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Federal Court - Christian Aboriginal Infrastructure Developments ...

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Page: 200<br />

[771] Further examples of bad faith can be found within the documentary exhibits. There are<br />

numerous instances of the Regional Office inaccurately presenting the situation to the Departmental<br />

Headquarters in Ottawa and to other Ministers.<br />

[772] A DIAND region backgrounder, written by Mr. Fillmore, on February 3 rd , was entered as<br />

2010 FC 495 (CanLII)<br />

Exhibit D-33. In this document Mr. Fillmore has incorrectly identified SYFC as South East Yukon<br />

Forest Product. The Regional Office states:<br />

DIAND senior officials met via conference call at 4 p.m. yesterday<br />

afternoon to lay out a strategy for mill, South Yukon Forest Products,<br />

to access long and short term timber supply to keep the mill open. In<br />

the interim, the company has chosen the media as a mechanism to<br />

gain leverage to access wood supply. The facts of the matter are that<br />

South East Yukon Forest Products has never approached DIAND<br />

and those involved in the issuance of permits until recently.<br />

…<br />

DIAND recognizes the desire of Yukon peoples to promote and<br />

develop a local processing and value added industry. However, in<br />

this case, part of the problem is that suppressed wood prices have had<br />

a negative impact on the logging industry in the Yukon. This has<br />

resulted in a reduced number of loggers requesting permits, or<br />

delaying their project descriptions until they have secured a market<br />

for their wood. In addition, others have decided not to log, as it is not<br />

economically feasible. Further, part of the problem may also be the<br />

low prices South East Yukon Forest Product is willing to pay for<br />

wood.<br />

(Emphasis added)<br />

[773] On all of the evidence, the joint venturers, either LPL or SYFC, had been in constant contact<br />

with the Department since 1995. I have previously accepted the evidence of the Plaintiffs that the<br />

reason that the mill closed in December 1998 was a lack of timber. The supposition and explanation

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