Former UCP minister alleges health minister knowingly misled cabinet regarding AHS

New allegations of deception against Alberta's health minister and possibly premier have surfaced. CTV News Edmonton's Chelan Skulski reports.

New allegations have surfaced against top Alberta officials, this time from a former cabinet colleague.

In a February resignation letter, recently made public, now-Independent MLA Peter Guthrie accused the health minister – and possibly the premier – of knowing about Alberta Health Services and Alberta Health procurement issues but misleading party members at a January Health Cabinet Committee meeting.

• Alberta MLA Peter Guthrie quits cabinet, citing concerns over procurement

He said, at that meeting, no mention was made of an investigation into procurement practices, allegations of political meddling or that the auditor general had at that time been notified.

“This deception resulted in the dismissal of the AHS board,” the letter read. “During that committee meeting I expressed my concerns requesting further disclosure, but none was forthcoming.”

“Due to this clear disconnect in our opinions around cabinet conduct, I can no longer serve Executive Council,” the letter said. “This is not why we were elected. This is not what Albertans expect, and Premier, this is not why I supported you as leader.”

Guthrie’s concerns arose from a lawsuit filed by former Alberta Health Services (AHS) CEO Athana Mentzelopoulos. She is seeking $1.7 million for her dismissal and claims she was fired for trying to investigate irregularities in government contracts of surgeries.

• Alberta government faces scrutiny over handling of AHS procurement investigation
• Province files statement of defence to former Alberta Health Services CEO’s $1.7-million lawsuit
• Former Alberta Health Services CEO sticks to guns following statements of defence by province, health authority

The province maintains her firing was a result of poor performance and has filed a statement of defence. None of the allegations have been proven in court.

‘We shouldn’t be afraid of shining a light’

On Wednesday, Guthrie was kicked out of the United Conservative Party (UCP) caucus after continuing his critiques of the party’s handling of concerns about provincial procurement practices.

“Mr. Speaker, I didn’t step down because nothing happened,” Guthrie said in the Alberta legislature this week while questioning the transparency of the party he used to help govern.

“To the Premier - is withholding information from cabinet considered a normal course of business? Because I took this issue seriously,” he said.

Premier Danielle Smith denies withholding any information “relevant to the issue,” a message shared by the health minister on Thursday.

“What Minister Guthrie wrote, I believe, is a misinterpretation, misguided – you know, a mischaracterization of what actually that meeting was actually about,” Health Minister Adriana LaGrange said.

Guthrie is the second UCP MLA to be booted from caucus this year. In March, Lesser Slave Lake MLA Scott Sinclair was removed over his intent to vote against Budget 2025, citing tough-to-stomach deficits and overspending in Edmonton and Calgary.

Political scientist Lori Williams said the loss of two MLAs in as many months raises questions about party unity.

“The majority (of caucus) appears to support the premier, but if they get pressure from their constituents, we could see the sorts of things that we saw as that groundswell of opposition to Jason Kenney started to emerge,” Williams said.

Now that Guthrie is out, Williams said, it will be interesting to see what happens next.

“Now there’s really nothing they can do to limit what he says. There aren’t really any threats or rewards that would normally apply to somebody who’s part of the government,” she added.

Two investigations have been launched following the lawsuit filed by the former AHS CEO against the minister and the province, and on Monday Sinclair and Guthrie voted with the Alberta NDP on a non-binding motion to call a third in the form of a public inquiry.

“I think that if we have nothing to hide, and we’re trying to be transparent and maintain the trust and integrity of Albertans who voted us here, we shouldn’t be afraid of shining a light on reports like this and clearing our name,” Sinclair said Thursday.

With files from CTV News Edmonton’s Chelan Skulski and The Canadian Press