Auditor General Tables Fraud Investigation and speaks to the New Global Audit Standards.

Ottawa – Today, Auditor General Nathalie Gougeon presented a fraud Investigation report stemming from a report received through the Fraud and Waste Hotline. The investigation was initiated due to allegations that a City of Ottawa employee was receiving kickbacks from a group of landlords participating in housing benefit programs administered by the City. The investigation revealed that the City of Ottawa employee received over $22,000 in payments from a landlord for services they provided as part of their employment with the City. The Auditor General concluded that these actions, as well as additional issues observed during the course of the investigation, represented breaches of the City of Ottawa’s Code of Conduct. 

 “The report tabled today demonstrates the importance of mechanisms such as the Fraud and Waste Hotline, and that the program is functioning as intended,” said Mme Gougeon.  She also thanked “those that have chosen ethics and courage instead of turning a blind eye and for taking the time to bring forward matters such as the one we reported on today.” 

Six recommendations for improved processes and controls were made as a result of the investigation and management agreed with all of them. 

Additionally, an update on the Institute of Internal Auditors’ (IIA) new Global Audit Standards was provided. The introduction of these new Standards includes 26 new requirements and 118 enhancements, which required significant changes to the Audit Charter. 

Finally, the Deputy Auditor General discussed the Office of the Auditor General's portion of the Audit Committee budget, which was also presented at the Committee meeting today. 

Full copies of the reports are available on the Auditor General’s website at www.oagottawa.ca   

 For more information:
613 580- 9602
OAG@ottawa.ca