Lawyer says ex-mayor's finances must be re-audited
Jun 01, 2009 - 04:30 AM
By Jennifer Stone
CLARINGTON -- Council has until June 3 to respond or the residents who have requested a second audit of ex-mayor John Mutton's 2006 campaign finances may begin legal action, says a letter in Monday's Clarington council agenda.
The letter, from the same lawyer who represented residents in Vaughn who successfully fought for an audit which led to 68 charges against Mayor Linda Jackson, indicates there is a need for an audit, given the first one didn't meet legal requirements.
Complaints from area residents Luke Prout, Cynthia Prout, George Van Dyke and Sean Keane against the accountant who audited the former mayor's books led to eventual charges and sanctioning of the accountant, after a guilty plea, by the Institute of Chartered Accountants of Ontario. In December, Toronto accountant Jim Horn was ordered to pay a fine and received written reprimand after his professional governing body determined he had failed to exercise due care to ensure he complied with standards associated with such audits.
The residents who asked for the audit then wrote to Clarington council twice, indicating they felt they were still owed an audit, since the initial one had officially been deemed negligent. Each time, council chose to receive their requests and simply refer them back to staff for more study.
Not good enough, said lawyer Eric Gillespie, who has been retained by the residents to represent them on the matter.
"Since the auditor admits that no proper audit has been performed, and in fact refunded his fee to the Municipality, it appears to be clear council has not yet fulfilled their legal requirements" under the Municipal Elections Act, Mr. Gillespie said in a letter.
It's been long enough, he said, noting, "if we do not receive a response by June 3, 2009, the applicants will appear to have no choice but to commence some form of legal proceeding against the Municipality.
"We believe that this step and the associated costs can and ought to be avoided by council resolving to comply at this time with the Act."
Clarington council will consider the letter at its meeting Monday, June 1, at 7 p.m.
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