Executive Summary
- Only Hope WNC filed for Chapter 7 liquidation bankruptcy on Dec. 17, 2025.
- Founder Michael Lee Absher faces charges of human trafficking and child sexual exploitation.
- Bankruptcy filings allege over $200,000 in grant funds were used improperly.
- Absher is seeking a reduction of his $2.2 million bond with a hearing set for Feb. 26, 2026.
HENDERSON COUNTY, N.C. — Only Hope WNC, a non-profit organization dedicated to housing homeless youth in Henderson County, has officially filed for Chapter 7 bankruptcy, signaling a permanent cessation of operations. The financial collapse follows a series of severe criminal charges brought against the organization’s founder and former executive director, Michael Lee Absher, who stands accused of human trafficking and multiple child sex offenses.
According to federal bankruptcy records filed on December 17, 2025, the organization has initiated liquidation proceedings. The Voluntary Petition for Non-Individuals Filing for Bankruptcy indicates that Only Hope WNC holds total assets of $260,306.71 against total liabilities of $371,884.69. Unlike Chapter 11 bankruptcy, which allows for reorganization, a Chapter 7 filing necessitates the selling off of assets to pay creditors and effectively dissolves the entity.
Court documents reveal significant financial irregularities within the organization. The filing states that more than $200,000 in restricted grant funds were "used improperly" over an eight-month period. The documents note a "possible claim against [the] former Executive Director," referring to Absher. This financial disclosure aligns with the timeline of Absher’s removal from the organization in August 2025, shortly after his initial arrest.
Law enforcement officials report that Absher, a former Henderson County School Board member, faces a litany of charges. Following an arrest in July 2025 on two counts of statutory sexual offense, additional investigations led to further indictments. In October 2025, a Henderson County grand jury indicted Absher on three counts of human trafficking of child victims. Court records allege that three minors were "held in sexual servitude." District Attorney Andrew Murray confirmed additional charges including third-degree sexual exploitation of a minor and indecent liberties with a child.
Absher’s legal history includes a 2017 arrest related to underage drinking at the shelter, for which he was later acquitted in 2018. However, the current charges are far more severe. Defense filings indicate that Absher is currently seeking a reduction of his $2.2 million bond, with a hearing scheduled for February 26, 2026.
It is important to note that all individuals are presumed innocent until proven guilty in a court of law.
Organizational Dissolution and Legal Outlook
The filing of Chapter 7 bankruptcy by Only Hope WNC represents the final stage of institutional collapse often seen when leadership is implicated in severe criminal conduct. By opting for liquidation rather than reorganization, the board has effectively conceded that the non-profit’s reputation and operational viability are unrecoverable. The inclusion of allegations regarding the misuse of grant funds in the bankruptcy petition suggests that prosecutors may use these financial records to build a parallel case regarding financial fraud or embezzlement, potentially adding to the already substantial criminal liability facing the former executive director.
