B.C.’s Auditor General has released its interim report into its investigation of the administration of CleanBC grants by MNP.
B.C.’s Legislature passed a resolution in April for the auditor general to examine alleged conflicts of interested in the administration of grants by MNP. The firm both administers certain grants and offer companies services to draft their grant applications.
The resolution directed the auditor general to examine “the administration of grants by MNP LLP under the advanced research and commercialization program and the Commercial Vehicle Innovation Challenge."
The interim report outlines the auditor general’s approach to its investigation, information about the grant program, the roles and responsibilities of MNP and the Ministry of Energy, Mines and Low Carbon Innovation in administering the program and details work completed up until June 24 as well as next steps.
The issue first arose in the Legislature on April 3 when BC United opposition MLA Jackie Tegart for Fraser Nicola called on the auditor to undertake an examination of any potential conflict of interest in the administration of the CleanBC go-electric grant program.
In response, the ministry said there were “no technical violations” from MNP because the grant application services it was offering were not for the grants it was administering and Tegart’s committee request was declined.
Chace Barber, CEO of Merritt-based electric trucking company Edison Motors, released a video on social media to share his experience applying for the grants following the ministry's response.
According to Barber’s post, the electric-vehicle maker was denied a grant by MNP, then offered an MNP service that would charge a 20 per cent “success fee" for another application.
He called it a clear conflict of interest.
MNP denied wrongdoing, calling the allegations “false and misleading” and stating, “many firms provide grant administration and grant writing services to assist clients.”
“Professional services firms that provide these services, including MNP, have policies and procedures to address potential conflicts of interest,” MNP said in a statement.
MNP said its policies prohibit employees from providing grant writing services on grants administered by the company.
Following Barber's social media post, B.C.’s Legislature passed a resolution to prompt the Auditor General to begin its investigation.
Barber later told Castanet MNP had threatened to sue him.
The final report and the investigation’s findings will be released on Sept. 1.
