Fort Smith (July 24/06) - A former chief and a councillor with Salt River First Nation have been found in contempt of the Federal Court of Canada for violating court orders concerning the band's financial affairs.

Former chief Victor Marie and Norman Starr were judged in contempt in a June 29 decision by Justice Judith A. Snider.

Marie was out of town last week and unavailable for comment, while Starr could not be reached.

The events leading to the finding of contempt go back to 2002 and 2003.

A council was elected in August 2002, but was largely replaced at a special membership meeting in November of that year.

Marie, as chief, and Starr were members of both councils.

The change of council led to a period of political uncertainty for the First Nation and the Federal Court issued a series of orders to protect the financial assets of the Fort Smith-based band. The Federal Court ruled in May 2003 that the so-called August council was the legitimate leadership.

In 2003, five members of the reinstated council - Melvin Wanderingspirit, Delphine Beaulieu, Toni Heron, Raymond Beaver and Sonny MacDonald - applied to the Federal Court to find Marie, Starr and other members of the November council in contempt.

Initial court proceedings in 2003 were dismissed when there was some question as to whether the members of the November council had been properly served notice.

New hearings were held May 1-2 of this year in Edmonton.

Justice Snider found Marie in contempt of four court orders and Starr of one.

For example, Marie and Starr were found in contempt for signing cheques in violation of a June 20, 2003 order, even though that order was later ruled invalid by the Federal Court of Appeal. The order required that cheques be signed by three people authority - Marie, Starr and other members of the August council.

The cheques in question were only signed by Marie and Starr. Justice Snider also determined they were backdated to before the order was issued.

"In spite of the subsequent decision of the Court of Appeal, it should be noted that, where a court issues an order, that order must be obeyed even if later reversed," Justice Snider wrote in her 25-page decision.

The other findings of contempt also involved cheques.

A hearing will be held on Sept. 28 at the Federal Court in Edmonton to determine the penalties for Marie and Starr.

A motion of contempt was dismissed against other members of the November council - Nora Beaver, David Gowans, Michel Bjornson, Harvey Lepine and Don Tourangeau - and former interim band manager Jeannie Marie-Jewell.

"The judge realized there was nothing they could hold against me," says Tourangeau.

"I'm glad it's behind me," he adds, noting he hopes the justice's decision is not appealed.