07-16-2020, 07:37 PM
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#524
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Franchise Player
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Pretty gross abuse. Does not help addicts nor the injection site.
https://calgary.ctvnews.ca/funding-e...sing-1.5027078
The Alberta government has ended an agreement with the organization that runs Lethbridge's supervised consumption site after it said an audit revealed millions in misspent funds.
Deloitte's report found a number of serious issues including $13,000 in interest from ARCHES bank accounts being used for parties, staff retreats, entertainment and gift cards, the annual salary of one senior executive exceeding $300,000 when it should have been capped at $80,000 and more than $1.6 million that is unaccounted for due to missing expense reports from 2017 to 2018.
The audit also found:
- More than $4,000 was used to fund a trip for senior management to attend a conference in Portugal
- More than $7,500 spent on management retreats including meals and mileage
- Thousands in unverifiable travel expenses, including trips charged to company credit cards that were not recorded
- Thousands of dollars' worth of gift cards to multiple businesses, including to a company owned by a senior executive's spouse
- Other conflict of interest issues such as where a senior executive's family member was hired and earned a salary of $9,900
- The number of staff members at ARCHES exceeded the 126 allowed as per the agreement; the actual number of employees could not be verified
- "Proper personal conflict of interest declarations were not recorded when related individuals or vendors were hired or utilized," the province says. "Vendors were repeatedly secured in secrecy with a lack of transparency and accountability. No petty cash reconciliations have been completed."
It adds law enforcement has been notified about the situation.
"Due to missing funds and unverifiable transactions, as well as allegations, which could not be investigated in the scope of this audit, government will consult with law enforcement to determine whether further investigation is warranted."
Even though ARCHES' site has been closed as a result, the government says a temporary overdose prevention site has been set up to help those with addictions.
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