Statement from former OLG Chair, Michael Gough

    TORONTO, Aug. 31 /CNW/ - As Chair of the Board of the Ontario Lottery &
Gaming Corporation (OLG), I wish to address the release of information related
to expense account claims submitted by executives in the Corporation between
January 1, 2007 and December 31, 2008. None of these relate to expenses
incurred by OLG's Board of Directors or by me as the Chair.
    On August 27, 2009, I offered my resignation to the Honourable Dwight
Duncan, Minister of Finance. My resignation was not requested. It was offered
by me because as Chair of OLG I am ultimately responsible and accountable
within OLG for the actions of the Corporation. The Minister has accepted my
resignation effective today, August 31, 2009.
    I assumed the position of Chair of the Board of OLG in June 2006. This
coincided with a turbulent time in the Corporation's history as the details of
inadequate policies and practices within our Lottery prize structure came to
the attention of the public and Ontario's Ombudsman. Over the past three years
I and my fellow Board members have worked tirelessly to effect cultural change
within OLG based on the fundamental principle of integrity and the high values
that the people of Ontario expect from a Crown agency. We have made
significant progress and OLG of today is vastly improved. However, clearly
some of the expenses of management executives released today were wholly
unacceptable for a public agency and are a clear indication that the cultural
transformation is not complete.
    I have also concluded that the next phase of the transformation can be
best led by a new Chair. Over the coming weeks, I have offered to assist the
Minister to effect an orderly transition to a new Chair and the necessary
recruitment of new Board members.
    Over the two-year period in which these expenses were incurred, a number
of different policies and individuals guided and approved these expenses.
After a detailed review of these expenses, immediate action has been taken to
mitigate the areas of exposure and to ensure proper oversight and
accountability internally. A new corporate policy for business and travel
which includes changes to our expense guidelines for all employees has been
implemented. This policy follows the travel and expense policy of the Ontario
Public Service.
    With annual revenues of almost $6.5 billion, OLG generates more than $1.7
billion in profit each year to help fund hospitals, infrastructure and other
priorities across Ontario. At the same time, we are ultimately responsible to
the government and people of Ontario. As a public agency OLG is rightly
expected to adhere to the highest standard of accountability regarding
    There have been many significant achievements by OLG that are a direct
result of the hard work and dedication of the Board and Management. I believe
that the people of Ontario recognize this. It has been my honour to lead the
OLG Board during this period of transition and I have confidence in the future
of OLG under new leadership to continue to move this organization forward.

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