Suspended chief cries foul on lawsuit
John McFadden
Northern News Services
Monday, April 17, 2017
ACHO DENE KOE/FORT LIARD
Suspended Acho Dene Koe First Nation Chief Harry Deneron says a lawsuit against him is merely a ploy to influence the upcoming band election.
Harry Deneron was suspended in a vote by the band's council on March 9, one week after ADK and Beaver launched the legal action. - NNSL file photo |
That contention was contained in Deneron's statement of defence after he was sued for $250,000 by Acho Dene Koe-owned companies ADK Holdings Ltd., and Beaver Enterprises.
The companies allege he breached his fiduciary duty toward them, accusing Deneron of working against their bid to renew contract work for airport and highway maintenance in the Fort Liard area.
The contract was to be extended but ADK alleges Deneron asked the territorial government to put it out to tender instead.
It states Deneron told the GNWT there were other companies in town that could do the work, companies that
ADK claims Deneron has a financial stake in.
Deneron was suspended in a vote by the band's council on March 9, one week after ADK and Beaver launched the legal action.
In his statement of defence, Deneron, who has been the chief intermittently since 1975, denies every allegation set out in the statement of claim and agrees the case
should go to trial.
Deneron is being represented by Calgary-based lawyer Douglas McNiven.
"The ADKFN band is scheduled to hold an election ... in approximately three months. The ADK and Beaver are members of the AKDFN Band. (Deneron) states this action is brought to influence the election to the benefit of the plaintiffs," McNiven wrote in the defence statement.
Deneron contends he did not owe any duty to the companies and if he owes fiduciary duty to anyone - it is to the band itself. ADK is the business arm
of the band and Beaver is its construction firm.
