The Assessment and Investigative Services Branch of Crown Indigenous Relations and Northern Affairs Canada (CIRNAC) and Indigenous Services Canada (ISC) has launched a forensic audit into nearly $88 million in federal funding sent to Lake St. Martin First Nation since April 2022.
The community, also known as Obushkudayang, is located 225 kilometres northwest of Winnipeg and has 3,000 members, with 1,700 living on-reserve.
ISC spokesperson Eric Head confirmed the audit was initiated after an allegation was received but declined to provide specifics. He emphasized that all complaints about public fund misuse are taken seriously and investigated accordingly.
Head noted the band has filed financial reports for 2019-20 and 2020-21 but remains years behind in disclosures required under the First Nations Financial Transparency Act. However, reporting delays alone do not prompt forensic reviews.
Chief Christopher Traverse has not responded to requests for comment. The band office indicated he is not regularly available by phone or at the office.
The audit follows five similar investigations in 2024-25, including one that uncovered $34 million in questionable transactions involving the Federation of Sovereign Indigenous Nations in Saskatchewan.