North

Court docs provide details into N.W.T. MLA's wage garnishment

According to court documents, slightly more than $900 has been deducted from each of the last two paycheques for Hay River South MLA Rocky Simpson. The NWT Business Development and Investment Corporation got the garnishee in an attempt to collect on a business loan Simpson defaulted on.

Just over $900 deducted from each of Rocky Simpson's last two paycheques

Just over $900 is being deducted from Hay River South MLA Rocky Simpson's paycheque in an effort by the N.W.T. Business Development and Investment Corporation to collect on a business loan Simpson defaulted on. (Mario De Ciccio/Radio-Canada)

A newly-elected Northwest Territories MLA is taking a big hit on his paycheque.

According to court documents, slightly more than $900 has been deducted from each of the last two paycheques for Hay River South MLA Rocky Simpson. Simpson's gross pay every two weeks is $4,593.

The Northwest Territories Business Development and Investment Corporation got a garnishee order on Nov. 9 as part of an attempt to collect on a $1.9 million business loan Simpson has defaulted on.

A lawyer for BDIC is seeking a court order to allow realtors onto some of the properties Simpson put up as security for the loan.

According to an affidavit supporting the request, the previous appraisals of the properties are 10 years old.

"The realtors are having difficulty in valuing the real estate, as the real estate market is slow in Hay River and there is a lack of comparable properties in the market and due to a lack of information about the properties," said Maggie Smith of the McNiven Law Office in her affidavit.

BDIC is in talks with Alberta Auctioneer Ritchie Brothers about removing the assets of Simpson's businesses and selling them off in Alberta. In addition to real estate, trailers and other buildings, the assets include generators, light towers, pick-up trucks, vans, fork lifts and loaders.

Coincidentally, some of the lots in Hay River Simpson put up for loans is already being sold off by a real estate company owned by a former MLA, Jane Groenewegen, who once represented the riding Simpson now serves.

Simpson upset former cabinet minister Wally Schumann in the October election. News of him defaulting on the BDIC loan did not become widely known until after the election. 

A lawyer for BDIC is scheduled to make the request for access to Simpson's properties on Friday.

Simpson did not respond to a phone call and an email from CBC.

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