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(Yvon Theriault/Radio-Canada)

The mayor of a northern Ontario town is facing theft charges after a police investigation into alleged misappropriation of provincial grant money.

Provincial police say the mayor of Moosonee was arrested in connection with an ongoing investigation by its anti-rackets branch.

The probe concerned the alleged misappropriation of grant money issued in 2011 by the Ministry of Aboriginal Affairs for the building of a new Moosonee Native Friendship Centre in the town.

Victor Mitchell, 51, is charged with one count of theft over $5,000 by misappropriation of money and one count of theft over $5,000 by conversion of money.

Mitchell has been released from custody but is scheduled to appear in the Ontario Court of Justice in Moosonee on July 8.

The Wawatay News reported on May 16, 2013, Mitchell was charged with fraud after an investigation into missing lottery bingo reports by the Moosonee Native Friendship Centre was concluded.