Following several years of declining enrollment, accreditation turmoil, and financial challenges, Saint Augustine’s University (SAU) in Raleigh, North Carolina, filed for bankruptcy in April. At that time, the HBCU also decided to end its ongoing legal battle regarding its status with the Southern Association of Colleges and Schools Commission on Colleges (SACSCOC). The university’s recent May 2026 graduates were the last students to receive accredited degrees from the institution.
In a recent bankruptcy meeting, SAU’s board members were questioned on the university’s current financial state, which includes more than $8 million in outstanding funds to various federal agencies, according to a report from WRAL. The university is reportedly considering selling some of the land of its 105-acre campus.
An attorney representing multiple federal agencies, including the Department of Education and the Internal Revenue Source, asked SAU Chairwoman Sophie Gibson to explain how the HBCU spent those funds. Gibson said she believes the money was not spent with malicious intent, but instead used to make payroll.
During this meeting, SAU’s bankruptcy attorney, Ciara Rogers, said the HBCU now believes it can pay back its secured creditors. In January, SAU made a deal with Self-Help Venture Fund, which allowed the school to stay open and address immediate financial issues. Going forward, the HBCU plans to offer certification and apprenticeship programs as a revenue source.
According to Gibson, SAU employs about 25 people and some contractors, who are currently working on improving security and installing fencing on campus.
I could have spent my lifetime skipping out on the experience at St Augustine’s University. This campus was very cliquish, it was like high school part 2. A lot of the females students cared more about their weaves, how many boys could look at them and their outfits more than their education. A lot of students were from the hood, but many of them refused to leave their hood and high school ways behind. Many fights broke out of campus and there were times when the male students would disrespect the female students. The hood students from DC (And NJ too) thought that they were actually better than the students who were from NC, but yet they chose to attend school there, I guess they had no other choice, since St Aug was a second chance school. The DC students, especially the females thought they were the best dressed ones around. They mocked the fashion of the NC students daily. Many of the students had no respect for the professors, their peers or even themselves. The students would act downright disrespectful to the ladies during staged pageants/events by yelling out rude remarks. The food was served to students was below average and there were no kitchens in the dorms where students could cook meals. The professors and staff weren’t too bad. However, St Augustine’s University failed to link students with internships and jobs in their field of study, so many graduates were left with tons of debt and no good jobs. Many students complained about St Aug mismanaging their financial aid/refund checks. Some of the students seemed illiterate as well. Colorism, STDS, and down low behavior among the male students was sickening. This is NOT the HBCU experience you would see on TV.