July 5, 2006
Premier Danny Williams shuffles his cabinet in response to an investigation by the auditor general into almost $3.9 million in questionable government spending, implicating four Newfoundland and Labrador politicians.
Williams made the following changes:
- Kathy Dunderdale picks up the natural resources portfolio, from which MHA Ed Byrne stepped down.
- Trevor Taylor takes over Dunderdale's former portfolio to become minister of innovation, trade, and retail development.
- Kevin O'Brien, who represents the district of Gander, becomes business minister, a position previously occupied by the premier.
- John Hickey, who represents the Lake Melville district in central Labrador, becomes minister of transportation and works and Labrador affairs.
Williams rejects demands for a public inquiry into house of assembly overspending.
No public inquiry into N.L. audit scandal: Williams (July 6, 2006)
July 4, 2006
Auditor general John Noseworthy names three politicians — New Democrat MHA Randy Collins, Liberal MHA Wally Andersen and former Liberal cabinet minister Jim Walsh. Noseworthy releases three reports detailing how the trio overspent hundreds of thousands of dollars in constituency allowances.
The reports indicated:
- Collins received $295,418 above his constituency allowance during four years between 2003 and 2006.
- Andersen received $243,244 above his constituency allowance during four years between 2003 and 2006.
- Walsh received $228,169 above his $61,000 constituency allowance over two years — 2003 and 2004.
N.L. auditor names 3 politicians in final reports
Accounting firm Deloitte and Touche, which audited the Newfoundland and Labrador legislative assembly in 2002 and 2003, defends its work in light of the auditor general's investigation. The firm found nothing unusual during their reviews of the provincial legislature's financial records. Noseworthy says he will file a complaint with the province's Institute of Chartered Accountants because he believes signs of the spending scandal should have been identified.
Firm defends audits of N.L. legislature
June 29, 2006
Some of the 79 gold rings referenced in the audit —at $750 plus tax apiece, totalling about $69,000 in constituency allowances — turn up. The custom rings were purchased for Newfoundland and Labrador legislative members, some of whom say they were unaware the rings existed.
Liberal Leader Gerry Reid issues a release indicating at least six members of his 11-member caucus received rings. He says he got one of the rings about six years prior through Bill Murray, the house's director of financial operations. The rings were bought from Unique Keepsakes, a company owned by Murray.
Bling becomes focus of N.L. audit scandal
Former Liberal Cabinet Minister Jim Walsh acknowledges the auditor general is investigating him.
Fourth politician steps forward in N.L. audit probe
June 27, 2006
Liberal legislative member Wally Andersen confirms he is under investigation by the auditor general for overspending constituency allowances.
Third MHA comes forward in N.L. audit scandal
The auditor general releases another report detailing payments made by the house of assembly. Noseworthy says $2,651,644 in government funds was paid to three companies for promotional items such as lapel pins, fridge magnets, key chains and custom gold rings for legislative members. The payments were made between 1999 and 2005 to Zodiac Agencies, JAS Enterprises and Cedar Scents International.
But, Noseworthy said his staff couldn't find any evidence the items ever existed, as there were no tenders called or any financial quotes documented.
The auditor general said more money was spent at a fourth company connected to a legislative director of financial operations, Bill Murray. Between 2001 and 2005, $170,501 was paid to Unique Keepsakes, "company owned by the former director of financial operations at the house of assembly, and/or his spouse," said Noseworthy.
The premier suspends Murray from his position.
$2.6 million paid for pins, magnets: N.L. auditor
June 26, 2006
The premier asks the chief justice of the province's Supreme Court division to review whether legislative members should be able to keep tax-free allowances, and recommend a revised system. Judge Derek Green's review, however, will not deal with past complaints about constituency allowances.
Williams says he will equip officials in the finance and justice departments with resources to strengthen internal audit procedures and controls.
Williams taps judge to review MHA claim system
June 23, 2006
New Democratic Party legislative member Randy Collins acknowledges he is under investigation by the auditor general and has sought legal council.
Newfoundland scandal widens to include opposition members
June 22, 2006
Noseworthy releases his report on the Newfoundland and Labrador legislature, centring on cabinet minister Byrne. It reveals that Byrne submitted claims worth 10 times the amount he was allowed. Byrne had signed and submitted claims for $358,142 during 2003 and 2004 — more than $326,000 above his $31,500 limit, according to the audit.
Noseworthy says three other politicians — one current Liberal MHA, a former Liberal MHA and a sitting New Democrat — are being investigated for overspending their constituency allowances, but does not name them.
Total claims filed by the four politicians exceed $1 million, Noseworthy says.
Byrne's claims exceeded limit 10-fold: audit
June 21, 2006
Newfoundland and Labrador's Natural Resources Minister Ed Byrne resigns due to a review by the auditor general's office. Williams called for Byrne's resignation after Noseworthy expressed concern over the provincial legislature's financial records. Williams gives little details of the investigation, but says the number house assembly members involved is in the "single digits."
Byrne resigns over legislative audit
