Iqaluit (Feb 24/03) - Nunavut's government could have its hands on a cool $32 million if ... it just filled out a few forms.

That's what Nunavut loses out on for not keeping its books up to date, says the Auditor General of Canada, Sheila Fraser.

"Canada owes Nunavut $32 million, going back to 1999," Fraser told the standing committee on government operations and services, Feb. 20.

"The problem is that Nunavut is unable to prepare its claims in the detail required by the federal government," Fraser said.

"This is money I'm sure the Nunavut government would like to have," she said.

The Nunavut government has been taking up to 14 months to file its financial books, compared to just seven months by someone as large as the federal government, or equally as small as the Northwest Territories government, Fraser said.

Being the new kid on the block is a bit of an excuse.

"We recognize that Nunavut is a new government, so it's not appropriate to single out its financial statements as a government deficiency," Fraser admitted.

The government is trying to report more quickly, but hiring the expertise needed is a challenge, especially from within Nunavut, said deputy finance minister Robert Vardy.

"All senior financial advisors require an accounting designation," he said.

"Right now there are very few people available in Nunavut with those credentials."