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December 20, 2006
Something fishy

The former bookkeeper for two prominent, federally financed aboriginal organizations has been accused of fraud, resulting in alleged combined losses of just under $900,000, Public Eye has exclusively learned. Yesterday, West Vancouver Police Department spokesperson Sergeant Paul Skelton confirmed Craig Morrison, 29, - the financial and office manager for the British Columbia Aboriginal Fisheries Commission and the Aboriginal Council of British Columbia at the time of the alleged offences - was charged with multiple counts of fraud in excess of $5,000 last month. That fraud is said to have been perpetrated on the two sister organizations - which share staff and an office - between November 25, 2002 and November 2005. The matter was brought to the police's attention December 1, 2005.

In an interview with Public Eye, Chief Ken Malloway - who sits on the board of directors for both organizations - said the commission became aware in October 2005 that some of its bills weren't being paid. That resulted in an internal investigation, which found the commission was in $300,000 of debt and fingered Mr. Morrison. Police were then contacted.

Chief Malloway says the commission has since initiated a restructuring process, putting in new financial controls. But because of the fraud, funding from the Department of Fisheries and Oceans - which usually amounts to around $600,000 - $700,000 annually - was curtailed to $250,000 this past year and won't be likely restored until that restructuring is complete. Meanwhile, the aboriginal council has also put in new financial controls. As a result, the Department of Indian and Northern Affairs agreed in May to resume funding the group – to the tune of just under $600,000.

Also facing fraud charges from the incident is one of Mr. Morrison's acquaintances - Dennis Wells, 51. The two men are scheduled to be arraigned January 18. The charges haven’t been proven in court. A version of this article was originally published in today's edition of 24 hours.

Posted by Sean Holman at 06:00 AM
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This is but one example of a systemic problem. Each year billions of dollars go to Aboriginal groups and band councils with zero accountability and beyond the reach of the auditor general.

If the allegations are true it is obvious that nobody was paying any attention at all in this case. How can you lose $900K with an annual budget of $600K unless there was absolute wholesale theft?

Posted by Innocent Bystander on December 20, 2006 04:36 PM

The problem is that the auditor general is not allowed to review such agencies. It makes the other groups who are honest appear not to be honest. accountability is a big word in treaty negotiations but until then anything goes.
The tax payers in this country do put aside a number of billions each year from a number of Ministries, that is doled out by DIAND. My God 900 thousand isn't loose change. The Chief did the right thing calling in the cops, but how come he didn't know about it sooner? NO wonder a lot of folks figure the bands are crooked, although most are not. takes a few bad apples in any society to screw things up

Posted by DL on December 20, 2006 08:42 PM

Lets call a spade a spade, the incident is being investigated because funding was cut.

It is hardly a few bad apples. For as long as the DIAND has been handing out money with no accountability questions have been asked about where it is going. 10 years ago Keith Martin stated publicly that across the country band councils were pocketing money earmarked for everything from training to healthcare to housing. He is one of the few policitians however to comment as racist accusations usually follow anyone who question Indian Affairs.

200 years ago it was the white man that took advantage of the Indian and stole his land and belongings, now it looks like the red man is doing it to his own people.

Posted by Innocent Bystander on December 21, 2006 01:47 PM

And we want to do what concerning Aboriginal Authorities for child and family services? As it is, there are Aboriginal individuals involved in this process who are public servants AND consultants at the same time. Would a non-Aboriginal public servant be permitted to do the same? Isn't it "racist" to treat individuals a certain way because of the color of their skin?

Posted by Bystander on December 21, 2006 07:50 PM

for the people posting comments......... You dont know what it is like. To have this happen to you, so close. To may even loose your job, have your pension stolen, to have the government and others treat you like your the one that stole the money. To be, belittled everyday, stepped on, treated like crap, treated like your a dumb person and to find out that when this does happen, you have no support system, your just guilty by association. Yes there is a few bad apples out there that are making our people look bad, but lets not associate all of us with those few. Lets remember it is not only the Aboriginal people, it happend with the guy who ripped off the Charity, I think it was Salvation Army, it just happened a few months ago in another company on the North Shore. I am aboriginal, I live like you, I work to pay bills, my mortgage, to send my children to school, play sports, swimming lessons. It has been tough, and I do hope that these people who have ruined other peoples lives by their greed, pay the price.... a damn good price, just to set a precidence on other aboriginal people, even non aboriginal people who think they can get away with things like this.

Posted by J.Jones on December 22, 2006 10:28 AM

J.Jones, I agree entirely with you and am disappointed that once again a story of someone ripping off an Aboriginal organization gets morphed into an epidemic of incidents purportedly linked to an entire race, although none of the above offers much other than "here we go again" eyebrow lifters.

But, I guess by using these "examples" it takes the sting of embarassment out of the fact, as someone above noted "it was the white man that took advantage of the Indian and stole his land..."

Posted by bleedingheart on December 22, 2006 07:46 PM

I mentioned earlier on that there are some bad apples in the system. Just like there are bad apples in any society. It's easier in Indian groups as a number of councils have meetings somewhere else, and have no accountability. They don't have to have any. I'm non Indian but lived on land set aside for over ten years. We met with the council and most of the time were aware of what was happening. We paid taxes to the band not the local municipality. We made it a practise to watch just how many band councils in the country were getting in trouble. Contrary to popular belief there ain't that many doing the wrong thing. We supported the treaty process as accountability is a big word in that system. Plus the right to sue. The Royal Commission Co-Chairs said. "If non Indians are going to be subjected to Indian taxation and Indian laws direct input is required". We took the commissioners at their word and pressed for those things to happen. Let's not forget the Indian Act which says" any contract written or oral with a band or individual Indian is not legal". So until the treaties set the standards , some folks will skate around the edges, and make those who are working hard to sort things out look bad as well. Another little item that gives a few crooks a possible edge, was the supreme Courts words' If you err in law, err on the side of the aboriginal( I may have mised a few words in their finidng.)

Posted by DL on December 24, 2006 10:18 AM

I don't know how many "apples" are good or bad. Having travelled across the country extensively and visited many reserves I can state that for the tens of billions poured into DIAND over the years there appears to be very little to show for it. It looks to me like the vast majority of natives living on the reserves do so in incredible poverty despite the fact that their own band councils seem to be receiving lots of money.

The reason why this is more relevant now is because of the proposed treaty settlements. What is going to happen to the hundreds of millions of dollars that pour into a few band councils? Will they spend the money to the benefit of their band members or will be see a rush on property in the Caymans? If I was a member of a treaty band I would be concerned unless I had some guarantee that by losing all of my future rights and entitlements I was going to see something in return.

Posted by Innocent Bystander on December 26, 2006 03:06 PM

Just like Innocent Bystander I have spent a lot of time on assorted bits of"land set aside" over a number of years. And as I mentioned above, some bands seem unable to keep a handle on the money coming in from DIAND and other ministries. If things ger really bad an outside authority comes in to run things. It happens too often but not all the time. The odd chief and council member gets removed.

In case you are wondering. One of the reasons all band members, as decided upon by a list produced by all three parties, will be voting yes or no to the treaties being developed. If they don't like what they see, well there will be no treaty. And in case anyone you wonder why the province and the fed don't need a citizens vote to accept, yet the bands need a local vote it's because at present the band council is not a government. They are controlled by DIAND as agreed by the federal government and that control exists because of the BNA Act( section 94 I believe) which is now part of the Constitution( section 35). They will be sort of a municipal governments subject to certain laws, they make, or others already in place by the province and the fed.The usual wording is laws must equal or better the provicne and federal laws. Most of the Indian Act disappears as the "Bundle of rights" are agreed on. There are no additional rights outside of the bundle agreed on, beyond the same rights as every Canadian. When they are a level of government accountability is the big word. Do it right or get voted out of office. Shaft somebody and expect to be sued. The present system is a deep pit with basically zero accountability. We have all said that and now something is being done to fix it. I personally don't like the limited access that occupiers get on issues but it sure beats what exists now for the occupiers. Nothing.
Negotiations mean a bit of give and take so even though I don't like some parts I can live with the deals.

Posted by DL on December 28, 2006 03:58 PM

DL,

There is no doubt that what is proposed is better than what we have. Problem is that you have to get from now to then first and it is that transition process that is a big risk. Band members who complain about a chief or council are often threatened or worse and DIAND refuses to get involved if the band member attempts to contact them directly. How fair can an election or vote be under those circumstances?

I guess that we will have to wait and see but I fear that 5 eyars from now all we have done is moved natives from the DIAND to welfare or the streets without bettering anyone's lives.

Posted by Innocent Bystander on December 29, 2006 11:59 AM

Hey, I think that our whole band system should be put back to the Hereditary Chiefs. These are the people who have control of their house members (huwilp). They also have the say on what happens on their territories (land). The house system is where each member is guided, nurtured and disciplined. They are responsible for their members.

Posted by Concerned on January 10, 2007 10:33 AM

All this, isn't even anything to do with a Band or any bands. It is two provincial organizations, that could be wiped out do to one frigging idiot, Who ruined our lives, stole our pension right out of our pockets. as I said before, I hope Mr Morrison and Mr Wells pay the price and the justice system sets an example for other people who have this greed wont go and do it to others

Posted by JJones on January 15, 2007 10:26 AM




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