $542,737 went to students with a “personal connection” to a school employee, other than family. The former vice chancellor for business and finance “exerted his authority” to give $49,024 to one out-of-state student and $48,654 combined to two of the students’ friends.
The former associate vice provost’s son was the winner of the school’s Aggie Club Scholarship in 2025. The scholarship was only worth $2,000, but the student somehow received $10,000.
The scholarships were awarded from 2017 to 2025.
University Chancellor James R. Martin II said the school will “make reasonable efforts” to claw back the scholarship money. He also plans to provide new, mandatory training to financial aid staff and hire an independent audit firm to review the school’s scholarship processes.
Search all federal, state and local salaries and vendor spending with the world’s largest government spending database at OpenTheBooks.com.
Critical quote: Boliek told WRAL News that he asked the North Carolina Bureau of Investigation to open a criminal investigation.
"Students got an advantage because of who they knew and who they were connected to," Boliek said. "Money that otherwise could have benefited a different program or student who qualified instead went to those who had the right connection."
Background: North Carolina A&T is the largest historically Black college or university in America with more than 15,000 students. Top officials have reported salaries up to $425,000, according to payroll records provided to Open the Books.
Summary: Regardless of the results of the criminal investigation, some serious changes are needed at North Carolina A&T.
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