Community club hires firm to audit finances following mismanagement allegations

A city councillor who requested an audit of South Winnipeg Community Centre following allegations of financial mismanagement is satisfied by its board’s decision to have a third party conduct a probe.

“I’m very pleased to see this happening,” said Markus Chambers (St. Norbert-Seine River).

“The board is working very diligently to ensure that there is transparency, to ensure that there’s accountability.”

MIKE DEAL / FREE PRESS South Winnipeg Community Centre’s board has decided to have a third party conduct a probe following allegations of financial mismanagement.

MIKE DEAL / FREE PRESS

South Winnipeg Community Centre’s board has decided to have a third party conduct a probe following allegations of financial mismanagement.

Chambers called for the audit in the spring after complaints surfaced about SWCC’s facility at 666 Silverstone Ave., including allegations that some funds weren’t properly accounted for.

SWCC also operates a second facility at 1885 Chancellor Dr. Both sites receive provincial and municipal funding.

The SWCC board president confirmed Monday a third-party audit is being conducted.

“It is very important to get the community confidence and make sure that the community is satisfied with whatever is happening at the community centre,” Masroor Khan said.

Chambers said the centre’s decision to hire an independent accounting firm — Talbot and Associates — to conduct the probe is the best option.

“I think it should be done independently… I don’t want anyone to come and say the city is hiding information,” he said.

Khan said the independent audit decision was made after a June 13 open house; people who use the space said the yearly financial reviews required by the city to receive municipal funding weren’t sufficient.

The results will be presented at the centre’s Sept. 26 annual general meeting.

However, some residents feel the audit falls short of what’s needed.

An online petition that attracted more than 600 signatures by Monday afternoon calls for the city’s auditor to complete a full “operational and forensic audit,” instead of the third-party probe.

Any financial mismanagement not caught by the yearly municipal reviews will be brought to light by the independent review, Khan said.

“The financial audit will illustrate anything that needs improvement,” he said, adding such firms are strictly regulated and “uphold the highest standards of integrity.”

In May, the board told the Free Press it had launched an internal investigation into the matter, while the centre’s general manager was placed on administrative leave before resigning on May 13.

Khan hopes the audit will satisfy the concerns of the community, as well as recent work at the facility.

“We’re doing some aggressive renovations, making sure that public dollars are used for the betterment of the community and to provide better access to programming,” he said.

Coun. Janice Lukes, whose Waverley West ward includes part of the centre’s catchment area, said the board is voluntarily conducting the audit, since the city’s community services department didn’t require one.

She said she expects the probe will provide a fair, deep dive into past issues, and the city won’t conduct its own audit.

“I think the third party (company) is as neutral as you can get,” said Lukes.

The councillor said there are misconceptions about the facility itself, which are linked to past management shortcomings.

“It was basically inadequate management… and then that just spills into a whole bunch of other things. The management team didn’t have the skills to operate a facility at that level,” said Lukes.

She urged residents to attend the AGM next month to learn more.

joyanne.pursaga@freepress.mb.ca

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Joyanne Pursaga

Joyanne Pursaga
Reporter

Joyanne is city hall reporter for the Winnipeg Free Press. A reporter since 2004, she began covering politics exclusively in 2012, writing on city hall and the Manitoba Legislature for the Winnipeg Sun before joining the Free Press in early 2020. Read more about Joyanne.

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