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Event Brief

Knoxville nonprofit flagged for $76K in questionable spending

State investigators found $76,585.57 in questionable spending at Knoxville nonprofit NSI, including undocumented withdrawals and transfers.
WHO: Tennessee Comptroller’s Office; Next Step Initiative; former executive director; District Attorney General of the 6th Judicial District
WHAT: An investigation found at least $76,585.57 in questionable financial activity at Knoxville nonprofit Next Step Initiative, including undocumented cash withdrawals, digital transfers, and payroll advances.
WHEN: Apr 23, 2026 at 3:24 PM ET
WHERE: Knoxville, Tennessee
WHY: The Tennessee Comptroller’s Office reviewed NSI’s finances after missing documentation and unallowable expenses were identified during fiscal monitoring.

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