The governing body for accountants has charged a former City of Toronto treasurer with professional misconduct for awarding millions of dollars worth of contracts to a man with whom she had a sexual relationship.
The Institute of Chartered Accountants of Ontario (ICAO) laid three charges against Wanda Liczyk Thursday morning during a disciplinary hearing.
The Professional Conduct Committee alleged that 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 allegedly "signed contracts for consulting services provided by Michael Saunders or his company without proper authority."
The committee said that was "contrary to Rule 201 of the rules of professional conduct."
"The charges are the ones that we felt were most appropriate in this particular case," Perry Jensen of the ICAO said Thursday.
But Doug Elliot, a citizen who filed the complaint with the institute, said the charges do not go far enough.
"The Institute of Chartered Accountants has ignored completely Madame Justice Bellamy's decision with respect of the relationship that she (Liczyk) had with Dash Domi which was clear in the review of facts and at the same time it has ignored the MFP report all together," Elliot said.
A hearing date for the case will not be set until Feb. 28.
The date was to be set on Thursday, but Liczyk's lawyer requested it be postponed, saying he was only hired a day before and needed more time to review the file.
Paul Le Vay added that he is concerned with the process by which his client was charged.
"It would appear that the manner that this matter has been referred to the discipline committee here is quite unfair to Ms. Liczyk and we're looking at that issue," Le Vay said.
If Liczyk is found guilty, she could face a fine or have her license to practice as a chartered accounted suspended or revoked.
Liczyk rocked the MFP computer leasing scandal inquiry two years ago when she admitted to having a sexual relationship with Saunders, who was a software consultant.
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 Desmond Brown
