EDMONTON — An Alberta judge issued an order to temporarily freeze $8.5 million worth of assets belonging to prominent Alberta independence advocate and lawyer Jeffrey Rath and his company, as he faces allegations of misappropriatingfunds while serving as an Alberta First Nation's trustee. The order was issued in relation to an application by Tallcree First Nation alleging that Rath and his company misappropriated funds in November, 2025, while serving as trustee for the band's $15-million trust. The trust in question involves funds intended to be distributed to Tallcree First Nation members upon turning 18, which were obtained as part of a 2017 settlement between Treaties 5, 6, and 10 and the federal government over a failure to provide promised agricultural benefits. Alberta Court of King's Bench Justice Michael Marion issued a Mareva injunction on Friday, pending an additional hearing on Wednesday. .According to a Globe and Mail report from Monday, Tallcree First Nation alleges that Rath moved $8.5-million from the trust to his corporation in 2025, at a time which aligns with a court decision ordering him to pay the First Nation $8.5-million in relation to a fee dispute. Rath told the Western Standard that there is another side to the story that is a part of an ongoing fee dispute, but would not comment further because it is before the courts. Tallcree First Nation first applied for the injunction in June, after financial statements, according to court documents, revealed that Rath charged the trust over $6 million for "trust administrative costs" and "professional fees" in 2024. The initial injunction application was denied; however, Marion approved the injunction in light of the alleged $ 8.5 million misappropriation discovered after Justice Shane Parker temporarily replaced Rath with BMO Trust Company as overseer of the trust. .Though unproven, the allegations have drawn attention from both sides of the Alberta independence spectrum. Prominent federalist figure, former Alberta Premier Jason Kenney, said the "kooky head of the Alberta separatist movement is in big, big trouble." Alberta NDP Leader Naheed Nenshi used the news to spin it as an opportunity to take a shot at Premier Danielle Smith."Danielle Smith has given her buddy, Jeffrey Rath, everything he wants, at great risk and cost to the rest of us," wrote Nenshi in an X post on Tuesday. "This is who she serves.".Rath has served as a lightning rod amongst Alberta independence supporters over recent months, with many applauding his efforts to advance the movement, while some have also expressed concerns over him becoming overly attached as the face of the referendum campaign. "If Alberta independence is going to succeed, it needs credibility," wrote prominent pro-independence influencer Berta Proud Dad in an X post on Tuesday. "That means holding everyone to the same standard, even if they’re on 'our side.'""I’ve denounced Jeff Rath for months, and I stand by it. Let the courts do their job."In a press conference Tuesday, Calgary-Mountain View NDP MLA Kathleen Ganley spoke regarding the recent court proceedings. "I think Albertan's deserve a lot better," Ganley said, "people like this don't belong anywhere near power.''"I think the UCP should have kicked him out long ago.""I think this kind of speaks to the government, and it speaks to the character of the people who put out these messages."
