Former Surrey employee charged after police probe alleged $2.5M municipal fraud

A former City of Surrey employee faces four criminal charges in connection with an alleged $2.5-million fraud involving municipal funds. The case has raised questions about financial oversight and internal safeguards at Surrey City Hall.

According to the Surrey Police Service, the Surrey RCMP Economic Crimes Unit investigated allegations that a former employee accessed municipal financial systems and created fraudulent documents to issue and deposit city cheques for personal benefit. The BC Prosecution Service approved four charges against 40-year-old Sunny Catlin, including breach of trust by a public officer, fraud over $5,000, theft over $5,000 and forgery. The allegations have not been proven in court.

Surrey Mayor Brenda Locke, contacted by Connect Newsroom, declined to discuss the allegations because the matter is before the courts. She acknowledged investigators' work and emphasized the city's commitment to transparency and accountability.

The City of Surrey previously disclosed that financial irregularities involving dormant development-deposit accounts dating back to 2017 were discovered in early 2024. The city launched an internal review, engaged external forensic specialists and initiated civil proceedings to recover approximately $2.5 million.

The criminal case highlights the importance of financial controls and accountability in managing municipal funds. Catlin's first court appearance is scheduled for December 2, while the city's efforts to recover the disputed money remain a separate civil matter.