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Lethbridge Herald Newspaper Archives

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Lethbridge Herald, The (Newspaper) - September 28, 1971, Lethbridge, Alberta Tueidoy, September 28, 1971 THE LEIHBR1DGE HERALD 9 Court injunction blocks release of Calgary land deals report CALGARY (CP) A court injunction Hocking public re- Icase of a report on land deal- ings of civic employees Viiii served on city clerk Harry Sales Monday. The injunction, in effect until Oct. 13 was obtained from Judge If. S. Bowbotham and served shortly before the des- ignated release time of the re- porl. prepared by Edmonton lawyer Angus MaeDonald ear- lier this month. The report resulted in the tir- ing by city council of city soli- citor J. D. Salmon and city liti- gation solicitor J. P. Low. The men were dismissed Friday and each received one year's salary as severance pay. When council fired the men, it also decided to release the report to the public at noon MST. Mr. Salmon, with the city 15 years is to receive severance pay of and five-year employee Air. Low is to get TERMED ILLEGAL Calgary lawyer R. A. F. Montgomery, who obtained the injunction on behalf of his client Dr. George Ernest Hardy, will seek a court order Oct. 13 quashing council's re- solution to make the report public. Mr. Hardy in his notice ot motion says the release reso- lution was illegal under the terms of the provincial muni- cipal act, and that council ex- ceeded its jurisdiction in pass- ing the motion at the special meeting. The point of law is believed to revolve around the purpose of the special meeting. 'Under the municipal act. a special meeting of council can only deal with the item for which !hi meeting was called. To consider any other item it must have the unanimous con- sent of all 13 members. Only 12 were in attendance as Al- derman Jack Davis missed the meeting. The report has been the sub- ject of controversy for several After it was prepared, Mayor Rod Syltes suspended Mr. Salmon and Mr. Low on the recommendation of city com- missioners. At a subsequent council meeting, they were cleared of any impropriety and reinstated. The report was released ear- lier by Mr. Salmon aril Mr. Low to the Calgary Herald. In his findings, Mr. MacDon- ald said Ihcre was no indication any city employee had 'misused confidential information. But the operations of a pri- vate land development firm in which the men were involved could rc-flect poorly on the city's legal deparlmcnf. ha said. The solicitors gave the report Chamber works to end tariffs 1269 Ave. S. [ethbridge 100 Copies plus tax QUEBEC (CP) The presi- dent of the United States Cham- ber of Commerce said Monday the US. chamber is working for (he "earliest possible end" to special tariffs imposed in mid- August by President Ricbjird Nixon. Archie K. Davis told the an- nual meeting of the Canadian Chamber of Commerce the life- span of the special tariffs "can probably be measured in months." "We thoroughly understand that the surtax is causing prob- lems for you, and for that rea- son, we would hope to end.it as soon as possible. "I am sure the last thing the president and other responsible officials want is to do any dam- age to the highly and mutually advantageous relationship that Canada and the United Stales have enjoyed for so many years." Mr. Davis, a Winston-Salcm, N.C., banker, said the tariff in- creases were meant to "secure a realistic alignment of world is happening to forestall the ominous development of discriminatory trading blocs opments which would be as in- imical to your interests as to ours." Mr. Davis outlined U.S. eco- nomic problems, noting that his country anticipates a trade defi cit this year for the first time since 1093. Wages had increased at twice the rate of productivity gains during recent years. A prime example of U.S. problems was the fact that more than two-thirds of U.S. steel production came from mills more than 10 years old while more than two-thirds of Japanese capacity was fewer than nine years old. "The plain fact is that we are simply no longer strong enough j parry a disproportionate burden for I the benefit of some of our very healthy trading partners." SAYS FREEZE BROKEN WASHINGTON (AP) The FL-CIO says the Nixon adminis- tration has violated its own wage-price freeze by charging this year for the Consumer Legislative Monthly Report, previously provided free. Nix- on's consumer adviser, Virginia H. Knauer. said it was "no longer possible to offer the pub- lication free of charge." to the Herald "to make it clear Hie report had not been private at my (Salmon's) request" with the condition the names of oth- ers involved in the develonment company not be used. It is basically in two sections. The first deals with trie for- mation, legal history of trans- actions of eight properties ac- quired between the summers of 1968-63, and their subsequent j management and resale by Ponderosa Land Development Ltd. of Calgary. The section covers the fund- ing of the Ponderosa partner- ship when it was encountering financial difficulties. It in- volved the recruiting of six per-. sons besides Mr. Salmon and Mr. Low. In the first section, Mr. Mac- Donald made it clear that the value the one commercial and seven residential properties I handled by Ponderosa was not affected by city planning- "The group of investors be- lieved they were following Salmon and Low into a com- pany to which Salmon and Low were strangers. In reliance upon that belief and the confi- dence they reposed in Salmon and low they invested "While it is true that Salmon has lost money in all his deal- ings with Ponderosa, his losses may well have been much heavier had the group oE inves- tors not been brought in. "Low, while he had not made any profit in his dealings with Ponderosa, obtained an oppor- tunity to do so. The money was returned to the six investors, but Mr. Mac- Donald said this "is not ma- terial to the actions and state of mind of Salmon and Low at the earlier material times." The edmonton lawyer con- cluded: "The conduct of Uie affairs o[ Ponderosa left much to be de- sired. Purchases were made and credit obtained without proper regard to the ability t.n meet the obligations undertak- en." Mr. MacDonald said, how- ever, the dealings with I'on- derosa were outside the solici- tors work at the city, adding that m, irregularities were evi- dent in their work for the city. open the Calona Sparkling White. The new fun wine, with the same popping cork the same natural bubbles as champagne! Weddings, birthdays, anniversaries__when you're choosing wines lo celebrate any occasion, look for Calona's new Sparkling White. 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