Fredericton employee resigns amid 'financial irregularities'

A City of Fredericton employee has resigned after an internal review uncovered "small financial irregularities" in operations, sparking a police investigation, the mayor announced on Wednesday.

"Management undertook its own internal investigation and did ask the police to assist." Mayor Brad Woodside said in a statement.

But given the resignation, the city has withdrawn its complaint and the police investigation has now been dropped, said Woodside.

"This action, in this particular case was appropriate considering all of the circumstances," he said.

There was no service disruption or loss of revenue to the city, and there were a number of "very sensitive personnel issues" involved, said Woodside, declining to elaborate.

"As an employer, we have to look at the particular circumstances of every case of this type and protect the public good," he said.

"We must also consider the impact on the city as an organization, respect personal privacy, while maintaining compassion for the individual."

The matter, from the city's perspective, is now closed, said Woodside.

The irregularities were recently discovered by management through a system of financial checks and balances.