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Lawyer for ex-OPSEU president says union's allegations untrue

TORONTO — A lawyer for the former president of the Ontario Public Service Employees Union says allegations of financial improprieties in a lawsuit launched by the union are untrue.
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A lawyer for the former president of the Ontario Public Service Employees' Union says a lawsuit launched by the union is "riddled with errors, falsehoods, and untrue allegations." OPSEU is seeking nearly $6 million it alleges was unlawfully transferred to former president Warren (Smokey) Thomas, former first vice-president/treasurer Eduardo Almeida and former financial services administrator Maurice Gabay, as well as millions more in damages. Thomas speaks to reporters at Queen's Park in Toronto, on January 21, 2019. THE CANADIAN PRESS/Chris Young

TORONTO — A lawyer for the former president of the Ontario Public Service Employees Union says allegations of financial improprieties in a lawsuit launched by the union are untrue.

OPSEU is seeking nearly $6 million it alleges was unlawfully transferred to former president Warren (Smokey) Thomas, former first vice-president/treasurer Eduardo Almeida and former financial services administrator Maurice Gabay, as well as millions more in damages.

OPSEU said since Thomas and Almeida left their positions last April, the union has been doing a forensic audit.

The union alleges it has uncovered that Thomas and Almeida paid themselves "significant compensation" they weren't entitled to, used union money for non-business purposes, transferred union vehicles to themselves or family members and paid out strike fund cash to themselves and Gabay.

Jeffrey Kroeker, a lawyer for Thomas, said in a statement Tuesday that the statement of claim is "riddled with errors, falsehoods, and untrue allegations."

"Mr. Thomas rejects the claim against him and intends to defend his good name," Kroeker wrote.

"Through his lawyers, Mr. Thomas is reviewing all legal options available to him and will shortly respond. Until Mr. Thomas files a defence, he will make no further comment about the bogus claims against him or the motives and politics behind it."

Almeida and Gabay could not be reached for comment and it is unclear if they have retained lawyers or have filed statements of defence.

The allegations have not been tested in court.

OPSEU alleges there were more than $1 million in charges to the corporate credit cards of the three defendants that didn't come with supporting documentation to show they were for legitimate business purposes.

The union alleges Thomas and Almeida also entered into "settlement agreements" with OPSEU for $500,000 each for inappropriate purposes in the months leading up to their departures.

Thomas' agreement was purportedly to settle a complaint he filed alleging "discrimination and harassment" against OPSEU's board and claiming damages for "injuries to his feelings, dignity and self-worth," the statement of claim says. Almeida's settlement was purportedly to settle a claim for "defamation, intentional interference with economic relations, intention infliction of mental suffering and civil conspiracy," the statement of claim says.

"These agreements were not known to or authorized by the executive board at the time," OPSEU alleges in its lawsuit.

"Thomas and Almeida acted beyond the scope of their authority and breached their duties to the union. They conspired and colluded with one another to cause OPSEU/SEFPO pay to themselves and others significant sums, which were unwarranted, unreasonable and inappropriate."

Current OPSEU president JP Hornick wrote in an update to members Monday that the allegations are "troubling."

"I want to be clear to you, our staff and members, and the people of Ontario who we dutifully serve, that we will not waiver in our commitment to seeking justice in this matter, and we have the full support of the Board to pursue all available legal avenues," Hornick wrote.

This report by The Canadian Press was first published Jan. 17, 2023.

Allison Jones, The Canadian Press

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