Monday, August 21, 2006 An Oologah Lake Leader Special Report
Hoskin, Cherokee chief trade claims of ‘illegal’ acts
By JOHN M. WYLIE II, Publisher
Copyright 2006, Oologah Lake Leader, LLC
The current controversy
Hoskin and six other Cherokee Council members launched a federal lawsuit June 23 against Chief Smith and Cherokee Nation Industries executives Benjamin Dixon and James Majewski.
The plaintiffs claim they are acting on behalf of the Cherokee Nation in the $5 million suit which filed June 23 in the U.S. District Court in Muskogee.
It alleges fraud and breach of fiduciary duty as well as mismanagement and waste of tribal assets.
Hoskin and the other councilors claim that Smith, Dixon and Majewski duped honest tribal leaders and lured the nation into a disastrous economic development deal to acquire the controlling interest in a company called Global Energy Group.
Chief Smith notes that only a minority of “dissident” members of the 15-member council are participating in the lawsuit. Council Speaker Meredith Frailey calls the court action unconstitutional.
Smith, Frailey and others point out that it is illegal for individual councilors to take action on behalf of the Nation. It also is illegal to hold a council meeting without an advance agenda, a quorum, and a recorded vote.
Hoskin said his attorney has told him not to discuss why he felt the lawsuit was needed, how the decision to file it was made, or any other details of the court action.
He said he would discuss the case further with his attorney today (Thursday) and might have additional comment after the meeting.
Smith said the “dissident” councilors have voted to reappoint the Cherokee Nation Industries board members after they evaluated Global and gave final approval to the acquisition last summer.
Chief Smith said the “illegal” acts by Hoskin and the other councilors are part of a political vendetta that will backfire and “blacken the reputation of all tribes.”
That claim is ironic since Hoskin has been endorsed by Indn’s List. The Tulsa-based group, headed by well-known Democratic political leader Kalyn Free, is the first national organization to specifically recruit and fund Indian candidates for state and national elective office.
Hoskin, one of the first two candidates endorsed, was among those speaking at a major fundraiser held at the home of longtime Democratic leaders Jim and Sally Frasier in Tulsa.
But Smith says Hoskin’s actions actually help the “many anti-tribal forces operating in Oklahoma as well as nationally.”
Smith says the Council’s attorney “refused to file the suit on behalf of the dissident council members” after determining that they lacked authority to file anything on behalf of the Council or the Nation.
The councilors then retained James Clinton Garland, James Clinton Garland III, and William Joseph Garland to file the lawsuit. All are part of the Commercial Litigation Group in Tulsa.
Mike D. Miller, Cherokee Nation communications officer, said the council members signed a contract with the attorneys “but no checks have been requested or cut.”
It is unclear what will happen if the councilors present a bill to the Nation for payment, officials say.
Besides Hoskin, councilors joining the suit are Linda Hughes-O’Leary of Jay, S. Joe Crittenden of Stillwell, Bill John Baker of Tahlequah, Melvina Shotpouch of Jay, John F. Keener of Salina and David Thornton, Sr. of Vian.
What is Global? Read More...
Posted at 8/21/2006 09:47:00 AM
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