Malcolm Gorrill
Northern News Services

Yellowknife (Apr 12/00) - Mary Kosta wants a criminal investigation launched over the actions taken in 1997 by Royal Oak Mines' board of directors and its CEO, Peggy Witte.

Kosta, who recently conducted a three-week hunger strike to raise awareness of various issues facing Giant mine workers, is co-ordinator for the newly formed Wives Group.

They, as well as the Pensioners Group and the Citizens' Action Group, are fighting for workers who were laid off from the bankrupt mine last fall and who have yet to receive severance pay. As well, benefits under the hourly pension plan have been cut back 25 per cent since April 1.

"One thing the Pensioners and Wives groups are now working on," Kosta told reporters Saturday, "is to file a complaint with the RCMP forensic accounting branch to ask for a criminal investigation of Royal Oak and its board of directors and its CEO, for appropriating $2.2 million of pension funds and investing it in Royal Oak stocks."

Kosta said the groups are conferring with lawyers on this matter.

"We feel this may be a criminal act, that this may be a misappropriation of workers' entitlement. Pensions are deferred wages, so we think there is a case there.

"Whether it is breach of trust or embezzlement or fraud, we don't know yet."

The Wives Group is also seeking donations for a fund they've set up to aid in their fight.

Kosta attended a meeting Saturday with Western Arctic MP Ethel Blondin-Andrew. Kosta said that, once again, she had agreed to not resume her hunger strike so as to give Blondin-Andrew more time to work on the issues facing Giant miners.

For her part, Blondin-Andrew discussed an idea put forth by national Canadian AutoWorkers president Buzz Hargrove last week. Hargrove suggested Blondin-Andrew introduce a private member's bill into the House of Commons asking the federal government to make up the shortfall in the pension fund and also to resolve the severance issue.

Blondin-Andrew said her staff was investigating whether she could introduce a private member's bill, since she is a member of the privy council.

Blondin-Andrew said she is studying the pension guarantee fund in Ontario.

"If it worked there, why wouldn't it work here?" she asked.

Blondin-Andrew said she met Thursday with Labour Minister Claudette Bradshaw, and that the minister had made a commitment to visit Yellowknife soon.

Blondin-Andrew said, "I've impressed upon her that workers' rights have a lot to do with her mandate."