In follow-up to our 2019 AGM, we wanted to provide the community with an update on Glooscap Venture’s business plan to import feta cheese and processing equipment. During our AGM, we shared with you that we made the decision to dissolve our relationship with Ilia Gourmet Foods Canada Inc. as they were not meeting the obligations as required by them in their partnership contract with us.
Since that time, and upon completing an annual audit and routine financial oversight, Glooscap Ventures identified irregularities in spending and accounting projects associated with Ilia Gourmet Canada Incorporated. As soon as these irregularities were confirmed, Glooscap Ventures referred the matter to the RCMP, where it currently remains under investigation. While it is too early to confirm the exact impact, we understand that the total funds currently under review are in excess of $3.1M.
On January 31st, Glooscap Ventures, and Glooscap First Nation commenced a legal proceeding against Ilia Gourmet Canada. Glooscap Ventures has shared this information with the Board of Glooscap Ventures, Glooscap First Nation Council, and the organization’s partners and funders.
We operate under the highest standards of ethics and accountability. In fact, in November 2019, Glooscap First Nation received a Financial Management System Certificate from the First Nations Financial Management Board (FMB), making it the second Nation in Nova Scotia to achieve this coveted certification.
While this situation is disappointing and unfortunate, we are grateful for the support we are receiving from the community, our stakeholders and funding partners. Our core focus remains continuing our important programs, services and businesses that facilitate growth and capacity building in the community of Glooscap First Nation.
Respectful of the legal process now underway, we are limited to the amount of information we can discuss at this stage. When we are in a position to provide an update, we will do so in a timely manner.