First Nation files lawsuit over alleged misappropriation of more than $500,000

A small First Nation in northern B.C. is suing one of its former executives for allegedly misappropriating more than $500,000 from its accounts.

The Taku River Tlingit First Nation claims that Peter Kirby’s conduct was “deceitful and amounts to fraud” when he moved the money from the accounts of entities linked to the band to his personal accounts.

“Mr. Kirby did not disclose to the board or the Nation his payments of the misappropriated funds to himself, and those payments were not approved by the board or the Nation,” says the notice of civil claim filed in B.C. Supreme Court.

The lawsuit says that at the time the money was transferred in August of last year, Kirby exercised executive control over the entities and was a director, president and chief executive officer, and had signing authority over the financial accounts of the entities.

It says that on Aug. 22 last year, Kirby secretly transferred $500,000 out of Xeitl LP’s bank account into the bank account of Atlin LP.