MDD was asked to review the organization’s accounting records to determine where allocated funding had been spent and whether the terms of the funding agreement had been adhered to. We were also asked to calculate the funding surpluses and deficits for each program (after various items had been adjusted to correct for misallocations). MDD reviewed mortgage and loan documents to determine how leveraged the organization was, and these ratios were compared to similar organizations in Ontario to confirm whether the level of debt held by the organization was “normal”. MDD identified several discrepancies in the organization’s accounting records, including expenses being posted in the accounting records on the wrong date, back dating of transactions, and the use of Ministry funds for unapproved expenses.
MDD interviewed the Chief Financial Officer and Executive Director to review our findings before our report was issued, to ensure that their comments and explanations were reflected in our report