Laurentian University staff union to take LU administrators to court
One of Laurentian University's biggest unions is considering taking some members of the university's administration to court.
At issue is the way retirement funds were handled, said Laurentian University Staff Union (LUSU) president Tom Fenske.
"We're looking at the plan of arrangement and within the plan of arrangement, there is part of it that allows LUSU to bring court action on behalf of its members and retirees against certain directors and officers at Laurentian that misused our RHBP, our trust fund, the fund that was set for retirees as our retirement health benefits plan," said Fenske.
In September, many LU creditors will vote on the plan of arrangement, a key step in the university emerging from insolvency.
Fenske said the court action is about holding people accountable.
"The basic idea behind this action is that LUSU members like myself and most people that are retired paid into a fund every month," he said.
"We've spent millions in dollars since 1998 into that fund and Laurentian's directors and officers were supposed to hold that money in trust and instead they spent that money on other things."
Fenske said the basic goal would be to recover damages -- either from individuals or their insurance companies -- in hopes some of the lost money can be returned.
While not yet revealing the administrators who would be named in a legal action, he said what happened to members is outrageous.
"It's sacrilegious to touch retirees -- everyone knows that -- and that's happened here," said Fenske.
"There's got to be some accountability here. I think the biggest thing we're all waiting for is the auditor general's report."
LUSU said it is waiting for the final auditor general's report to get some answers. He said a founder of the union told him even if no money is recovered, it's important to uncover the truth.
"Even if we are successful and the amount is negligible, the ability to hold people accountable is at the forefront of this discussion," Fenske said.
"To take money that was supposed to go to the retirement health benefits plan is unacceptable and I think our members will see it that way."
They're meeting with membership next week to discuss the legal action, along with the plan of arrangement.
"This is the first step of anyone trying to hold them accountable and I certainly hope it's not the last step," he said.
"If I had my way we'd have a full government inquiry here. This should have never have happened and we're going to do our part to hold people accountable."
CTV News has reached out to Laurentian University for its reaction, but has not yet received a response.
Creditors vote on the plan of arrangement so the university can exit CCAA protection on Sept. 14.
CTVNews.ca Top Stories
'A beautiful soul': Funeral held for baby boy killed in wrong-way crash on Highway 401
A funeral was held on Wednesday for a three-month-old boy who died after being involved in a wrong-way crash on Highway 401 in Whitby last week.
Police handcuff man trying to enter Drake's Toronto mansion
Toronto police say a man was taken into custody outside Drake's Bridle Path mansion Wednesday afternoon after he tried to gain access to the residence.
Biden says he will stop sending bombs and artillery shells to Israel if they launch major invasion of Rafah
U.S. President Joe Biden said for the first time Wednesday he would halt shipments of American weapons to Israel, which he acknowledged have been used to kill civilians in Gaza, if Prime Minister Benjamin Netanyahu orders a major invasion of the city of Rafah.
U.S. presidential candidate RFK Jr. had a brain worm, has recovered, campaign says
Independent U.S. presidential candidate Robert F. Kennedy Jr. had a parasite in his brain more than a decade ago, but has fully recovered, his campaign said, after the New York Times reported about the ailment.
What is whooping cough and should Canadians be concerned as Europe declares outbreak?
There is currently a whooping cough epidemic in Europe, with 10 times as many cases compared to the previous two years. While an outbreak has not been declared nationwide in Canada, whooping cough is regularly detected in the country.
Pfizer agrees to settle more than 10K lawsuits over Zantac cancer risk: Bloomberg News
Pfizer has agreed to settle more than 10,000 lawsuits about cancer risks related to the now discontinued heartburn drug Zantac, Bloomberg News reported on Wednesday, citing people familiar with the deal.
Quebec premier defends new museum on Quebecois nation after Indigenous criticism
Quebec Premier Francois Legault is defending his comments about a new history museum after he was accused by a prominent First Nations group of trying to erase their history.
B.C. theatre to pay $55K to neurodivergent actor in discrimination case
British Columbia's human rights tribunal has awarded a neurodigergent actor, who was diagnosed with sensory and learning disorders, more than $55,000 after finding that a Kelowna theatre company discriminated against him because of his disabilities.
Who's responsible for regulating cannabis stores operating under the sovereignty banner?
It's not quite clear who is supposed to be regulating so-called sovereign cannabis stores or even ensure they're benefiting Indigenous communities.