There was no political interference in the B.C. government’s decision to pay $6.4 million in legal bills for disgraced former ministerial aides Dave Basi and Bobby Virk, according to a new report by the province’s auditor general.

Russ Jones’ report found Basi and Virk’s special indemnities were granted legally, based on a review of 10,000 documents and interviews with past and current government employees.

“The audit team found consistent evidence that decisions were made by public servants, independent of elected officials, and that ministers were informed of decisions only after the decisions were made and implemented,” the report reads.

It notes that the audit was “limited to the documents for which the two defendants had waived solicitor-client privilege,” however.

Basi and Virk pleaded guilty to breach of trust in October 2010 for providing insider information in the controversial sale of BC Rail a decade ago.

The Liberal government followed the surprise plea by announcing it would still pay the men’s hefty legal fees, a decision that sparked public outcry as indemnities are normally only paid if public servants are acquitted.

Jones’ audit found that the decision was ultimately made to avoid a greater cost to the province.

By the time prosecutors approached Basi and Virk with a plea deal, B.C. had already spent $6 million on their defence, and only two of 42 possible witnesses had been called to testify, according to the report.

The government estimated it would cost another $2 million for the trial to run its course, and that it would be on the hook for the bulk of Basi and Virk’s costs either way because the pair held only $400,000 in assets.

Based on those findings, the Legal Services Branch recommended that Basi and Virk be released “from any potential liability to repay the costs of their defence as long as … they pleaded guilty and were convicted,” the report reads.

Jones’ audit paid special attention to Basi and Virk’s case, but reviewed a total of 26 indemnity agreements from 1996 to 2011 and found no evidence of political interference or illegal activity in any of them.

The report made 10 recommendations aimed at improving the practice, including for government to obtain a waiver of solicitor-client privilege from any employee getting indemnity coverage, to ensure auditors get a complete picture.

Solicitor-client privileges also prevent the Office of the Auditor General from reviewing criminal cases where the defendants can’t afford their own lawyers, Jones said, including the trials of serial killer Willie Pickton and gangster Jamie Bacon.

To read the full report, click here.