The Corner Brook Minor Hockey Association says it will develop a financial recovery plan to address its current financial issues if it is required.
The association broke its media silence over news it was conducting an internal audit into purported financial irregularities via a press release Monday afternoon.
In the update on the situation, the minor hockey association said it has appointed a three-person review team, led by Bruce Keating, to investigate, confirm and quantify irregularities in the financial records.
The release, which didn’t identify the other two review team members, stated that all the team members are knowledgeable of, and experienced with, the association’s financial and accounting processes and record-keeping and will conduct the review as quickly as possible.
The prepared statement confirmed there will be no disruption in the minor hockey program in Corner Brook because of the review. The executive hopes the review team will have much of its work done in the coming week to 10 days and urged people to not jump to conclusions about the association’s financial status until the review is completed.
The Western Star attempted to reach minor hockey association president Jackie Simms, but she did not return messages as of deadline Monday.
The focus of the review team will be as follows:
1. Up-to-Date Financial Records and Statements
- The team is reviewing all transactions for the association beginning in August 2017 to the present date, including invoices, cheques, deposits, payroll, etc. Thereafter, the review team will produce updated financial statements and precisely determine the timing, extent, impact and other details of any financial irregularities, as well as the current financial position of the association.
2. RNC Investigation Support
- The team will gather all documentation related to and in support of any and each financial irregularity identified. This information will then be the basis for further investigation by the Royal Newfoundland Constabulary, if necessary. The executive has been in contact with the RNC and have a file open on the matter in preparation for any potential evidence of criminal activity.
3. Short-Term Budget and Operating Plan
- While the internal audit/financial examination is underway, the association is developing a new updated budget and operating plan for the balance of the current season. There will not be any disruption to the delivery of the minor hockey program.
4. Financial Recovery Plan
- If, at the end of the process, there is a material financial impact on the association, the executive intends to develop a financial recovery plan to re-establish the financial stability and health of the association. The review team will work with the current executive to do this, so that it is available to the new executive to take forward.
- The intention is to hold the association’s annual general meeting in May and provide the new executive with lots of time to plan for the 2019-2020 season.