Close X
Friday, November 1, 2024
ADVT 
National

Ontario recovers $11M in alleged COVID fraud

Darpan News Desk The Canadian Press, 23 Jan, 2021 01:08 AM
  • Ontario recovers $11M in alleged COVID fraud

A former senior employee with the Ontario government has repaid more than $11 million in COVID-19 benefits the province alleges he took fraudulently, his lawyer said on Friday.

The unproven civil claim named Sanjay Madan, who had a senior IT role and helped develop the computer application for applying and approving the benefit for families with children.

In a brief statement, Madan's lawyer Christopher Du Vernet confirmed his client had made the repayment.

"In fact, the province has recovered in excess of the funds it presently alleges Mr. Madan took from the Families Support Program," Du Vernet said.

"However, it is also seeking its legal costs, interest and punitive damages, so the action continues."

In its untested lawsuit filed last fall, the province alleged Madan, his wife and two adult children who all worked for the Ontario government in information technology defrauded the province of at least $11 million.

The civil claim, which also sought $2 million in punitive damages, accused them and others of illegally issuing and banking cheques under the program that aimed to defray the cost of children learning at home.

"The Madan family exploited their positions of employment with Ontario and unique access to the (program) and payment processing system," the government alleged in the claim. "The plaintiff was uniquely vulnerable to Sanjay, particularly with respect to the integrity of the...application."

The Ministry of the Attorney General did not immediately confirm the recovered money, first reported by the Toronto Star.

Du Vernet said his client "deeply regrets" his actions and was awaiting results of medical opinions on his condition.

According to the lawsuit, Madan and his family opened more than 400 accounts at the Bank of Montreal between April and May. They then deposited around 10,000 cheques made out to fictitious applicants with thousands of non-existent children under the support program.

Most deposits were made over a four-week period starting on May 25, coinciding with a rule change that allowed more than five payments to be made to an applicant. The government alleges Madan either sparked the rule change or knew about it and took advantage.

In other court filings, Madan is said to have told the government that he could explain "all of this" and that he has "helped many families."

The government had served notice it intended to seize any money the family allegedly obtained fraudulently and obtained a court order to have their bank accounts turned over to the court pending the outcome of the lawsuit.

The government also obtained a court order freezing the family's assets, which included a list of properties in Toronto.

Madan was fired in November.

MORE National ARTICLES

Speed up vaccines, Trudeau to tell provinces

Speed up vaccines, Trudeau to tell provinces
Concerns have emerged, however, that the payment of up to $1,000 is being claimed by people who are quarantining because they travelled outside the country.

Speed up vaccines, Trudeau to tell provinces

Vancouver home sales surge 53.4% in December

Vancouver home sales surge 53.4% in December
Vancouver real estate agents sold 1,026 detached homes, a 71.3 jump from December 2019. The board says the composite home price in Vancouver ended the year at $1,047,400, up 5.4 per cent from the same time last year.

Vancouver home sales surge 53.4% in December

Powerful wind storm buffets coastal B.C

Powerful wind storm buffets coastal B.C
Environment Canada's weather office says gusts of up to 120 km/h are possible in northern regions before easing by noon while winds of 70 to 90 km/h are forecast to hit the south coast by midday.

Powerful wind storm buffets coastal B.C

B.C.'s top doctor announces vaccination plan

B.C.'s top doctor announces vaccination plan
Henry says homeless people using shelters and health-care workers including family doctors will be given priority for shots.

B.C.'s top doctor announces vaccination plan

COVID-19 rules 'fraught' with ambiguity: judge

COVID-19 rules 'fraught' with ambiguity: judge
Justice Nigel Kent says public health orders designed to reduce the spread of COVID-19 aren't clear and "provide very limited express direction" to families that are navigating co-parenting responsibilities.

COVID-19 rules 'fraught' with ambiguity: judge

Housing market assessments show 'resilience'

Housing market assessments show 'resilience'
Most areas had single-digit price increases with the exception of Vancouver and Squamish, which saw an average boost of 10 per cent for single-family homes.

Housing market assessments show 'resilience'