The Newfoundland and Labrador government has requested an audit of processes and controls of the Fisheries and Land Resources department, as well as referred the matter to RCMP.
The internal inventory found there were "anomalies" in controls of Fisheries and Land Resources.
As such, government has asked the auditor general to conduct a formal audit into the policies and procedures for government assets.
The department has also referred the matter to the RCMP for a review.
Minister Steve Crocker said in a release that he became aware of the problems when the department was restructured.
"These issues are significant enough that I have requested the Auditor General to conduct an audit and I have asked the RCMP to review this matter as well," he said in a release.
"We know that any policies and procedures we have in place for government assets must be done with transparency and accountability in mind. These investigations will help us ensure we meet this objective."
Government will release an update when the auditor general releases the report and findings.