Controversy erupts at $19 million Metis housing corporation

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After an attempt earlier this month at a meeting held at the Metis Association of Alberta (MAA) to replace the Board o Directors for Metis Urban Housing Corporation (MUHC), to suspend MUHC Housing Manager Larry Desmeules and to fire Regional Coordinator Peter Pelletier failed, Desmeules claims that the group responsible for the attempt acted "illegally".

"It was an illegal suspension," said a shaken Desmeules. "They had no authority to suspend me. Only the Board of Directors for this organization (MUHC) can suspend my contract."

The housing manager stated, "when they made the move to desolve the board (of MUHC), they didn't appoint a new board They only struck up a committee. A very questionable committee. This company has to have a board of directors. It can't operate under a committee that's corporate law."

Ron LaRocque, chairman for the meeting and former chairman of MUHC, says that the MAA Board o Directors, which holds the shares of MUHC in trust, held a shareholders meeting where motions for the changes were proposed. LaRocque stressed that the group did not act illegally. He reasoned, "the shareholders have the power to do whatever they want."

Desmeules added that the group, which included Ben Courtrille, Joan Major-Malmas, Gerald Thom and Florence Henry, would have to call an MAA annual assembly before any changes in MUHC can be made. This was not done.

Desmeules also stated, "one of the things LaRocque did last year (before he was removed as chairman of MUHC) was to sign a 99 year agreement with CMHC (Canada Mortgage and Housing Corporation which subsidizes MUHC), tying the housing up for 99 years. While in the policy (of MUHC), after five years, a tenant had an option to buy the house This would eliminate that opportunity completely."

But, LaRocque says that the MUHC tenants never had and will continue not to have the right to buy MUHC houses because the corporation operates under section 56.1 of the Housing Act, which allows tenants to rent, not buy houses. IN order to buy MUHC houses, the organization would have to operate under section 40 of the Housing Act, which does afford tenants the right to buy houses.

According to Desmeules, the agreement is still not binding because "we (MUHC) would have to get the (MAA membership) annual assembly to approve itthey're the only ones that can approve it."

The 99 year agreement with CMHC, explained LaRocque, is so "no financial benefit from Metis Urban Housing can be given to anyone without the approval of CMHC."

CMHC gives the 19 million corporation, established in 1984, 100 per cent subsidized financial assistance.

Desmeules says that the financial state of MUHC is "solid".

CMHC Manager Program Operations official John McWilliam would not comment on the 99 year agreement or the group's attempt to make changes to MUHC.

Over 200 tenants of the Metis Urban Housing Corporation (MUHC) gathered at the Edmonton Friendship Centre to protest a group's attempt to replace the MUHC Board of Directors, fire regional coordinator Peter Pelletier and terminate Edmonton housing manager Larry Desmeules' contract with the corporation, on April 14.

Tenant's Association president Thelma Chalifoux fears that the group's actions are a bid to take over the $19 million corporation for their own financial benefit.

But Ron LaRocque, who was the chairman for the group which included Ben Courtrille, Joan Major-Malmas, Florence Henry and Gerald Thom, denied that the group was seeking financial gain or a takeover attempt. LaRocque explained that the interim appointed MUHC trustees felt the previous MUHC board of directors were no doing an adequate job in administering the functions of the corporation. HE also said that the housing manager's contract of Desmueles gave him "ownership power" which is a "dangerous situation."

"He (Desmeules) has the powers of an owner and can sign leases, contracts and agreements without answering to anyone," said LaRocque.

Near all the tenants of MUHC from Edmonton, Calgary, Red Deer and Lloydminster signed petitions against the interim trustees action and a vast majority of tenants were at the CNFC meetings.

The petitions signed also called for a return for a tenant's position on the MUHC Board of Directors. "The tenant can bring the concerns of the tenants to the Board of Director's attention," reasoned Stan Plante, who was the last tenant to sit on the MUHC board.

"I was informed in November of '86 that I was removed from the board and since then there has not been a tenant on the board," stated Plante.

This article which appeared in Windspeaker on April 17 regarding the suicide inquiry into the death of Pamela Soosay stated that her sister Shelley "admitted to hiding people in the bush when social workers"

The phrase should have read "Shelley and others would hide in the bush"

Windspeaker apologizes to Shelley Soosay for any inconvenience the mistake may have caused.