The Ontario Provincial Police have launched an investigation into a company connected to the Skills Development Fund after the province found "suspicious activity" relating to payments it received from a different branch of government.
The government says it asked the OPP to look at the results of an audit on Keel Digital Solutions, which has been receiving funding from the Ministry of Colleges and Universities for student mental health.
They say a routine audit in 2023 raised concerns, so a forensic audit was conducted, and after that second audit wrapped up recently and identified "irregularities" the government referred the matter to the provincial police.
Keel Digital Solutions has been closely scrutinized at the legislature in recent weeks as a recipient of the Ministry of Labour's controversial $2.5-billion Skills Development Fund.
Labour Minister David Piccini has come under sustained fire from opposition parties calling for his resignation, particularly since media reports say one of Keel's lobbyists is a close friend of Piccini's.
An auditor general's report found the minister's office has been heavily involved in selecting projects under the Skills Development Fund, doling out money to applicants ranked low by bureaucrats.
Piccini has said Keel Digital Solutions is one such applicant that received a lower score.
The company has previously said it believes the government is conflating the two different sources of funding from different ministries "for the sole purpose of distracting from a self-inflicted mess" when it comes to the Skills Development Fund.