This AP story has some very interesting implications for State Auditor Beth Wood.

Her account of why she terminated an investigation into Mary Easley’s NC State job is now being directly contradicted by the man who was doing the audit. Just a he said-she said, except for the fact that Wood has testified before a federal grand jury on the topic.

Wood says she told the grand jury that she pulled the plug on the investigation after auditor Frank Perry told her that the feds were investigating the same thing. Perry now tells the AP that story is “a misunderstanding at best and a lie at worst.”

Perry maintains he did not know about the federal probe until May, long after Wood scuttled the state Easley probe in March, weeks after Wood took office. Perry left the state auditor’s office in April.

This one won’t be going away soon.