Free
Message: Whats up in Canada?
Tories call in Mounties over mint's missing millions
CHRISTOPHER PIKE FOR THE TORONTO STAR
Employees work June 8, 2009 at the Royal Canadian Mint in Ottawa, where there are worries security could have been breached following the revelation that a large amount of precious metals recorded on the books is missing. The mint uses gold, silver, platinum and palladium in its operations.
Canada's money-makers can't find tens of millions in precious metals that are shown on the books
Jun 09, 2009 03:05 PM

Bruce Campion-Smith

OTTAWA BUREAU CHIEF

OTTAWA – The federal government has asked the RCMP to launch an investigation into the tens of millions worth of precious metals that have gone missing from the Royal Canadian Mint.

The announcement comes after an external audit was launched to reconcile the mint's records with the physical stock of metals.

And it comes after the Star revealed today that the value of the missing metal was worth more than $10 million.

"I think we are all very concerned," said Rob Merrifield, minister of state for transport, the department responsible for the mint.

Merrifield said he "instructed" mint staff today to call in the Mounties to assist with the ongoing audit, which has been under way since early March.



The external audit is trying to reconcile the mint's records with the physical stocks of gold, silver, platinum and palladium, the four precious metals used by the Crown corporation in its production of coins and collector sets.

Mint officials remain confident that bookkeeping errors are to blame. But they haven't ruled out theft and some at the institution now believe a police probe is inevitable if the review – due to be released in two weeks – is unable to provide good answers.

Given the high value of the missing metals, NDP MP Thomas Mulcair said yesterday that mint staff should be calling on police to immediately launch a criminal investigation.

"There's no possible way to explain the loss of tens of millions of dollars through simple administrative or bureaucratic foul-ups and missteps," he said in an interview.

He faulted the Conservative government for not being more forthcoming about the controversy.

"People understand that mistakes happen ... but they tried to dismiss the whole thing from the beginning," said Mulcair (Outremont). "Well, if there's tens of millions of dollars missing, there's clearly lots to worry about... This is a really serious amount of money and it deserves really serious attention."

Liberal MP Joe Volpe (Eglinton—Lawrence) said the mint's international reputation – it produces coins for at least 12 other nations – is taking a battering each day the probe drags on with the prospect security may have been breached.

"How long does it take for this government to figure out what is going on?" Volpe said. "Either money is running out the door or they have a serious problem making two and two add up to four."

In fact, Volpe suggested the mint and the government already know the results of the audit and are sitting on bad news. "I suspect they have the answer and they have reason for not publicizing it," he said.

Mint spokeswoman Christine Aquino yesterday declined to comment on the value of the metals or any aspect of the audit.

"We're going to wait for the review to come out in the next couple of weeks," she said.

However, last week she said an unprecedented demand for gold in 2008 put pressure on the mint's internal control systems, which led to the "unreconciled difference" between the gold on hand and the value recorded in the mint's books.

In 2007, the mint refined a total of 5.4 million troy ounces of precious metals; of that, gold represented 2.8 million troy ounces, or about 86,000 kilograms. The mint sold 278,616 troy ounces of gold bullion in the form of coins, wafers and bars.

Comments on this story are now closed

Sort By Newest Oldest Most Agreed

@uptohere

I am no fan of hiring quotas, but I disagree that they can be blamed for the incompetence in our public sector. I have done work for both public and private sector organizations and there are distinctive cultural differences between them. In the private sector, through competition and the drive for profits, there is a natural accountability that doesn't exist in the public sector. Government organization therefore attract lazy and corrupt management types, or people with credentials on paper who can't follow through in the private sector. I've watched these management people move from one government organization to another without accomplishing anything. You'll rarely see people move from high management positions in the public sector to private sector jobs. Either they move to other government organizations, or they open up consulting practices to get lucrative contracts from the government. Watch where this Sarah Kramer goes next.

Submitted by Lagavulin at 10:00 AM Tuesday, June 09 2009

no way ? ... how long ? ...

"no possible way to explain the loss ... thru bureaucratic foul-ups or missteps ???" ... sorry, but there seems to be no limit to bureaucratic fumbling ... it's becoming as canadian as hockey, which also has bureaucratic issues ... and here's another good one ... "how long does it take for this government to figure out what is going on?" ... ha ha ... good one ... can you say "mulroney inquiry" ... it's getting tough for comedians to compete with our governments ...

Submitted by MLB3 at 9:57 AM Tuesday, June 09 2009

Gee...can I get a job there? Love the perks!

Submitted by batgrl at 9:45 AM Tuesday, June 09 2009

We may be thankful our economy is no longer based on gold.

This says little for the financial safety of Canadians’ tax dollars if the Government cannot adequately protect its stock of gold in secured surroundings. Even if the gold is no’ tat physically lost those accountable for the bookkeeping records should be severely reprimanded by termination irrespective of their position. MJT, Etobicoke.

Submitted by MJT at 9:44 AM Tuesday, June 09 2009

Mint's 'lost' gold

Is there no Canadian Institution that is free and clear of corruption in this country? We've heard of sponsorship scandals, money stuffed envelopes given to our 'so called esteemed leaders' who didn't have the common sense to refuse it, auto bail-outs when hospitals are left to lay off staff, CEO's getting obscene wages and bonuses and even if they're fired they get a s---load of money from their 'so called contracts.' I believe the time is now for our country to begin to implement the basic rules of governance. Honesty, truth, humility, respect, caring, love and courage. These are the Seven Sacred Teachings of the Ojibway peoples, is anyone surprised? I also think 'that the meek shall inherit the earth' what evers left of it after the collapse of the world financial system and wars..

Submitted by Yukon Jack at 9:43 AM Tuesday, June 09 2009

Uptohere!

Your dead on. My only question is when it comes to the "Change" who will dictate it?? We all sit and complain about it, but no one ever does anything. As Rick Mercer said the one thing in the last US election that has been missing from Canada for yrs is the outlook of "Hope and Change". Wow what a great platform!!

Submitted by Musclehead at 9:35 AM Tuesday, June 09 2009

Can Everyone See the Future?

I don't want to sound too naive, but I believe that people are 'generally' good and in my life I've met very few really unscrupulous people. Perhaps it is a good idea to wait for the results of the audit before throwing accusations. Who's to know if somewhere down the line a decimal point wasn't transposed or some other accounting error was made? Assuming the worst right away and then calling for people to be fired, claims that our country is going to hell in a hand-basket; there seems to be a lot of negativity and quick judgments going on here.

Submitted by thisnthatgirl at 9:34 AM Tuesday, June 09 2009

Watch Zeitgeist.

Submitted by Optimist74 at 9:31 AM Tuesday, June 09 2009

Search Mercer

Rick Mercer made off with a stapler from the mint a few years back, and was repeatedly caught on camera trying to hide gold bars in his pants.

Submitted by Civil Ian at 9:30 AM Tuesday, June 09 2009

Rest assured...

...they'll find some non-Conservative-member chump to take the fall for this, if they don't sweep it under the rug entirely and write it off as a book keeping error. Why isn't the auditor *automatically* involved when significant amounts like this are involved?

Submitted by Steve7221 at 9:29 AM Tuesday, June 09 2009

No accountability

Sorry but, I can't swallow that our government doesn't know what happened. You don't suddenly discover a loss of this size and have no idea what happened. Either there was a theft which would mean a sudden change in the inventory records or an accounting error which should be found rather easily by anyone who can read a ledger. A slow, systematic theft would be easily remedied every time they did inventory and so a sudden dramatic find that something is amiss would not occur. The only reason there would be a delay in announcing this is that our current government has given this over to their newly-formed and rather-busy-as-of-late department which should henceforth be called the Ministry of Cover-ups. When can we expect the police to be engaged?

Submitted by circuitman at 9:23 AM Tuesday, June 09 2009

Come on, it's only a few millions in gold...

But should a firearm owner missplace a $50 'steel' handgun... you can be certain that the police will be called right away! (Maybe we need a gold registry?)

Submitted by Michelt at 9:07 AM Tuesday, June 09 2009

Page 1 of 4 < Prev Next >
<a href=" title="Web Analytics"><img src=" height="1" width="1" border="0" alt="" /></a>
<a href="http://ad.doubleclick.net/jump/ocn42... + ord + '?" target="_blank"><img src="http://ad.doubleclick.net/ad/ocn4241... + ord + '?" border="0" alt=""></a>
<a href='http://ad.doubleclick.net/jump/ocn42... target='_blank'><img src='http://ad.doubleclick.net/ad/ocn4241... border='0' alt=''></a>

<a href='http://ad.doubleclick.net/jump/ocn42... target='_blank'><img src='http://ad.doubleclick.net/ad/ocn4241... border='0' alt=''></a>
SPECIAL
The Nazi system of camps and ghettos was a dark universe more than four times more extensive and complex than previously thought, ...
Luminato — Toronto's Festival of Arts and Creativity — runs June 5 through 14. Stay with thestar.com/luminato for full coverage.
Arts columnist Kate Taylor will delve into thorny Canadian cultural issues at a pivotal moment as the recipient ...
This week: a comedy series about a pregnant woman gone wild, photos that tell stories, and where to find instructions ...

TheStar

Share
New Message
Please login to post a reply