‘We can’t let this be swept under the rug’: Sask. First Nations leaders call for transparency after FSIN audit

Saskatoon StarPhoenix Photo. Saskatoon Tribal Council Chief Mark Arcand speaks to reporters on Friday, Sept. 26.

Michael Joel-Hansen

Saskatoon StarPhoenix

The Chief of the Saskatoon Tribal Council is calling for leaders to make changes at the Federation of Sovereign Indigenous Nations after an audit by Indigenous Services Canada revealed millions of dollars in “questionable” spending.

“We can’t let this be swept under the rug, people have to stand up,” Mark Arcand told media on Friday in Saskatoon.

The audit, recently made public on ISC’s website, highlights a number of issues with FSIN spending, including $30 million provided to the organization to support First Nations during the COVID-19 pandemic,

Arcand, a member of the federation’s treasury board, urged FSIN’s leadership to respond to the report and concerns raised by chiefs. He said he has not spoken with anyone from the FSIN executive since the report’s release.

There’s widespread concern among First Nations people about the current state of the FSIN, Arcand said. He added it was difficult for him to hear that more than $30 million was unaccounted for.

“When this number came out, I was embarrassed because I was like ‘how could our leadership do this to our people’,” he said.

Arcand said he’d like to see FSIN adopt a structure similar to STC, with FSIN’s executive reporting to a strong board of directors with final say over spending.

“At the end of the day we just want to improve the organization and get the credibility back for FSIN,” he said.

Muskeg Lake Cree Nation Chief Kelly Wolfe said the problematic financial transactions are not a mistake, and accused FSIN leadership of developing plans to benefit themselves financially amid the pandemic. He also accused leadership of buying political support and “preying” on peoples’ poverty.

“Just because your left hand is giving out contracts, sponsorships and TVs does not give your right hand the entitlement to put money in your pocket,” he said.

Wolfe asked why RCMP haven’t started investigating the spending, and called on Fourth Vice Chief Craig McCallum to speak up.

“You need to separate yourselves from the old boys club, you need to do what’s right.”

Former Flying Dust First Nation Chief Bob Merasty said the FSIN has strayed from its original vision of protecting First Nations peoples’ inherent treaty rights. He said the organization needs to respond to its members, who the federation is supposed to represent.

Governments respond

When asked for comment on the audit, ISC said the ministry is committed to accountability and transparency.

The emailed statement said auditors have made recommendations to FSIN to help improve the situation, and the ministry will be watching.

“We will continue to monitor this matter in the context of those recommendations, and will consult with any appropriate authorities as required,” the statement concluded.

A government spokesperson said the Ministry of Government Relations had no involvement in the audit, but will review the findings.

The ministry said the provincial government is not a significant funder for FSIN, but has provided a total of $5.2 million in 2018-2019 and 2023-2024.

According to an emailed statement, $2 million of this funding was a single transfer in 2021-2022 to help pay for community-led efforts to identify unmarked graves at former residential schools in Saskatchewan.

“Ministries providing funding to any third-party organization has reporting mechanisms as part of those agreements, to ensure that government dollars are spent on agreed-upon initiatives,” a spokesperson wrote.

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