Feds put Liard First Nation under 3rd-party management

The federal government is appointing a thirdparty to manage Yukon'sLiard First Nation's finances.

A news release issued Tuesday by the First Nation says they will fight the move. It says the Department of Aboriginal Affairs and Northern Development informed the First Nation Aug. 26 it was being put under third-party management.

Third-party management can be imposed by AANDC in cases of bankruptcy or if there are allegations of mismanagement.

The federal governments website calls this kind of move a "last resort."

The chief and council of the Liard First Nation declined to comment. In the newsrelease, Chief Daniel Morris blames the federal government and the previous administration for the current situation.

We were elected to manage the affairs of the Liard First Nationlast December andwe are shocked to find the previous administration left us with a financial ledger that borders onbankruptcy," Morris is quoted in the news release.

Aboriginal Affairs and Northern Development Canada hasbeen investigating the Liard First Nation's finances for many months. It isauditing spending over a number of years.

In the news release, the First Nationsays AANDCaskedthe new chief and council tocome up with a repayment plan thatdates back into 2010, otherwise the First Nation would be put under third-party management, and that, the First Nation said, wasasking "the impossible."

Officials with AANDC did not respond to arequest for comment.