UNC School of the Arts Official Removed for Getting Improper Benefit, Audit says | Eastern North Carolina Now

    Publisher's note: The author of this post is Dan Way, who is an associate editor for the Carolina Journal, John Hood Publisher.

    Carin Ioannou stepped down from her position as vice chancellor for business affairs at UNC School of the Arts in September, after school officials learned she steered a construction contract to a firm that employed her husband, a state audit found.

    "It was an 'at will' separation, the specifics of which are part of her personnel file, which we cannot discuss," University Counsel David Harrison said in a written statement provided to Carolina Journal by the school, located in Winston-Salem.

    "The vice chancellor was cited for her work on a renovation contract of less than $30,000. Her mistake was not disclosing the appearance of a conflict of interest, and she received appropriate disciplinary action. There was not financial harm [sic] to the institution," Harrison's statement said.

    Neither the university's statement to CJ nor its response letter to the Auditor's Office revealed the disciplinary action, or whether Ioannou received a separation package.

    The school declined to name the company that benefited from Ioannou's misdeed, referring the question to the state Auditor's Office. The Auditor's Office said it doesn't name vendors involved in its investigations and referred the question back to the school.

    School of the Arts Chief of Staff Jim DeCristo was named acting vice chancellor for business affairs in September, when Ioannou left.

    The report released Tuesday said someone filed a complaint with State Auditor Beth Wood's office that Ioannou "negotiated and altered bid and quote terms to ensure that a company employing her husband received a contract."

    By abusing her authority, and violating university conflict-of-interest policies, Ioannou "positioned herself to receive an indirect financial benefit from a University transaction she negotiated and approved," the audit report stated.

    The matter began in September 2016 when Ioannou asked an associate vice chancellor for a quote for lobby renovation at the Stevens Center. A company that had done work for the school submitted a bid. Ioannou said it was too high, even though she had no training or experience in engineering or construction, the audit report said.

    Ioannou then began negotiations, resulting in a $28,800 contract going to her husband's employer.