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Financial transparency

‘We definitely were not shocked’: Sask Chief responds to initial findings of FSIN audit that flags over $20 million

Jul 4, 2025 | 4:38 PM

The Chief of Muskeg Lake Cree Nation says he and others within the Saskatoon Tribal Council were definitely not shocked by the initial findings of an audit into the Federation of Sovereign Indian Nations (FSIN) that raised questions with respect to over $20 million in spending.

Kelly Wolfe told paNOW these concerns have been raised for years and along with Tribal Chief Mark Arcand, he has been very open about his frustration with respect to the need for accountability and transparency.

“I think it’s a wake up call for us to say this structure is not working and we need to work together with other nations to look at what a governance review looks like, because there is no accountability and there is no inclusion with all nations,” Wolfe said.

Wolfe shared a recent example of alleged misspending where the executive approved $40,000 for a private jet to travel to the Treaty 10 gathering in Hatchet Lake. Tribal Chief Arcand was opposed to the expense but was out voted.

When asked to elaborate on what should happen next, Chief Wolfe acknowledged the FSIN executive had 10 days to respond, and a final report is expected to be published next month.

“I’m hearing that there’s possible indictable offenses as well, and if there are indictable offenses, I feel that we need to make an example out of those who were using and misappropriating these funds.”

Chief Kelly Wolfe. (Facebook)

Chief Wolfe also noted an article from October 2024 where James Smith First Nation Chief Kirby Constant talked about $6.5 million that was to be used for PPE for the nation during the pandemic. Only $5.5 million was ultimately transferred to a numbered account, leaving $1 million unaccounted for at FSIN.

“While our people were going through a global pandemic, while our people were dying, we had leadership who were looking at ways to scandal and scam. It’s really disheartening and honestly, I just don’t have any words for it,” Wolfe said. “I’m not sure how people can do that in such a a horrible time globally. So I think the next step is that, you know, ensuring that justice is served and coming together with the 74 First Nations to come up with an interim solution.”

Going forward Wolfe noted there will be obvious trust issues with the CEO, the COO and the CFO, but added it’s up to the 74 First Nations who have the authority through the Convention Act to make some important decisions.

“I think we need to come with an interim solution quickly and then work towards you know what is a long-term solution and then I think that goes back to visiting the outdated Convention Act.”

The Convention Act is the foundational document of the FSIN that creates its governance structure. It was adopted in 1982.

When asked what message he was telling his own members, Chief Wolfe stated the need to tell the truth and explained the decisions were made without proper oversight. He also said that there is a plan to build a new governance system that includes representation from all 74 bands.

Chief Wolfe also acknowledged the fact that when the financial concerns were first raised, the two women were locked out of the office.

And that’s why Wolfe thinks it’s important that the men within the FSIN to create a safe place for those who want to speak up.

“Many are scared to speak up because they know what happened to those who speak up and are afraid their jobs could be taken away, so no mortgage payments, they have families to raise,” he said. “I believe our first nations man it’s our responsibility to look after our women so if there are more of them out there who want to speak up that we need to assure them that there is a safe place because that’s something we did not do in the past and we have to learn from that.”

A copy of the original email forwarded to FSIN Executive. (Submitted)

The timeline

At the time the audit was initially discussed in March of 2024, it was revealed the scrutiny would include all expenditures related to funding from April 1, 2019 to present day.

An email sent by the ISC, obtained by paNOW, and dated April 25, 2025, confirms completion of the field work associated with the audit.

Among the people named as in receipt of the email were FSIN Chief Bobby Cameron and the Executive including Ed ‘Dutch” Lerat, Fabian Head, Craig McCallum, and David Pratt. There’s also Denise Pelletier, Martin Paul, and Donna Young.

A source who previously spoke to paNOW, explained any revisions required in the report will be made on July 7 and the next meeting for final findings is scheduled for July 28. The final report goes to ISC Deputy Minister Gena Wilson for approval by Aug.4.

The management letter, detailing findings, recommendations, and potential fund recoveries will be sent to the FSIN and to the Regional ISC officer to co-ordinate recovery if needed.

According to a statement provided by Indigenous Services Canada, the federal department does not comment on ongoing audits until they are final.

“Once a forensic audit is final, a summary of the findings will be published on the Departmental website.”

nigel.maxwell@pattisonmedia.com

On Blue Sky: @nigelmaxwell.bsky.social