The Deputy Minister of the Department of Environment has denied any evidence of fraud in the mishandling of millions in government subsidies, despite an internal audit flagging serious mismanagement issues. Blacklock's Reporter says Jean-François Tremblay told the Commons government operations committee this week that while the department faces "accountability" concerns, no fraudulent activity has been identified.“There is nothing in the audit that suggests there is any case of fraud,” said Tremblay, emphasizing, “We do not have a case where we can go and talk about fraud.” His comments came as the department agreed to disclose the recipients of over $1 billion in grants and subsidies scrutinized in the audit.The Audit of the Administration of Grants and Contributions revealed a significant increase in spending — $625 million since 2016 — without corresponding improvements in oversight. Auditors found multiple irregularities in documentation, including “incorrect,” “erroneous,” and “missing information” across project files. In some cases, entire files were absent, with auditors describing the department’s management as “uncoordinated” and “inefficient.”The audit warned that these issues could cause “inefficient operations,” “reduced transparency,” and even “potential legal and reputational damage” to the department. Conservative MP Kelly Block (Carlton Trail-Eagle Creek, Sask.) called the findings “extremely damning” and questioned whether the sharp increase in grants had been politically motivated.“Was this increase in funding for grants and contributions directed by the Minister at any time?” asked Block. Tremblay responded, “It comes from decisions made by this government to develop new programs.” He clarified that the Minister would have been involved in approving projects worth over $1 million.Linda Drainville, the department’s chief financial officer, also testified, defending the department’s management practices. “I do take very seriously the importance of sound management of public funds,” said Drainville, assuring the committee that “controls are being currently reviewed” and expressing “great confidence” in their adequacy.Despite the reassurances, New Democrat MP Randall Garrison (Esquimalt-Saanich, B.C.) voiced concerns about the efficiency of spending, stressing that the urgency of the climate crisis did not justify waste. “It is important given the scale of the crisis that we use money efficiently, that we not waste money, and that there is accountability,” said Garrison.
The Deputy Minister of the Department of Environment has denied any evidence of fraud in the mishandling of millions in government subsidies, despite an internal audit flagging serious mismanagement issues. Blacklock's Reporter says Jean-François Tremblay told the Commons government operations committee this week that while the department faces "accountability" concerns, no fraudulent activity has been identified.“There is nothing in the audit that suggests there is any case of fraud,” said Tremblay, emphasizing, “We do not have a case where we can go and talk about fraud.” His comments came as the department agreed to disclose the recipients of over $1 billion in grants and subsidies scrutinized in the audit.The Audit of the Administration of Grants and Contributions revealed a significant increase in spending — $625 million since 2016 — without corresponding improvements in oversight. Auditors found multiple irregularities in documentation, including “incorrect,” “erroneous,” and “missing information” across project files. In some cases, entire files were absent, with auditors describing the department’s management as “uncoordinated” and “inefficient.”The audit warned that these issues could cause “inefficient operations,” “reduced transparency,” and even “potential legal and reputational damage” to the department. Conservative MP Kelly Block (Carlton Trail-Eagle Creek, Sask.) called the findings “extremely damning” and questioned whether the sharp increase in grants had been politically motivated.“Was this increase in funding for grants and contributions directed by the Minister at any time?” asked Block. Tremblay responded, “It comes from decisions made by this government to develop new programs.” He clarified that the Minister would have been involved in approving projects worth over $1 million.Linda Drainville, the department’s chief financial officer, also testified, defending the department’s management practices. “I do take very seriously the importance of sound management of public funds,” said Drainville, assuring the committee that “controls are being currently reviewed” and expressing “great confidence” in their adequacy.Despite the reassurances, New Democrat MP Randall Garrison (Esquimalt-Saanich, B.C.) voiced concerns about the efficiency of spending, stressing that the urgency of the climate crisis did not justify waste. “It is important given the scale of the crisis that we use money efficiently, that we not waste money, and that there is accountability,” said Garrison.
