The Ontario government says it is appointing an administrator to run Conestoga College after an audit discovered “significant financial misuse and governance failings” at the Kitchener, Ont., institution.
Colleges and Universities Minister Nolan Quinn says Linda Franklin is taking over as administrator immediately, and the college’s board of governors has been relieved of its duties.
Quinn says regular operations will continue at the college with no disruptions, and Franklin — who previously served as president and CEO of Colleges Ontario, the association representing Ontario’s 24 public colleges — is expected to restore “responsible fiscal decision-making.”
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The province says the move comes after an extensive audit revealed “egregious financial decisions” that lacked appropriate oversight by the college’s board, including the approval of a 55-per-cent salary increase to more than $636,000 in 2024 for a former president.
It says the audit also uncovered that three senior leaders at the college took a $23,000 trip to Italy and other similar trips, where the school paid for business class airfare, luxury accommodations and premium transportation.
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The government says there were also “repeated, ineligible hospitality expenses,” such as a $1,300 staff dinner where half of the pre-tax bill was alcohol.
“This pattern of irresponsible decision-making has led to upheaval for students, staff and the local community, including the layoff of more than 500 employees, one of the largest layoffs in Ontario’s college sector to date,” the province said in a statement.
Conestoga College laid off hundreds of employees earlier this year following declining international student enrolment due to a federal cap of number of international students.
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