Alberta's Auditor General's report released yesterday afternoon (Nov7th) included some further issues with management and the strategic direction of the Agriculture Financial Services Corporation, AFSC.

It was in June that AFSC's Board of Directors was dismissed and 3 senior executives were removed from active duty after an anonymous tip uncovered problems with their expense claims and the corporation's procurement practices.

Those findings uncovered the executives received meals, alcohol, paid entertainment including theatre and concert tickets and sporting event admissions, rounds of golf and gifts on a frequent basis over 4 years from the Broker.

The Auditor's most recent report also found weakness in the oversight of AFSC's lending program, and certain transactions and agreements involving the former Vice President and President did not comply with established policies, training resources were wasted and AFSC incurred unnescessary expenses as result.

Merwan Saher did point out however that AFSC's board did not receive sufficient information on senior executives' expenses to be able to provide proper oversight.

President of Treasury Board and Minister of Finance Joe Ceci says “since the removal of the board and the suspension of the senior executives in June an Interim Board of Directors consisting of senior civil servants has been appointed and Ed Knash, vice-president for business and agriculture for ATB Financial, has been named the interim Chief Executive Officer.  And an open recruitment process for a new, permanent board of directors is underway and a new board is expected to be in place by the New Year."

Ceci adds “A review is still underway to determine appropriate disciplinary action for the executives and the matter has also been referred to law enforcement for review to determine if additional actions are required".