The News & Observer

Feb. 12, 2008

Audit cites fraud by NCCU official

A high-ranking official at N.C. Central University bilked the university out of more than $36,000 in improper or false honoraria and grant payments, state Auditor Les Merritt said today said in a special audit report.

The audit found that the university's assistant provost and vice-chancellor of academic affairs improperly authorized payments of federal grant funds to students and others for work that was never done.

The official was not named in the audit, but according to the NCCU Web site, Franklin Carver is the university's assistant provost and associate vice-chancellor of academic affairs.

According to the audit, the official told the people receiving the money to kick most of it back to him. The official had apparently set up the scheme so he could make delinquent credit card payments, according to the audit. The audit also found that the official had a romantic relationship with a student, which he did not report in violation of university policy.

The university has removed the individual from administrative responsibilities, according to the university's response.

"North Carolina Central University has a solid reputation, and I hope that the actions of one individual do not taint the positive work they are doing to educate North Carolinians," Merritt said in a written statement.

"Through the course of this investigation, the incoming chancellor, Dr. Charles Nelms, has been supportive and proactive in drilling down to the root-cause of these findings. I have full confidence in Chancellor Nelms' ability to put these issues in the past and lead N.C. Central forward with continued academic excellence in the coming generations."