Denise Hanrahan says many previous report recommendations were not implemented
Auditor General Denise Hanrahan. -SaltWire Network file photoST. JOHN'S, N.L. — Auditor General Denise Hanrahan released her annual report for 2022 on Thursday, Feb. 23, and she flagged fraudulent activity by some government employees, and found a lack of meaningful progress on her previous recommendations.
There were also instances of time fraud. In the Department of Health and Community Services, an employee appeared to be working with another organization while receiving sick leave benefits from the government. The employee was switched from sick leave to annual leave for most of the period, but sick leave was still used, totalling about $3,000.
“It was noted that a Nalcor official had received a term sheet in November 2018 outlining the terms of the contract with the former deputy minister, who was still deputy minister at the time. The matter was not reported to the police.” Since September 2022, 28 potentially fraudulent applications were received and were in various stages of processing. Some applications made it through all steps of the application process, and the criminals were given more than $54,000 in federal and provincial student aid.
She found that after three years, less than 39 per cent of the recommendations were fully implemented, 35.5 per cent were partially implemented, and almost 26 per cent “had no meaningful action taken at all.” “There remains a risk that there are conflicts of interest within the public sector and Crown entities, particularly as it relates to the definition of family that have not been addressed,” Hanrahan’s report said.
“We expect that it is reasonable for departments and entities to fully implement recommendations within three years of the audit report being issued,” her report said.
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