Chiefs push resolution reversing course on AFN forensic audit

OTTAWA — The Assembly of First Nations passed an emergency resolution at its general assembly in Montreal on Tuesday canceling a forensic audit that had been pushed by former national chief RoseAnne Archibald before she was ousted as national chief last year.

The resolution said the audit of AFN’s accounts “is not warranted and should not be undertaken” on the advice of accountancy firm BDO, which carried out a review.

Archibald first called for the audit in 2022 as allegations of financial impropriety were raised at the AFN. At the annual general meeting that year, bosses voted in favor of a resolution to audit 10 years of the AFN’s finances, with a particular focus on wages and contracts.

After it was removed in June 2023, Archibald said the audit should continue.

In an emergency resolution Tuesday, bosses voted to cancel it and instead ordered the assembly to comply with the Canada Labor Code.

The resolution said the BDO review focused on three things: severance packages for former employees, contracts and credit cards.

“BDO collected documents to review and conducted interviews with various individuals, including past and present AFN employees and former National Chief Archibald,” the resolution said.

As a result of this review, BDO concluded that a forensic audit is not recommended, but that AFN should update its financial policies and enforcement provisions.

The resolution also calls for AFN to update all of its policies to ensure that there are clear processes for contracting procedures and enforcement.

Bosses also say the organization must enforce strict compliance policies on the use of credit cards it issues. Failure to submit receipts will result in cancellation of cards, the resolution said.

An amendment that would have required these procedural changes to be completed within a year was rejected.

This report by The Canadian Press was first published on July 9, 2024.

Alessia Passafiume, Canadian Press