EDMONTON — Prominent Alberta independence lawyer Jeffrey Rath could see more of his assets frozen, as a second Sturgeon Lake Cree Nation (SLCN) has requested a court order to freeze $42.4 million of his assets amid accusations that he misused funds from the band's trust. SLCN has accused Rath of underpayments and a lack of transparency while overseeing the band’s trust after recently released documents showed that $12.8 million was withdrawn in 2023 and deposited into his company’s trust. .Rath has overseen SLCN's trust since 2017 following a $143.2 million settlement between the band and the Government of Canada. SLCN is seeking to have Rath removed from overseeing the trust, citing the above-mentioned accusations, as well as claims of "rude treatment" by staff at Rath's law firm. Rath has denied SLCN's allegations, and told the Western Standard that the withdrawals relate to payments outlined in the trust's terms. He said the matter is currently under appeal.On Tuesday, the band requested that the assets be frozen, and the two sides agreed to an interim freezing of an undisclosed amount of assets and a temporary removal of Rath as the trust's overseer. .The agreement is supposedly similar to the $8.5 million freezing order issued to Rath upon a request by Tallcree First Nation in July, as they allege that he misappropriated funds from their trust. Rath has denied Tallcree First Nation's accusations and said the money was withdrawn from the trust and paid to his company as outlined in the settlement's terms. SLCN and Rath are in the midst of an ongoing dispute over a $28.6 million legal fee paid to Rath following the 2017 settlement. A judge later ordered that Rath repay the fee after determining that it was "unenforceable," and that decision was upheld in February 2025 following an appeal.In May, SLCN requested that the $28.6 million be paid to the court and held until subsequent legal matters are completed.
