UPDATED: Smith removes deputy health minister in AHS controversy — will find third party investigator in procurement controversy

Alberta Premier Danielle Smith is removing the deputy minister of health from his job in response to a controversy involving health services contracts — notably with private surgical centres and allegations contracts were inflated with possible benefits to insiders.

Andre Tremblay will continue as the Alberta Health Services (AHS) interim president and CEO.  The Government of Alberta will install Darren Hedley, an associate deputy minister of health, as the acting deputy minister.  

Smith and Health Minister Adriana LaGrange faced media on Thursday over the evolving AHS controversy, which is currently being investigated by the auditor general.

The controversy involves the former CEO of AHS, Athana Mentzelopoulos, who was fired after less than 14 months in her role, alleging she was dismissed after refusing to sign off on contracts with private surgical facilities that she believed were overpriced and potentially corrupt. 

Mentzelopoulos is suing for $1.7 million for wrongful dismissal. Her lawyer's letter suggests she was pressured by senior government officials, including the former chief of staff to Premier Danielle Smith, to approve the contracts.

At Thursday's press conference, Smith said newly appointed Acting Deputy Minister of Executive Council, Chris McPherson will work to retain an independent third party "with a strong legal background" capable investigating the AHS matter, "independently of government, so that we can understand exactly what occurred with regards to the procurement processes in question."

The province will establish a "legal conflicts wall" within AHS to ensure complete independence during the investigation.

The Alberta NDP have called for a judicial inquiry and RCMP involvement.

"The only acceptable thing to do at this point is to fire the minister so that we can ensure that we have somebody there who is actually going to take the health-care boundaries seriously and not care more about their own political future," said Alberta NDP Shadow Minister for Health Sarah Hoffman in a press conference.

Erika Barootes, department head for Applied Politics and Public Affairs at MaKami College told the Western Standard that it was good for Smith and LaGrange to face media, as the narrative was getting away from them.

"I think there are still some questions around, what does this legal conflict wall look like?" she said, noting that moving LaGrange out of her job wasn't the solution.

"I'm also happy that they both led with, 'I didn't do anything.' The only challenge is that there were other people mentioned, and I suspect that's what the premier alluded to — more statements of defense coming out from other people that are not being sued, but are in the statement of claim."

In a statement released Thursday afternoon Alberta NDP leader Naheed Nenshi said the press conference was, "a master class in gaslighting."

"The premier’s story makes no sense, and she’s clearly trying to hide the truth about alleged government corruption," he wrote.

“She refuses to fire the people implicated, and she refuses to call a proper public inquiry. So despite all her talk of legal walls, people will be investigating, and reporting to, their own bosses. Albertans have every right to be deeply suspicious."