Malahat First Nation fires business executives
First Nation dismisses top business officials; review of previous chief, council ongoing
The Malahat First Nation has dismissed three top officials at its business company amid an ongoing financial and governance review.
The nation’s newly elected chief and council announced in a statement Wednesday that the Malahat Investment Corporation will operate under new trustees, effective immediately.
Chief Caroline Harry and her councillors said the nation has released the company’s previous trustees and dismissed its chief executive officer, chief legal officer and chief financial officer.
The statement said the company operated as the nation’s business arm and was responsible for economic development.
“Its restructuring is the result of an ongoing review of the governance and finances of the Malahat Nation and MICO, which was initiated by the chief and council following their election in November,” the statement said.
Harry was unavailable for comment.
The council has hired Victoria lawyers Richard Margetts and George Walton to review the nation’s and company’s finances and governance, “as well as the actions of the previous chief and council,” the statement said.
Margetts said in an email that his firm was retained last week, “though the investigation has been ongoing for approximately one month.”
He said the three dismissed officials entered into employment contracts with the Malahat Investment Corporation in mid-2015.
The Malahat statement said that its “key business partners” support the actions taken by the new chief and council.
The First Nation purchased the 525-hectare Bamberton development site last July and announced the following month that it planned to build a floating liquefied natural gas processing plant on the foreshore in partnership with Steelhead LNG Corp.
Nigel Kuzemko, Steelhead’s CEO, said in a statement that the Malahat informed the company on Tuesday about “issues resulting from an internal investigation” initiated by the chief and council.
“We are confident, based on how swiftly and decisively the new chief, council and the new executive have acted, that they are treating the issues with the utmost seriousness,” he said.
“We consider the issues to be an internal matter for the Malahat Nation, former chief and council and former employees.”
Kuzemko added that Steelhead has worked closely with the new council since its election last November, “and we look forward to continuing that work as we advance the proposed Malahat LNG project together.”
The former chief and council resigned last fall to allow for a general vote in November, when Harry became the first woman elected chief of the 315-member nation near Mill Bay.