Ottawa will take the FSIN to court to recover $12.4 million

Funding Ottawa wants repaid

12.4 million $

Indigenous Services Canada says it will file a statement of claim against the Federation of Sovereign Indigenous Nations (FSIN), which represents 74 First Nations in Saskatchewan. It seeks repayment of close to $12.4 million in funding.

A forensic audit by KPMG flagged $34 million in questionable spending last fall, including COVID-19 expenses and travel. The department later set ineligible expenses at $28.7 million, a figure that has since dropped to $12.4 million.

The FSIN's answer

The FSIN disputes the audit and has asked the Federal Court for a judicial review. It says purchases of protective equipment, almost $8 million of the claim, had been confirmed and then added back.

Indigenous Services Canada

The department says the FSIN has until Nov 13 to arrange repayment of the full amount to the Receiver General of Canada.