IWK receives remaining money owed from former CEO, won’t pursue legal claim

The IWK Health Centre says it has received the remaining $10,000 owed in outstanding personal expenses from its former CEO, Tracy Kitch, just two days after announcing it planned to take legal action to recoup the money.

“I can confirm that, today, the IWK received a final payment from its former CEO, bringing the matter of any outstanding amounts owed to conclusion,” said IWK spokesperson Nick Cox, in an email.

READ MORE: IWK Health Centre taking former CEO to court over owed expenses

Cox confirms with Global News that the legal claim will not go forward.

“It is good to put this matter behind us as we turn our attention to supporting the review processes underway, and most importantly, continuing to support the great people at the IWK who work so hard every day to provide the best possible care to the women and children we serve,” Cox said.

Both Kitch and the hospital’s chief financial officer, Stephen D’Arcy, resigned after an independent audit found that Kitch had billed the hospital $47,273.32 in personal expenses or for expenses that weren’t properly justified.

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Two weeks ago, Halifax Regional Police announced they had received an official complaint regarding financial mismanagement within the IWK Health Centre.

WATCH: N.S. auditor general to investigate IWK, provide information to police

2:31 N.S. auditor general to investigate IWK, provide information to police

In his annual report on the province’s finances released on Wednesday, Nova Scotia Auditor General Michael Pickup says his office found significant weaknesses in financial controls at the IWK and referred to the discrepancies in the IWK executive’s spending as an “opportunity for learning.”

“It’s important that management in government departments and organizations review the control weaknesses and issues identified at the IWK and assess if their organization is exposed to similar risks,” the report says.

Tweet This Click to share quote on Twitter: "It's important that management in government departments and organizations review the control weaknesses and issues identified at the IWK and assess if their organization is exposed to similar risks," the report says.

With a file from Alexander Quon and The Canadian Press