Thursday, May 7, 2009

RDA ACCOUNTING RULES IGNORED

-------- Your tax dollars at work ---------

A reader asked about SWSDA accountants and here is what I know.

SWSDA claims to be an RDA. The SWSDA CEO's business partner (see YARCO listing with the Registry of Joint Stocks)Richard Hurlburt in an article defending SWSDA against a call for an independent audit a while back claimed that SWSDA provided audits like every other RDA. That was when Mr. Anderson's private partner was the Minister of the Department of Economic Development. ( I wonder if that is the private company that just had Yarmouth approve and pay for new water and sewage lines to the property.)

FACT # 1 - The Regional Community Development Act states:

"Records and statements

9 (1) An agency shall keep proper books of account and records, which shall be open to the public for inspection upon request.

(2) An agency shall annually cause the accounts of the agency to be examined and audited by a registered municipal auditor who may be paid such remuneration as the board determines."(my bolding)

FACT # 2 - Yarmouth accounting firm Wheelans White are and have been SWSDA auditors for more than a decade.

FACT # 3 - Last time I checked Wheelans White were not a "registered municipal auditor" in accordance with the Act.

Of course SWSDA might argue that they are not incorporated under the Regional Community Development Act. They are a society incorporated under the Society's Act.

SURPRISE .... SURPRISE..... THEY DON'T COMPLY WITH THE SOCIETIES ACT EITHER!

The Societies Act states.......

"Restriction if special legislation
(2) Where any Act, other than the Companies Act, provides for the incorporation of a society for a particular object, no society shall be incorporated under this Act for that object. R.S., c. 435, s. 3.

Since the Regional Communities Development Act provides for the incorporation of RDA's, SWSDA should not be incorporated under the Societies Act.

The rationale for ensuring that SWSDA remained a society was spelled out by Mr. Anderson in an interview in the Vanguard more than a year ago when he explained that SWSDA has chosen to be a Society because as a Society SWSDA was not obliged to provide the public with access to internal documents.

Justice Hood's Decision..... Priceless.......!!

4 comments:

Anonymous said...

No wonder Frank has an incompetent Board of Directors - they are having difficulty keeping up with his fancy footwork. This reminds me of a rotten kid who keeps changing the rules to suit the outcome of the "game". I've known a few of that ilk, and usually they get a bruising when other players get fed up with their devious manipulation.

There is still hope that the Board of Directors will see fit to put an end to Hurlburt and his pawn's evasive practices.

I see Councillor Townsend reported back to Warden Embree that there is talk of SWSDA closing their Shelburne office - surely that says it all!

Anonymous said...

Is there anything new.WE need action here.

Anonymous said...

Is there one honest,knowledgable individual left?

Anonymous said...

Does anyone out there know of another RDA that
chose to be a ""Society so internal documents couldn't be accessed by the public? What in the world is going on with this man, and who does he think he is. Pure and simple he is merely a bureaucrat, but has lots of backing from the PCs. Unfortunately he is flying under the N.S. Auditor General's radar and that is the biggest question of all - WHY HAS NO AUDIT BEEN DONE ON THIS PUBLIC BODY'S BOOKS? I hope it can be proven that most of the afterhours dining and drinking are personal and as such will be returned to SWSDA funds. Maybe the taxpayer's of Shelburne Co. will get a thank you from all the waitresses Frank has so handsomely tipped over the years with our dollar$. Rotter!