Agriculture program spending questioned

James McLeod
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Public Accounts Committee meeting continues in St. John's

Politicians are in the House of Assembly this morning, looking into sketchy spending decisions identified by the Auditor General in the province's agriculture Growing Forward program.

Three related companies – all owned by the same group of people – got three grants through the program totalling around $1.3 million.

Then-Auditor General Wayne Loveys raised red flags in his January report, partly because one of the three companies that got $500,000 wasn't even a farming operation – instead, it was a land-clearing company.

Based on Loveys' interpretation of the program guidelines, the company wouldn't have been eligible for the money, and by putting $1.3 million into three related entities, it effectively crowded out funding for other proposals.

The three farming entities are all located on the west coast in the Codroy Valley area.

The Public Accounts meeting continues this morning.

Organizations: Public Accounts Committee

Geographic location: St. John's, Codroy Valley

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Recent comments

  • Saskfarmer
    October 18, 2012 - 01:00

    Can't farm land that isn't cleared

  • Scott Free
    October 17, 2012 - 11:05

    good Tory supporters though; only criteria required.

    • Too Funny
      October 17, 2012 - 12:27

      Sounds like someone is missing the good old Liberal entitlement days.

    • Eli
      October 17, 2012 - 18:20

      Hey TOO FUNNY, you forgot the constitutency scandal happend under Danny Williams watch. I think he was a TORY. One reason this happened is not enough MHA's went to jail over that.

    • ILE
      October 18, 2012 - 08:14

      Hey LIE, nothing like rewriting history. The constituency allowance scandal occurred under Liberal governments. When the AG first pointed out problems with the allowance (in 2000), the Liberal government responded by booting the AG from auditing the IEC. It was Williams, (as you said 'I think he was a TORY'), that brought back the AG to the IEC and exposed the scandal. Thanks for illustrating how political bias can twist the facts.

  • Interesting
    October 17, 2012 - 11:01

    This news report gives the impression that one of the three related companies was a land clearing company. The actual AG report does not say that.

  • That's OUR tax money
    October 17, 2012 - 10:07

    Unrelated to agriculture? Kinda. It seems like government are in full support of the political pork business.