June 10, 2005
The NPC: What's all
the fuss about?
Board members frustrated
by lack of financial information
JIM
BELL
Based on various documents
leaked to Nunatsiaq News over the past two weeks by anonymous sources, here
is a rough chronology of events leading up to the crisis that has paralyzed
the Nunavut Planning Commission's board.
| April,
2001: The NPC's auditor, John Laratta of MacKay and Partners, in a letter
to finance officer Carol Sarazin on its 2000-01 audit, says "We believe
that some areas of the company's accounting system could be improved to
enhance internal control..." The board does not see this letter. |
| April
25, 2003: In his 2002-03 audit letter to Luke Coady, the NPC's executive
director, Laratta says, "The Board was not directly involved in the
setting of pay ranges during the year and only approved the rates in February
2003. Under the Human Resources policy the Board should determine the salary
ranges." |
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PHOTO TO ENLARGE
Here's
the section of a letter from the NPC's auditor, dated April 25, 2003,
that says the NPC board was not directly involved in setting pay hikes,
and that a board member should be appointed to supervise the executive
director. The board never saw this letter.
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| April
25, 2003: In the same letter, Laratta recommends that "One of the
Board should be appointed to be the supervisor of the Executive Director,
who is responsible for the annual performance appraisal and the handling
of leave and attendance." The board does not see this letter. |
| May
6, 2004: In his 2003-04 audit letter, Laratta recommends that, "There
needs to be a board policy regarding VTAs, as to when and how often, they
can be paid." He also says its "very difficult" to tell whether
actual spending matches the budget, because of "partial information."
The board does not see this letter. |
| October
and November, 2004: NPC board members request information about NPC
finances, including salaries and benefits. They do not get the information. |
| February
25, 2005: NPC board members attend a board governance workshop in Winnipeg,
given by a consulting firm, the Western International Frontier Group. According
to one board member, the consultant tells them that "you have given
away some of your powers to the Executive Director." |
| February
25, 2005: NPC's board passes a resolution creating an ad hoc committee
to review the chairman's job description and salary, and to review the NPC's
bylaws. |
|
May 10, 2005
- Morning: NPC's board is to meet with members of the NIRB and the NWB
at a workshop in Yellowknife. Instead, board members call for a separate
meeting at a different hotel to talk about financial and other issues
that recently came to their attention. The ad hoc committee prepares to
report progress on their work.
|
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PHOTO TO ENLARGE
This
is the May 10, 2005 letter from Bob Lyall to the Andy Scott, the minister
of DIAND, in which he strikes back at board members by suspending board
meetings and asking Scott for "direction."
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May 10, 2005
- Afternoon: NPC's chair and CEO, Bob Lyall, refuses to recognize the
meeting that the board has organized. Instead, the following occurs:
- Lyall suspends
future board meetings, alleging that board members have violated certain
procedural rules;
- Lyall writes to
the DIAND minister, seeking direction, and says it's up to him to decide
if the GN and NTI should be consulted;
- Carol Sarazin,
the finance officer, is suspended with pay but isn't told why;
- Lyall and Luke
Coady, the executive director, arrange to hire Aarluk-Consilium to do
an "independent accounting and management review;"
- Soon after, the
locks are changed and a motion-detector security system is installed
at NPC's main office, in Cambridge Bay.
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| May
27, 2005: Five NPC board members - Meeka Kilabuk, Pauloosie Kilabuk,
William Noah, vice-chair Peter Kritaqliluk, and secretary treasurer Suzie
Napayok - write to Lyall and demand an emergency board meeting to discuss
a variety of problems and allegations. |
| June
6, 2005: NPC's board calls on Bob Lyall to resign as chair. |
| June
7, 2005: Lyall and Luke Coady issue a press release that says Aarluk-Consilium
will "finish" the work of the ad hoc committee, at a cost of $49,000.
Lyall says he "puts the highest priority on ensuring accountability
and openness in the operation of this organizations." The press release
also says that some of the allegations made by the board are "unsubstantiated." |
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