Investigation continues into Nunavut women’s shelter

The RCMP says they’re still looking through materials provided by a forensic audit into the YWCA Agvvik’s Qimaavik women’s shelter in Iqaluit. (FILE PHOTO)

The Nunavut RCMP say there is no deadline for concluding their investigation into financial mismanagement allegations at YWCA Agvvik, operator of the Qimaavik women’s shelter in Iqaluit, due to the “amount of materials obtained” in a recent forensic audit.

No charges have been laid as of Oct. 19, but Nunavut RCMP “V” Division spokesperson, Cpl. Henry Coman, said that, “fraud is certainly one area that the RCMP will keep in mind, but we will not be limiting ourselves to that one area only.”

In May, Nunavut’s Department of Family Services initiated a forensic audit of YWCA Agvvik, following an internal audit of the society suggesting financial irregularities, and obtained by CBC and Nunatsiaq News.

Lester Landau, the company that performed the society’s original internal audit obtained by Nunatsiaq News, said in a letter to YWCA Agvvik’s management that “staff were reimbursed for expenses that appear to be personal in nature.”

Some of the personal expenses cited in the audit included tickets for tours of landmarks in London, England, such as Kensington Palace and the Imperial War Museum.

Auditors also noted irregularities in the society’s ledgers stemming from a disorganized system YWCA Agvvik used to issue payments, leading to numerous overdraft charges and bounced cheques.

The auditors also alleged employees at the society were shoring-up those overdrawn accounts with their own money.

YWCA Agvvik’s executive director earned more than $75,000 in addition to a regular salary between 2015-16, due to overtime and “shift replacement pay.”

But since no record was kept of the hours worked, auditors said there was no way to prove the executive director had earned the money.

Nunavut’s Department of Family Services confirmed the completed forensic audit of YWCA Agvvik was handed over to the RCMP’s General Investigation Section in Iqaluit.

But the findings of the report will not be made public, the department said.

“The Department of Family Services is working very closely with the YWCA Agvvik Board of Directors and staff to ensure that services to clients continue, and that Board governance and internal controls are strengthened,” the department said in a written statement to Nunatsiaq News, Oct. 19.

“The Department of Family Services continues to internally investigate concerns that led to the initial audit, and will work with the YWCA Agvvik Board of Directors.”

YWCA Agvvik Nunavut reported a net deficit of $244,743 in 2015-16, and received nearly $2 million in public monies over that fiscal year.

In a joint statement, provided to Nunatsiaq News on Oct. 20, YWCA Canada and YWCA Agvvik apologized for the “irregularities,” saying that the organization will “cooperate fully with the Government of Nunavut and will respond with a full action plan within 30 days.”

“YWCA Canada has supported the YWCA Agvvik Nunavut board of directors through a period of change in management,” the statement said.

“Since May 2017, YWCA Agvvik Nunavut has been proactive in improving financial controls, operational policies and practices.”

When contacted on Oct. 20, the Qimaavik women’s shelter in Apex was unable to comment on any changes in administration stemming from the investigation, as the designated spokesperson was not on duty.

In May 2017, when news of the financial irregularities first broke, James Morton, Qimaavik’s lawyer, told Nunatsiaq News that Suny Jacob, executive director at the time, was on leave.