FSIN strongly disputes results of federal governments forensic audit

Five days after Indigenous Services Canada released an audit summary of the Federation of Sovereign Indigenous Nations books, the organization has responded with a news release and a 10-page fact sheet, in a rebuttal of the audit’s findings. In its response, the organization that represents 74 First Nation in Saskatchewan, says it “cooperated fully and respectfully with the forensic audit process and has consistently worked to keep our Chiefs informed to the greatest extent possible throughout.” “FSIN had planned to provide a full and complete response upon receipt of the detailed report from KPMG, as it is difficult to respond to any allegation without specific details. The release goes on to say “ISC has not yet responded to multiple requests for the full report—which we anticipate would provide the rationale for each specific finding. As such, FSIN can only respond at this time to the documents that were posted on ISC’s website.” APTN News reached out to ISC about the full audit but didn’t hear back before this article was published. APTN has reached out to the FSIN for comment, but so far have not received a reply. Read more: Forensic audit of FSIN finds over $34M in ‘questionable, ineligible or unsupported spending’ Indigenous services launches forensic audit into FSIN programs after ‘allegations’ brought forward The leadership of the FSIN has not spoken publicly to the media and has been under fire for not being available to some chiefs to answer to the allegations that prompted the audit, nor the findings contained in ISC’s summary. Those findings detailed “questionable, ineligible or unsupported” expenditures totaling $34 million over the five-year period analyzed by the accounting firm KPMG. FSIN says in the release​ it “strongly disputes” a claim in the audit which categorized $23.45 million in expenditures related to COVID-19 protective measures as “questionable” due to incomplete supporting documentation. It asserts that all expenditures, particularly those related to COVID-19 were fully documented. “Despite severe underfunding, FSIN and First Nations did their best to protect our people during this challenging time and were the only ones implementing the famine and pestilence clause for their people,” the FSIN says. “The expenses categorized as questionable totaling $23,451,907 when divided by 166,681 represents approximately $140 per First Nations person in Saskatchewan for an average of $47 each year per person for PPE – all fully accounted.” FSIN also claims that the audit summary’s language was inconclusive and that their responses to KPMG’s 717 questions were seemingly disregarded. “KPMG’s summary contains language that is inconclusive such as “may be in contravention”, “appears” and the term “questionable” itself for which they do not provide a definition,” says the release. The fact sheet notes that “FSIN was provided 10 business days to respond to a list of 717 questions and data items for which FSIN provided documentation and responses for every question and data item. KPMG then required 10 weeks to review the information.” Many of the points contained in the fact sheet appear to be attempts to discredit KPMG’s methods. The organization condemned the audit process as politically motivated, linked to the 2024 election, and accused it of perpetuating negative stereotypes about First Nations. “The FSIN has faced unwarranted attacks in relation to the forensic audit that was publicly called for by certain individuals leading up to the 2024 election and reiterated in a press conference two days prior to the election where support for a particular candidate was announced,” says the news release. “These attacks seem to be fueled by malicious intentions,” it alleges. Mark Arcand, tribal chief of the Saskatoon Tribal Council and a member of the FSIN’s treasury board, called on the FSIN to be more transparent at news conference Sept. 26, while also calling for a response from leadership. Tags: Election, First Nations, forensic audit, FSIN, indigenous services canada, ISC, KPMG, Mark Arcand, politically motivated, Saskatoon Tribal Council, Treasury Board Continue Reading