EDMONTON — An Alberta First Nation says prominent Alberta independence lawyer Jeffrey Rath used $8 million from the band's trust to purchase precious metals, as part of an ongoing dispute over alleged misappropriated funds. Tallcree First Nation claimed in court on Wednesday that of the $8.5 million that Rath allegedly withdrew from the group's trust fund and deposited into his personal account, $8 million was used to purchase gold or silver bullion, and the remaining $500,000 was transferred to an account in his name. In a statement sent to Western Standard on Thursday, Rath said the purchase was an "investment that has since been cashed out.".The dispute is a part of a dispute between the parties that sees Tallcree First Nation accuse Rath of misappropriating $8.5 million from the band's $15 million trust fund that came from a settlement from a lawsuit with the federal government, in which Rath represented the group. Tallcree First Nation alleges that Rath moved $8.5 million from the trust to his corporation in 2025, at a time that aligns with a court decision ordering him to pay the First Nation $8.5 million in relation to a fee dispute.Rath, however, refutes the allegations, claiming the court's decision regarding the $8.5 million fees applied to the contingency fund agreement, but not the Settlement Terms agreed to at the time of the case's settlement with the federal government. "At no point in this litigation did any court including the Court of Appeal ever re-write the terms of the Settlement Trust approved by 94% of Tall Cree Members voting on it," Rath wrote a statement on July 16. "The trust required 20% of the settlement funds to be paid as 'legal fees' as a 'first charge.' This was agreed to after the fact, with full disclosure of the fee, by 94% of the members who voted." .A judge has since placed a freeze on Rath's assets until 60 days after a final ruling in the dispute with Tallcree First Nation has been made, or Rath provides $15 million to be held pending the final outcome.Wednesday's hearing was based around whether Rath's purchasing history justified granting the individual examining his records access to more than one directly related to Tallcree First Nation. The judge ruled against granting additional access.
