RCMP called in to investigate CREDA

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Province refers audit to police

The province is asking the RCMP to investigate the financial affairs of Cumberland County's former development authority.

The province is asking the RCMP to investigate the financial affairs of Cumberland County's former development authority.

HALIFAX – The province has called in the RCMP to investigate the financial affairs of the former Cumberland Regional Development Authority.

The referral comes as PricewaterhouseCoopers has completed its independent forensic examination of the development authority's financial transactions between fiscal years 2007-08 and 2011-12.


The development authority stopped operating in June 2013.

PricewaterhouseCoopers found gaps in controls and governance at the Cumberland Regional Development Authority and the Department of Economic and Rural Development and Tourism during the period examined.

The 700-page report contains the firm's findings and recommendations for improving the authority's governance, financial oversight and project management, processes at the Department of Economic and Rural Development and Tourism, and the evolution from regional development authorities to regional enterprise networks.

Government has accepted and is acting on the recommendations in its responsibility and control.

Regional development authorities are being replaced by six new regional enterprise networks, which government and municipalities are establishing throughout Nova Scotia. Recommendations about governance, financial oversight and project management are being incorporated in these new organizations.

The forensic examination was one of the recommendations of a report on the regional development authority from the Office of the Ombudsman in August 2012.

The department has improved processes, controls and financial oversight based on recommendations in previous reports, including the Ombudsman's report, the South West Shore Development Authority forensic examination, and auditor general reports on the Jobs Fund and other funding programs.

The PricewaterhouseCoopers report is available at www.novascotia.ca/econ/publications .


Organizations: PricewaterhouseCoopers, RCMP, Cumberland Regional Development Authority Department of Economic and Rural Development South West Shore Development Authority Jobs Fund

Geographic location: Nova Scotia

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Recent comments

  • Andrew Wallis
    July 11, 2014 - 10:24

    If it walks like a duck, talks like a duck... Inventing a job, reinventing another job, false expenses and 'creative' accounting to generate more taxpayer funded grants??? Maybe it's a lame duck!

  • Tax payer
    July 10, 2014 - 21:36

    Unbelievable audit, just criminal. Can you imagine the documents that could not be obtained, or destroyed.

  • 'Machine Gun' Kelly
    July 10, 2014 - 14:03

    I just want to say that my pals 'Baby Face' Nelson, 'Ma Barker' and 'Lawn Boy' all agree with me, that one person's "criminal" is another person's "economically-disadvantaged" person just trying to get by in the world.

  • Joanne MacPherson
    July 10, 2014 - 12:38

    Could we have the RCMP meet the Premier and his cabinet on the Bluenose II sailing into Pugwash and tying up at the fake wharf at the Lobster factory? It might save us a lot of time and money figuring out how the provincial government keeps making these expensive messy boondoggles in the name of economic development.

  • Jim G.
    July 10, 2014 - 10:56

    More of the Same is bang right on. The people that run these organizations have figured out how to work the system and create high paying jobs for themselves. They can never work in industry because their financial and management skills amount to filling out government applications to get more funding. Just think how much hard work small companies have to do to get taxed enough to pay for one of the organization to operate for ayear. Just do the numbers or get one of your friends to do it for you.

  • more of the same
    July 10, 2014 - 10:11

    The Province is broke to the tune of 15 billion dollars but is borrowing to fund these questionable organizations with trumped up questionable projects . How much has been spent on reading it's entrails so far , Now the real money is required to investigate by LE and fund subsequent proceedings ...It is all a despicable shakedown on the poor little taxpayer trying to get by . Lesson still not learned would be to totally eliminate these type of organizations instead or reorganizing them ...The reshaped relipsticked agencies won't fly any better than the previous ones ...

  • noodle
    July 10, 2014 - 09:12

    According to the Joggins Fossil Institution Association Board webpage the association's vice-chair is Rhonda Kelly, former CREDA executive director... wow... just wow.

  • noodle
    July 10, 2014 - 09:06

    Aren't these former CREDA directors/management some of the same people who are involved in the Joggins Fossil Museum that the County is having such a hard time getting financial information out of? Might be time to clean house of all those who were associated with CREDA at least until they are completely cleared of any malfeasance. Otherwise the museum may be the next to go.