Former City of Toronto treasurer Wanda Liczyk has been suspended and fined for her professional misconduct that came to light during the MFP computer leasing scandal.
Liczyk was suspended for six months from practicing as a chartered accountant after pleading guilty Wednesday to three charges brought against her by the Institute of Chartered Accountants of Ontario (ICAO).
Liczyk was also fined $15,000 and ordered to pay $7,000 for costs related to the hearing.
During the proceeding on Wednesday, Liczyk sat quietly and listened to an agreed statement of facts that detailed how she awarded millions of dollars to an American software consultant with whom she had a sexual relationship.
The ICAO decided last July not to pursue charges against Liczyk, but protests by the City of Toronto and by citizen Doug Elliot caused the institute to review its decision.
The Professional Conduct Committee said while Liczyk held a senior finance position at the City of North York (between May 1989 and December 1997) she "failed to conduct herself in a manner" that would maintain the accounting profession's reputation "and its ability to serve the public interest."
The committee added that she "participated in decisions" that sent work to her friend, Michael Saunders or a company with whom he was "associated."
A similarly worded charge was entered for the period between about January 1998 and June 2001 when Liczyk was Chief Financial Officer and Treasurer for the City of Toronto.
Finally, the committee said that between about January 1998 and December 1998 Liczyk "signed contracts for consulting services provided by Michael Saunders or his company without proper authority."
Liczyk rocked the MFP computer leasing scandal inquiry two years ago when she admitted to having a sexual relationship with Saunders.
Her conduct came under fire by Justice Denise Bellamy in the 2005 report on Toronto's computer-leasing practices.
Bellamy said Liczyk was in a conflict of interest when she participated in awarding million dollar contracts to firms connected with Saunders. The judge also said Liczyk had a conflict in dealing with Domi, a friend with whom she "failed to maintain the professional boundaries" when he did business with the city.
Domi, the brother of former Maple Leaf Tie Domi, worked for MFP Financial Services Ltd., which leased computer equipment to the city.
The cost of the contract was stated as $43 million, but that amount ballooned and the city ended up paying more than twice that amount. Bellamy found Liczyk "buried" the overrun in her council reports.
With a report from CTV's Chris Eby and files from Desmond Brown
