Federal Court - Christian Aboriginal Infrastructure Developments ...

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[909] Ms. Guscott also said that she hoped that the positive working relationship with SYFC
would continue. However, SYFC was not content to limit its communications only with the
Regional Office.
[910] By letter dated March 2, 1999, SYFC wrote directly to Ms. Jane Stewart, then the Minister.
Ms. Clark said that urgent supply issues had caused the mill to shut down. The supply issues were
2010 FC 495 (CanLII)
directly related to the delays in the issuance of cutting permits to permit holders from whom SYFC
purchased logs. Ms. Clark said in her letter that “if we have to take another shutdown due to lack of
supply of logs, it will be difficult to convince the shareholders to continue to do business in the
Yukon”.
[911] By letter dated March 19, 1999, Mr. Paul Heit, Woods Manager for SYFC, wrote to Ms.
Guscott. He said, among other things, that the mill reopening was postponed due to insecurity of
timber supply. He also advised that he was strongly recommending to the owners that the mill close
down permanently and move to a more business friendly jurisdiction, if there were not a reasonable
level of optimism regarding timber supply.
[912] A further letter was sent by SYFC to DIAND on March 23, 1999. This letter is found in
Exhibit D-11, Tab 16. SYFC identified issues that required answers.
[913] Obviously, things were grim in March 1999. The Department’s response, to the SYFC
letters sent to the Minister and to the Regional Office, was to convene a meeting with the ADM,