Former Pilot Mountain Town Manager Michael Boaz has been indicted on a Class F felony charge following an investigation by the North Carolina Office of the State Auditor into alleged misuse of taxpayer funds.
At a Monday afternoon press conference in Greensboro, State Auditor Dave Boliek announced the indictment, calling the alleged spending “plain and simple fraud.” According to Boliek, the indictment stems from an investigation conducted by the Office of the State Auditor in partnership with the NCSBI (North Carolina State Bureau of Investigation) and district attorneys across North Carolina.
The investigation reviewed 793 credit card transactions with the total of more than $317,000 incurred by Boaz between January 2022 and November 2024. State auditors alleged multiple purchases were personal and unrelated to the town’s expenses.
Within the expenses identified in the report were a $419 hotel charge at The Westin Seattle, during what auditors described as a family vacation connected to an Alaskan cruise. There were also approximately $2,300 in Visa gift card purchases, more than $10,000 in food-related purchases, over $1,500 in DoorDash transactions, and a $276 ammunition purchase from Lucky Gunner.
Boaz was indicted under North Carolina General Statute 14-92, embezzlement by a public officer. Boliek said public officials entrusted with taxpayer money are held to a higher standard because of their fiduciary responsibility to the public.
“When you take a job as a city manager and you are entrusted with a fiduciary duty to look after taxpayer money in service of the community, you are held to a high standard of trust,” Boliek said during the briefing.
Boliek emphasized that the investigation remains ongoing and suggested additional developments could still come.
“It is fair to say that just because there has been an indictment issued that the work still continues in Pilot Mountain,” Boliek said. “We’re not necessarily done.”
The investigative report also identified concerns beyond the allegedly fraudulent purchases. Auditors said numerous transactions lacked receipts or any justification, making it difficult to determine whether all expenditures were legitimate. The report alleged Boaz approved his own travel reimbursements and used a signature stamp of the mayor’s signature to sign checks, bypassing procedures or safeguards.
During the press conference, SBI chief of staff Brent Culberson praised the partnership between the SBI and the auditor’s office, particularly in protecting smaller municipalities that may struggle to recover financially from losses involving public funds.
“These small towns don’t have the capacity to recover from a loss like this,” Culberson said.
Boliek said the investigation reflects a broader shift within the auditor’s office toward increased use of technology and artificial intelligence in detecting potential fraud. He said data analytics allowed investigators to review hundreds of transactions and flag suspicious expenses.
“We have thrown jet fuel on artificial intelligence,” Boliek said, describing how modern analytics replaced older manual auditing methods. The state auditor also used the event to warn municipal leaders across North Carolina about the importance of oversight and accountability.
“If you really are wondering whether you’re micromanaging or not, I would err on the side of micromanaging over not asking questions,” Boliek said, encouraging mayors and city council members to closely review municipal finances.
Pilot Mountain officials have not yet publicly responded to the indictment. According to deputy state auditor Beth Ray, the town has not yet received the full investigative report because of the ongoing criminal proceedings, though state officials said they have maintained ongoing conversations with town leadership throughout the investigation.
Boliek also confirmed the Office of the State Auditor has additional active investigations involving municipalities across North Carolina, including previously announced investigations in Cary and Rocky Mount.