RCMP finds no grounds to charge former Salt River chiefs, councillors
Current leader claims $7 million surplus she left when she stepped down in 2011 has turned into a $2.2 million deficit and $1.2 million in unpaid bills
Paul Bickford
Northern News Services
Monday, July 13, 2015
THEBACHA/FORT SMITH
No fraud charges will be laid against some former chiefs and councillors of Salt River First Nation (SRFN) following a year-long police investigation. The RCMP made that announcement on July 7.
Frieda Martselos: Salt River First Nation chief disappointed by result of investigation into fraud allegations, claims surplus she left in previous term has evaporated. |
A news release from the police stated that the G Division's Federal Investigations Unit has concluded its fraud investigation in relation to Salt River First Nation.
"After completing a thorough, year-long investigation, police have determined criminal charges will not be laid," stated Const. Elenore Sturko, media relations officer with G Division in Yellowknife.
Chief Frieda Martselos told News/North on July 9 that she is not happy with the RCMP's decision.
"I was very disappointed," she said, explaining she thought the police would take the findings of the forensic audit and lay charges because she maintains there was a misappropriation of funds during a term when she was not in office.
The chief noted the band still has other options in light of the RCMP deciding not to lay charges, including the possibility of a civil suit.
Plus, she said bills are still outstanding to four former councillors who the band claims were overpaid a total of $279,000 in honouraria.
Martselos claimed that, when she resigned as chief in September of 2011, Salt River First Nation had a surplus of over $7 million, but when she was re-elected to the post 18 months later it had a deficit of $2.2 million and $1.2 million in unpaid bills.
She added she was "extremely surprised" the band's telephone and electricity had not been cut off before she returned as chief.
Martselos said she and the current council have been trying to do things properly in managing the band's finances.
"The investigation included a review of thousands of pages of documents and interviewing over 20 individuals."
The investigation began after a complaint of financial irregularities within Salt River First Nation was brought forward to the Fort Smith RCMP on June 4, 2014, by the current leadership of the Fort Smith-based band.
The information received by police alleged financial mismanagement and misappropriation by some former chiefs and councillors.
The current leadership had advised police a forensic financial audit had been performed, and the results of that audit were turned over to the RCMP.
"The investigation has determined that none of the allegations warranted criminal charges," said Sturko.
David Poitras, a former chief of Salt River First Nation, told News/North he is not surprised by the RCMP's findings that no charges are warranted.
"I knew that would be the outcome," said Poitras, who resigned as chief in January of 2013.
