Richard Gleeson
Northern News Services

Yellowknife (Mar 11/02) - For the second time during his little more than two years as premier, Stephen Kakfwi's leadership is being called into question.

This time the questioning came from a person the premier once said exemplified the courage and conviction he wanted to bring to governance in the Northwest Territories.

Hay River MLA Jane Groenewegen on Friday said the premier "lacks sound judgment ... displays an attitude of arrogance," and that she has lost confidence in him as a leader.

Groenewegen said it was a settlement of several hundred thousand dollars that the government paid former chief of staff Lynda Sorensen that shook her confidence in the premier.

The payout is part of $514,509 in severance pay cabinet approved for Sorensen, former principal secretary John Bayly and their secretaries.

"(Groenewegen) was very upset and agitated about the amount of money we had to pay out for the staff we let go," Kakfwi later said. "That's what it costs to get rid of senior people without cause."

On the condition they keep it confidential, MLAs were told the amount of each settlement in a closed meeting the day Thursday.

Bayly and Sorensen resigned in the wake of the conflict of a conflict of interest inquiry that focused on two phone calls made to conflict commissioner Carol Roberts. Bayly made one of those phone calls on the speakerphone in Kakfwi's legislative assembly office. Bayly failed to tell commissioner Carol Roberts that Sorensen, Groenewegen and others were listening in.

Groenewegen, who secretly recorded that conversation and another she had with the commissioner, resigned from cabinet.

On Friday, MLAs probed for details on how Sorensen's settlement was reached. The questioning continues today in Yellowknife.

A key issue is whether Kakfwi had any involvement in negotiating the settlements. Kakfwi has also contradicted a statement by one of his ministers.

Responding to an assertion from Yellowknife MLA Sandy Lee, who maintains Sorensen was compelled to resign, Handley said he never threatened to resign if Sorensen was not fired.

Kakfwi said a cabinet minister, who he would not name, did make such a threat.

The premier said the relationship between the cabinet minister and Sorensen was based on rumours that Sorensen was speaking badly of Handley to others.

Handley said he had heard from others that Sorensen was speaking badly of him.