Alberta Premier Danielle Smith is scheduled to provide an update Wednesday on the government’s response to allegations of government interference in lucrative medical contracts.
Health Minister Adriana LaGrange is also set to appear at the news conference in Calgary, two weeks after the allegations first surfaced.
The former head of Alberta Health Services, Athana Mentzelopoulos, alleges in a lawsuit that she was wrongfully dismissed from her job for looking into questionable contracts pushed by government officials as high up as the premier’s office.
The statement of claim alleges Mentzelopoulos, who was in charge of all Alberta front-line health services, was pressured by government officials to sign off on contracts with surgical facilities at unjustified, inflated prices.
The lawsuit alleges LaGrange tried to thwart a probe by Mentzelopoulos, who was fired two days before she was scheduled to meet with the auditor general to share contents of her investigation.
The allegations have not been tested in court, and a statement of defence has not been filed.
LaGrange and her office have said the dismissal was not linked to the investigation initiated by Mentzelopoulos and that the Health ministry was being stonewalled by AHS for months in its own attempt to uncover wrongdoing.
LaGrange said in a statement last week that many allegations in the lawsuit are “clearly false, while others will need to be investigated further as part of the auditor general’s work and the government’s internal review of this matter.”
Smith has bucked a call from one of her cabinet ministers, Peter Guthrie, to move LaGrange to a different portfolio and remove deputy minister Andre Tremblay while the government oversees its review.
Tremblay is also now in charge of AHS.
The premier has said she was not involved in any wrongdoing and that LaGrange continues to have her confidence.
Ministers Todd Loewen and Rick Wilson told reporters Wednesday they agree with Smith and others in cabinet who stand by LaGrange’s work and are waiting for results of the review.
Alberta’s auditor general Doug Wylie is also investigating contracting and procurement at the health agency and health ministry.
The Opposition NDP has called for the United Conservative Party government to fire LaGrange and order a judicial public inquiry to get to the bottom of the scandal.
NDP health critic Sarah Hoffman said Wednesday anything short of those steps is “not acceptable,” noting that a judge can properly compel people to testify and share evidence.
“Clearly, the desire has been to hide and to try to change the channel,” said Hoffman.
AHS said it would stop awarding contracts to firms involved in the allegations, but it has not provided a list of those companies.
Hoffman also called for the government to immediately stop signing private health-care delivery contracts and instead channel resources for public hospitals to provide more services, including surgeries.
This report by The Canadian Press was first published Feb. 19, 2025.
Lisa Johnson, The Canadian Press
