NC takes over finances of tiny, historic town

This is an archived article and the information in the article may be outdated. Please look at the time stamp on the story to see when it was last updated.

RALEIGH, N.C. — North Carolina officials are taking financial control of one of the country’s first towns established by freed slaves.

The state’s Local Government Commission is stepping in to take over the accounts and assume responsibility for Princeville’s finances. Officials in the state treasurer’s office say town leaders were warned of problems for two years.

Officials say Princeville is in danger of defaulting on a $310,000 loan to replace its water meters and has failed to comply with bookkeeping requirements.

The town was settled by freed slaves in 1865 and is one of America’s oldest black-founded chartered towns. Allegations of mismanagement have been around for years. About 90 percent of the town was submerged under 20 feet of water from Hurricane Floyd in 1999.

Source: The Associated Press

Notice: you are using an outdated browser. Microsoft does not recommend using IE as your default browser. Some features on this website, like video and images, might not work properly. For the best experience, please upgrade your browser.