Item - 2022.EA10.1

The Compliance Audit Committee considered the apparent contraventions identified in the audit report prepared by William Molson CPA of the campaign finances of Faith Goldy (the "audit report"), and has decided to commence a legal proceeding against the candidate for the apparent contraventions.

1. The Compliance Audit Committee met on February 8, 2022 to consider the audit report. The Committee's sole focus was the alleged contraventions of the Municipal Elections Act. As a result, comments and assertions about the candidate's political views are irrelevant to this decision.

2. Evan Balgord, the Applicant, and his lawyer appeared before the Committee and provided submissions related to the audit report. These submissions summarized the audit report findings and requested that the Committee commence a legal proceeding.

3. Evan Balgord's counsel, Jack Siegel, made submissions to the Committee to support the commencement of legal proceedings against Faith Goldy regarding the apparent contraventions identified in the audit report to deter future violations of campaign spending rules.

4. Julian Heller, counsel for Faith Goldy, the Candidate, appeared before the Committee and provided written and oral submissions related to the audit report.

5. Julian Heller acknowledged that the Candidate made a number of errors. He submitted that these errors were inadvertent or should be considered minor in nature. Furthermore, Julian Heller indicated that his client would be prepared to take "legitimate corrective steps as may be required", including re-filing financial statements with the City Clerk's Office.

6. Despite these acknowledgements and the offer to take corrective steps, Julian Heller disputed many of the interpretations and conclusions contained in the audit report.

7. The Committee does not have the ability to direct the Candidate to take steps to remedy errors or to oversee these steps. The Committee's jurisdiction is set out in subsection 88.33(17) of the Municipal Elections Act which states that the "if the [audit] report concludes that the candidate appears to have contravened a provision of the Act relating to election campaign finances, the committee shall decide whether to commence a legal proceeding against the candidate for the apparent contravention".

8. It is of fundamental importance that public confidence in the electoral process is maintained. The Committee is of the opinion that it is in the public interest to commence proceedings against the candidate. Considering the apparent contraventions of the Municipal Elections Act identified in the audit report, the Committee has determined that this matter should be referred to counsel to commence legal proceedings against Faith Goldy. The appointed prosecutor shall have all of the usual power and authority of a prosecutor.

9. The Committee recognizes that Faith Goldy was a first time candidate with a separate public persona and business activities. The Candidate's business affairs were co-mingled with her campaign for Mayor. The Candidate has acknowledged making mistakes in relation to the campaign finances. The Committee accepts the candidate's sincere offer to take steps to remedy those mistakes. Indeed, the candidate has indicated her intention not to seek election in the future and to remain a private citizen.

William Molson, CPA, gave a presentation on Election Compliance Audit - Candidate Faith Goldy.

The Compliance Audit Committee recessed its public session to meet in closed session to deliberate in private on Item EA10.1 - Compliance Audit Report for the City of Toronto Re: Faith Goldy and to receive advice that is subject to solicitor-client privilege.

Final Compliance Audit Report (January 13, 2022) from William Molson, CPA, for the Candidate Faith Goldy.