It’s alleged the former employee abused band credit cards and made false expense claims for a number of personal expenditures, including clothing, travel and furniture
Garden River First Nation claims its former CAO misappropriated funds for her own benefit — and now, its leadership is seeking vindication in the courtroom.
The First Nation is seeking more than $3 million in damages after Jauvonne Kitto allegedly abused credit cards and expense claims for personal use, according to a statement of claim filed in Ontario Superior Court last month.
A company co-founded and directed by Kitto, Saa Dene Services Ltd., is also named as a defendant in the civil suit.
None of the allegations have been tested in court and a statement of defence has yet to be filed.
Court documents show that Kitto had been overseeing all programs, services and administrative operations in the First Nation from April 2022 up until her resignation in October 2023.
Garden River alleges that Kitto made wrongful payroll claims, duplicated reimbursements and fudged figures on expense claims while employed by the First Nation.
Kitto is also being accused of submitting expense claims for personal expenditures including clothing, travel, food and furniture.
On top of those accusations, it’s alleged that Kitto conducted business on behalf of the First Nation with “non-arm’s length parties” — including representatives of Saa Dene Services — without declaring a conflict of interest.
Garden River First Nation Chief Karen Bell told SooToday the decision to take legal action against the former senior executive was made to “protect the community’s financial integrity and ensure accountability” to the nation and its members.
“It wasn’t an easy decision. We don’t like to air our laundry in public,” Bell said.
“But we were guided by our elders, by our members — by the fact that they were asking and demanding accountability and honesty.”
Bell said questions had been swirling in the community around financial transparency and accountability when elections for chief and council happened in September 2023. At the time, the First Nation also happened to be three years behind in completing a financial audit.
That meant Garden River didn’t know where it was financially, Bell added, or if claims of financial misconduct spread by community members were valid.
Bell said the results of a forensic audit that was recently completed by KPMG were presented to leadership in late October.
“The council, who are the decision makers at a council meeting, felt that it was imperative that we pursue this to correct injustices that were done — not only to the leadership and the staff working here, but the entire community at large,” Bell said.
Kitto vehemently denied all allegations against her when contacted by SooToday last week, describing them as an “unfortunate attempt” by chief and council to avoid paying amounts due to her under a consulting agreement with the First Nation.
Kitto added that her mandate as CAO included “investigating financial transactions, implementing financial controls and strengthening internal financial governance” during her time as a contract employee of Garden River.
“When I sought payment approximately two years ago for amounts that were outstanding under the consulting agreement, Garden River sought information from me regarding my expenses and amounts paid to me under my consulting agreement,” Kitto said in a statement provided via email.
“A full response was promptly provided. Garden River was — and continues to be — unable to identify any payments made to me that were not properly authorized.”
The full scope of the alleged “wrongful acts and the resulting damages” suffered by Garden River are expected to be fleshed out before the matter goes to trial, court documents show.
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