Proctor is a former town located in Swain County, North Carolina, U.S.A. It was on Hazel Creek. It is named after Moses Proctor, first white settler to this area. The town was flooded by Fontana Lake, which was created by the construction of the Fontana Dam, and remains submerged unless lake levels are very low.
Moses Proctor was the first settler of Swain County.
It's neither definitely correct nor definitely incorrect because the text only says he was the first white settler of "this area", it's not clear if he was the first settler overall, or if he was even the first settler of Swain County. I don't think the system can understand this kind of complex logic, so it just saw "first settler" and "Moses Proctor" and judged it to be correct.