An attorney said Operation Sickle Cell was concerned about privacy.
Jonathan Charleston said the Fayetteville nonprofit turned over bank statements and other financial records as requested by state auditors.
But when staffers from Auditor Les Merritt's office asked to remove its computers, it objected.
The computers also contain medical records from HIV-positive clients who have received counseling, which are protected by federal law. They also contained e-mails with attorneys.
A Cumberland County judge ordered the nonprofit to allow access to the computers, but he also required the auditor's office to keep those records confidential.
In a statement, Rep. Mary McAllister, who is executive director of Operation Sickle Cell, said she believed the original request "exceeded the scope of authority" given to the auditor's office.
Her complete statement is after the jump.
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STATEMENT OF REP. MARY E. McALLISTER
43rd House District
June 8, 2007
Today, Operation Sickle Cell exercised its constitutional right to challenge a subpoena to produce the agency's computer hard drives for review by the Office of State Auditor, which we believe exceeded the scope of authority granted by statute and risked disclosure of federally protected medical records and attorney-client privileged communications.
Operation Sickle Cell has cooperated with all other requests for information in connection with the Office of State Auditor's review of grants made to our agency by the State of North Carolina and Federal Govern ment. At no time has Operation Sickle Cell refused to cooperate with the Office of State Auditor, except with respect to our requests to have a court determine the extent of the authority of the Office of State Auditor to review federally protected medical records and attorney-client privileged communications.
On June 5, 2007, Operation Sickle Cell made available to the Office of State Auditor accounting records, bank records, personnel files, payroll files, credit card records, asset list, contracts and governing documents. In addition, personnel including the agency's outside auditor have been made available for interview. At no time has the Office of State Auditor questioned the sufficiency of the records or people produced pursuant to the requests made by the Office of State Auditor.
Operation Sickle Cell understands that it must balance its privacy ri ghts and the privacy rights of its patients against the responsibility of the Office of State Auditor to review grants of public funds made to private corporations to ensure that such public funds are used as contemplated by the State. While the court did not grant all of the relief sought, the court acknowledged the sensitivity of the issues raised by Operation Sickle Cell and the need to protect the confidentiality thereof.

