Initial investigation into the Cary town manager indicates potential criminal activity

North Carolina State Auditor Dave Boliek said Monday that an initial probe by his office's investigative division indicates the potential of criminal activity by former Cary Town Manager Sean Stegall.

Stegall left the position last month after his expenditures came under scrutiny.

Boliek said he shared the findings during a meeting with Wake County District Attorney Lorrin Freeman and the State Bureau of Investigation Director.

The auditor's review included a "procurement card analysis" of several transactions that were potentially fraudulent.

"The key to finding and getting to the bottom of any misappropriation is a long term pattern of spending, and the exact items, for example, were services that are purchased with public dollars, and whether those items and services are purchased with a legitimate need of the town," Boliek told WRAL News.

Stegall didn't immediately respond to multiple requests for comment. 

“As we move forward with our own review into the town of Cary, the state auditor’s office will continue working with law enforcement officials and the Wake County district attorney’s office on this matter,” Boliek said in a statement. “Our goal is to be as useful as possible in providing information that may support any prosecution of criminal activity.”

Boliek was not able to give a timeline when we may learn more. 

Freeman told WRAL News on Monday she would review the reports shared by Boliek's office.

“If our review of this report from the state auditor leads to the opening of a criminal investigation, that will be done by a request to the SBI from me and Cary Chief of Police Terry Sult," Freeman said in a statement. "As in all matters of public interest, we will exercise all due diligence in examining this matter.”

Cary Mayor Harold Weinbrecht said potential violations will be taken seriously.

“Following the laws that govern us, as a town and as individuals, is fundamental to everything we do," Weinbrecht said in a statement. "When one person violates the laws meant to protect taxpayers, it contradicts our commitment to serve our community with integrity. We will address any violations consistent with legal obligations and our values.”

Weinbrecht noted that the town has implemented transparency measures, including council work sessions, improved documentation processes and a public records portal to enable people to stay informed. "We'll continue being transparent about what we learn and what actions we take as a result,” Weinbrecht said.

WRAL News reached out to members of the town council for comment.

Councilwoman Sarika Bansal said she has no other information to share at this time.

We have not heard back from the other councilmembers. 

Boliek's office has been reviewing the matter since last month and has been communicating with the Wake County District Attorney’s Office for the past two weeks.

Stegall was placed on administrative leave in November 2025 after a public records request revealed a series of major expenses that much of the town council said they were unaware of, including the mayor.

Stegall resigned just one month later in December 2025 following allegations of over-the-top spending and inadequate financial reporting, lack of transparency with the full council, staff and citizens and creating an unhealthy work environment.

Documents obtained by WRAL indicate that Stegall spent thousands of dollars at a four-star hotel during a conference in Austin, Texas, in 2023.

Records also indicate that the town bought land near Cary Elementary School, totaling more than $1 million, against the recommendation of the assistant town manager, and that not every town council member knew of this transaction.