Ad Age: Advertising Scandal Rocks Canadian Government
A Canadian government audit reports that more than 40 percent of a $190 million project to make Canadians feel good about national unity was "mishandled." Much of the $76 million in improperly spent funds went through five agencies - most of which are affiliated with WPP Group's J. Walter Thompson. The report alleges that these agencies took commissions or fees for doing next to nothing. Canada's new prime minister quickly fired several senior officials and started an independent investigation.
A Canadian ad industry association spokesman told Ad Age, "99 percent of the industry is clean, fair and doing a damn good job." Unfortunately, that one percent might just be the financial officers.