Five charged with fraud in probe of OPP union

Three former top executives of the Ontario Provincial Police Association and two of their business associates were charged Thursday with fraud and money laundering following a 19-month RCMP probe into allegations of misuse of funds.

The investigation, led by investigators with the RCMP’s financial crime and anti- corruption units, centred on allegations that the union leaders “secretly benefited” from contracts that had been arranged between the OPP Association and two companies — a travel agency and a consulting firm — according to court documents.

Charges of f raud and money laundering were laid against James Christie, 48, the union’s ex- president; Martin Bain, 50, the former vice- president; and Karl Walsh, 52, the former chief administrative officer. All three are sworn officers with the OPP and remain suspended with pay, the force said Thursday.

The same charges were also laid against Andrew McKay, 54, a Toronto lawyer who often represents officers accused of wrongdoing, and Francis Chantiam, 60, of New Jersey, police said in a news release. ( He is identified as Noel Francis Chantiam in court records).

None of the charges has been proven.

According to a court affidavit filed in March by RCMP Sgt. Gordon Aristotle, McKay and Chantiam used their legal and business expertise to establish the companies, while Christie, Bain and Walsh “used their positions of influence” within the union to secure business relation- ships with the companies. All had financial interests in the companies, police allege.

One of the companies was Leximco/ First Response Travel. OPPA staff were instructed to arrange all business travel exclusively through this company, which amounted to an estimated $400,000 a year, the court records state.

The other company was PIN Consulting Group Inc. It was to provide a wide range of services related to travel, real estate and investments at a cost of $5,000 a month, according to the court records.

At no time did Walsh, Christie or Bain disclose to the OPPA board of directors that they had a financial interest in either company, police allege.

“Each director explained in their own way just how shocked and upset they are, and how they are left feeling betrayed and deceived by Walsh, Bain and Christie,” Aristotle wrote.

Court documents identified Klara Kozak as the “face” of the travel agency. She was not among those charged on Thursday.

Kozak t old i nvestigators she did not understand how there could be money laundering connected to the travel agency and why there would be a criminal investigation, according to the court records. “She questioned what she could have done differently.”

Rob Jamieson, the OPPA’s current president, said Thursday the association has made changes to improve accountability and protect its finances. “We’ve turned the page on a dark chapter in our history,” he said.

All five to appear in court July 18.