HAY RIVER - Some members of West Point First Nation are rejecting the third-party management imposed on the Hay River band by Indian and Northern Affairs Canada (INAC).

"There was no need for third-party management," said Shannon Buckley, a member of a council acclaimed in a disputed election in March.

That council believes, when all is said and done, it will be returned to office.

"They're going to have to recognize us once the truth is out," Buckley said.

In fact, she considers the council to still be in power.

The council won't co-operate with creating and ratifying a new election code or holding elections, among INAC's conditions for the band to get out of third-party management.

"They won't have support from the members," said Chelsea Thomas, another member of the council elected in March.

Thomas said the process is a waste of time.

When it imposed third-party management by a Yellowknife accounting firm on April 5, INAC dismissed the band's duelling leadership - the March council and Karen Felker, the chief ousted in November.

Until third-party management began, she had been recognized by the department as the legitimate leader.

The council elected in March and its supporters largely come from the Cayen family side of the 73-member band.

However, Buckley said the dispute is not based on family divisions, just Felker's actions as chief.

Members of the March council blame Felker for causing the band's financial problems which led to third-party management.

Wendy Cayen, the band administrator until third-party management was established, said Felker contacted funding agencies in January to cut off the flow of money to the band.

"She created the problem and blamed everybody else," Cayen said. "She's not taking responsibility."

Felker rejects the charge.

"I didn't contact any organization," she said.

She said government funding agencies contacted INAC about the situation at the band, and funding was put on hold.

The band gets about $400,000 annually from various sources.

"If we weren't cut off funding the band would be in good standing," said Buckley.

Council members said Felker was removed from office in November for violating band policies.

In particular, they blame Felker for financial mismanagement and they want a forensic audit into band affairs.

"Membership wants the truth," Buckley said.

Felker's opponents said they took some of their concerns to the RCMP, which confirmed it is investigating.

In fact, Cpl. Jim Forsey of the Hay River RCMP said both Felker and her opponents have brought concerns to the police and there are accusations on both sides.

"We're looking into some allegations," Forsey said. "No charges have been laid to date."

The corporal said the investigation began late last year and is ongoing.

Felker dismisses any suggestion she mismanaged finances, saying she called for and welcomes third-party management, which means the band's books will be examined by an independent body.

"If I was guilty of anything, I wouldn't have pushed it this far," she said. "I'd be implicating myself."

INAC held a members-only meeting last week to explain why it imposed third-party management.

"I think we were pretty clear in explaining to members on April 16 that third-party management is not optional," said George Cleary, INAC's director of Indian and Inuit services in the NWT.

Cleary said the meeting, which attracted about 30 voting members of the band, was very productive.

However, band member Lucy Cayen said she and many others were disappointed with the meeting. "We weren't being listened to; we were being dictated to."

Cleary said the next step in the process is for the third-party manager to stabilize the band's finances and then report back to membership.

It has not yet been determined how far the band is in debt.