Surrey, B.C. – May 8, 2025 – The City of Surrey has launched legal action in B.C. Supreme Court to recover approximately $2.5 million in public funds, following the discovery of irregular financial transactions involving dormant development-deposit accounts dating back to 2017.
According to a statement released today by Rob Costanzo, City Manager, the matter came to light in early 2024 as part of the City’s mandate under Mayor Brenda Locke and Council to ensure a fiscally responsible government and protect taxpayer dollars.
Upon discovering the irregularities, the City conducted an internal review and brought in external forensic specialists. The issue was also reported to the Surrey RCMP, who are now leading a criminal investigation.
“The City filed a claim against a former employee in B.C. Supreme Court in 2024 seeking the full recovery of funds, currently assessed at approximately $2.5 million, plus costs and interest,” said Costanzo.
The City has since implemented stronger safeguards to prevent similar incidents in the future. No current City employees are named in the civil action, and no additional staff have been implicated. Due to privacy laws, the City declined to comment on individual employment matters, including any involving relatives of the former employee.
“Residents can be assured that decisive steps have been taken to protect public funds and to recover the full amount on their behalf,” Costanzo added.
As the matter is now before the courts, the City will not be providing further comment at this time.