Northern News Services
The settlement comes after Qikiqtaaluk Corp. (QC) filed a statement of claim in the Nunavut Court of Justice Nov. 5 against Sakku Investments Corp. In the settlement, Sakku has agreed to pay the money by Christmas.
The two corporations are the economic development arms of the regional Inuit associations in the Baffin (Qikiqtaaluk) and Kivalliq regions.
The two corporations are partners with the Makivik Corp. in the Nunavut Umiaq Corp. to extend business opportunities in Nunavut and Nunavik.
In May 2000, Umiaq was part of a deal to buy a boat to transport goods to Nunavut and Nunavik.
The three partners had to each contribute $666,666.66 towards the purchase of the vessel.
In its statement of claim, Qikiqtaaluk says Sakku was struggling financially at the time and couldn't put in its share.
The corporation advanced the money on Sakku's behalf, after securing a loan in excess of $1 million from the Atuqtuarvik Corp.
QC president Abe Tagalik said he hopes the dispute is settled.
"Everything involving this situation is documented in our statement of claim and the Qikiqtaaluk Corp. stands behind what's contained in that statement."
QC lawyer Alain Duboc, of Duboc/Osland Barristers and Solicitors, said the agreement calls for payment on the total amount claimed, plus outstanding interest and costs associated with the claim.
"There's every indication Sakku will be in a position to pay the amount and we've agreed to discharge the claim once payment is made," said Duboc.
Sakku Investment Corp. chairperson Peter Tatty would not comment on the agreement when contacted by the News/North.