Whitecap Dakota First Nation to blame for allowing fraud: RBC, KPMG – StarPhoenix
December 9, 2015
The Whitecap Dakota First Nation’s leaders have only themselves to blame after their accountant stole millions of dollars, according to Whitecap’s bank and auditing firm.
RBC and KPMG are defending themselves against a lawsuit launched by Whitecap in the wake of Hugo Gallegos’s theft of $5.8 million from the First Nation. The ex-accountant, who used pre-authorized cheques and fudged the band’s accounts to steal the money, is serving a five-year prison term after pleading guilty to fraud and theft charges.
Whitecap is trying to recover some of its funds by suing RBC and KPMG, alleging the companies’ negligence allowed the fraud.
