A former senior Public Servant in the Government of the Canadian Province of Ontario is alleged to have embezzled at least $C11 million (almost the same in Australian dollars) and taken part in an alleged fraud worth at least $C30 million.
In an amended statement of claim, the Province alleges Sanjay Madan (pictured) received $C10 million in secret commissions for steering Government consulting contracts to certain companies he or associate, Vidhan Singh controlled.
The Government alleges Mr Singh paid Mr Madan $C5 million in commissions, while other companies paid Mr Madan a further $C5 million for Government contracts.
“Sanjay accepted some or all of the secret commissions in cash and/or caused some or all of the secret commissions to be paid or diverted into accounts controlled by him and/or by his companies,” the document states.
Mr Madan’s lawyer had no immediate comment on the allegations. Mr Singh could not be immediately reached for comment.
Earlier, a Crown lawyer said the Ontario Government had yet to recover the more than $C11 million in COVID-19 relief money the Province accuses Mr Madan and his relatives of embezzling, although money had been paid into the court.
Mr Madan, who had a senior IT role and helped develop a computer application related to the COVID-19 relief benefit, was fired in November.
His wife and two adult sons all worked for the Province in information technology.
The $C11 million civil claim accuses the Madan family and others of illegally issuing and banking cheques under the program that aimed to defray the cost of children learning at home.
According to the lawsuit, Mr Madan, who also goes by the name of Sadanand Madan, and his family opened more than 400 accounts at the Bank of Montreal between April and May.
They then deposited around 10,000 cheques made out to fictitious applicants with thousands of non-existent children under the support program.
Mr Madan’s wife and children have said in sworn affidavits they knew nothing of his purported wrongdoing, saying they were victims and that his alleged actions were totally out of character.
No criminal charges have been laid in the case.
Toronto, 30 January 2021
