HAMILTON, ON – The City of Hamilton’s Office of the Auditor General (OAG) completed its sixth Fraud and Waste Annual report and for the first time since its launch in 2019, there were more recoveries than losses.

A total of almost $502,000 has been recovered since the OAG’s last report. This is due primarily to the recovery of $417,000 related to a fraud included in last year’s report.

Between July 1, 2024 and June 30, 2025, the OAG received 148 Fraud and Waste reports, with an overall substantiation rate of 32%. This is the second-highest volume ever. 

Since the Fraud and Waste hotline launch, there has been an increased level of awareness by employees and management to report fraud, waste and whistleblower matters to the OAG. 

“The Office of the Auditor General would like to acknowledge that in addition to the reports submitted by employees and management and the assistance provided to complete assessments and investigations, the OAG also receives reports from citizens” said Charles Brown, Auditor General. “Reporting these matters so they can be assessed and investigated increases the City of Hamilton’s transparency and accountability.”

Once again, through the Fraud and Waste Annual report, the OAG has brought forward an issue of conflict of interest (COI) situations that arise with employees of the City. Since the hotline was implemented, the OAG has investigated no fewer than 29 instances of COI and it continues to be one of the most persistent, serious, and time-consuming types of complaints the OAG receives and investigates, despite a new version of the Code of Conduct for Employees approved by Council in 2023.

As such, the OAG recommended to Council that senior leadership be directed to investigate new and improved methods to improve awareness among employees of what is a Conflict of Interest and how to report them, and to report back to the Audit, Finance and Administration Committee by May 2026. 

• The Fraud and Waste Hotline launched in July 2019 as a pilot project and was made permanent by City Council in March 2023. 
• The hotline continues to provide the public, City employees, contractors and vendors with a convenient, confidential and anonymous tool to report suspicion or proof of wrongdoing.
• The OAG has received 706 reports since the Hotline launched in 2019.
• In its fourth year since inception, the volume of reports received was the highest ever, at 159 total.
• The hotline also supports the City’s goal of managing instances of fraud and waste within the organization and operating with honesty and integrity.
• The Fraud and Waste Report supports Responsiveness & Transparency, a 2022-2026 Council Priority.