IWK to pursue legal claim against former CEO in expense scandal
Halifax hospital says Tracy Kitch had not repaid $10K in expenses by end-of-September deadline
The IWK Health Centre says it will pursue a legal claim against former CEO Tracy Kitch in a bid to recover approximately $10,000 in outstanding personal expenses charged to the Halifax children's hospital.
Nick Cox, a spokesperson for the hospital, said in an email that as of 3:45 p.m. Monday it had not received the money it says Kitch still owes.
Kitch stepped down from her post as chief executive in late August — one week before an independent audit found she expensed some $47,000 in personal charges to the IWK for things like air travel, hotel costs, data overages and car rentals.
Some of Kitch's expenses had been repaid by the time she resigned, but the hospital board had asked that the outstanding balance be repaid by the end of September.
Nova Scotia's auditor general has since announced his office will examine the IWK's books and practices, and the hospital's board has referred the matter of Kitch's expenses to Halifax Regional Police.
CBC News first reported the inconsistencies with Kitch's expenses in June, finding that thousands in personal expenses were charged to a corporate credit card in Kitch's name.
Kitch was hired in the summer of 2014 at a salary of $280,000. She earned $296,000 last year.
The hospital's top financial official, Stephen D'Arcy, has also been swept up by the expense scandal, resigning last week just two weeks after he was placed on paid leave.
The former CFO removed critical emails related to expense preparation for a freedom-of-information disclosure, a CBC News investigation showed.