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Funds Said Misused

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Raleigh, NC--After a two-month investigation, the North Carolina Department of Public Education has found that Wake County school officials misused some $490,000 in federal Chapter 1 funds during the past two school years.

Last week, state officials told the school board that $489,750.64 in local funds must be repaid within 30 days to the state.

During the 1982-83 and 1983-84 school years, the report found, 34 teachers who should have been paid with local funds were paid with the Chapter 1 funds. The teachers taught all students, not only those eligible for the Chapter 1 programs.

Board members met last week "to consider all aspects of the competence and performance of its public officers and employees" in connection with the use of public funds and the Chapter 1 program, according to a statement released by the board. A written report is expected to be made public this week.--Bill Cohen

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