Kerry McCluskey
Northern News Services

Spence Bay (May 13/02) - The operating deficit for the hamlet of Taloyoak rings in at $1.3 million, according to a final audited report compiled by accounting firm Mackay-Landau.

Mike Rafter, the director of finance for Nunavut's Department of Community Government and Transportation, released the figure last Wednesday afternoon.

The audited report was ordered to clear up suspicions that the former senior administrator -- now serving time in an Alberta jail for fraud -- may have contributed to the significant deficit.

But neither the preliminary nor final report contained any evidence that the administrator committed anything illegal working for the hamlet.

The good news is the hamlet's financial worries aren't as bleak as the audit would suggest.

Once the water and sewer, equipment and vehicle, capital and land development reserve funds are taken into account, the accumulated deficit falls to $579,944.

"That's the overall deficit of the hamlet," said Rafter.

Now that the lengthy audit is complete, the next step is to pay back the shortfall. A made-in-Taloyoak deficit recovery plan has been drawn up and is being reviewed and by the community's mayor and council.

"It hasn't been formally filed with the government, but I'm told it's coming fairly quickly," said Rafter.

Mayor David Aqqaq did not reply to several requests for an interview on the subject.