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Rae band opens its books

Jorge Barrera
Northern News Services

Rae (Jan 21/02) - The Rae band appears to have quelled charges of corruption after opening up its books to the public at a council meeting.

NNSL Photo

Clifford Daniels, Rae band sub-chief, talks to band Chief Eddie-Paul Rabesca during a band meeting last Wednesday. - Jorge Barrera/NNSL photo


At the request of elder Alphonse Eronghi, the Rae band allowed media to sit in on their council meeting last Wednesday in which they released an auditor's report of their finances from the last fiscal year and an update report of the current fiscal year.

So much had been said about the band's bickering it was time to let people know the truth, said Eronghi.

And the truth seemed less sinister than anticipated.

"In our opinion, these financial statements present fairly ...t he financial position of Dogrib Rae Band Council ... in accordance with generally accepted accounting principles of First Nations as prescribed by the Department of Indian Affairs and Northern Development," read the preamble to the auditor's report signed by Michael Odell from accounting firm Michael Odell and Associates.

Since last May, a group of dissatisfied band members --including Rae's MLA Leon Lafferty -- has levelled serious charges of corruption at the band and at one point threatened to split.

"I think the concerns of individuals have been addressed," said Henry Zoe, band member.

According to the auditor's report, the Rae band amassed revenues of $10.7 million for the fiscal year ending last March 31.

They accumulated expenses of $10.5 million over the same period leaving them with excess revenue of $861, 377.

As of March 31, 2001 they had total assets of $3.5 million; $659,489 in cash; $1.8 million in accounts receivable; $764,000 in investments; $76,303 in capital assets; and $76,575 in other assets.

Tli Cho Logistics out-performed all other Rae-owned companies, generating revenues of $338,840 and Yellowknife outfitting store Wolverine Sports lost $42,105 in its first year under band ownership.

From April 1, 2001, to Dec. 31, 2001, the Rae band has invested $105,376 in harvesting programs, including hunting trips which put them in the red by $10,880.

The band spent a total of $668,866 on staff and councillor wages, honoraria and travel.

Around 200 people gathered in the band's cultural centre for the meeting.

The expected fireworks did not erupt during question and answer periods.

Dogrib Grand Chief Joe Rabesca delivered a long, emotional speech in Dogrib outlining all the things the band had done with the money.

"It's important we stick together and work together to strengthen our economic development," said Rabesca in a separate interview.

In November MLA Leon Lafferty accused the band of squandering money.

Despite the open books Lafferty still had reservations, but gave the band credit for opening the books.

"A lot of people are making too much in salary and councillors making too much in honorarium," said Lafferty, who did not attend the meeting but spoke with those who did.