Connect with us

Business

Tribal company sues Greenberg Traurig, alleging financial misdeeds on September 14, 2023 at 10:00 am Business News | The Hill

Published

on

A small, tribe-owned company has filed a lawsuit against legal giant Greenberg Traurig and its longtime lawyer.

The lawsuit, filed this week in the U.S. District Court in Montana, is complex and wide-ranging. But at its core, the company and five Tribal Council members allege its former legal counsel attempted to influence the company’s operations and shift its assets out of state when that influence was challenged.

The controversy hinges on the events surrounding a special meeting of the Tribal Council in January to replace the company’s board, which they allege was too cozy with Denver-based lawyer Jennifer Weddle. 

The plaintiffs claim Weddle, who was legal counsel for the company for more than 13 years, would treat board members to professional sports tickets in Denver to influence their votes on business matters.

Advertisement

They also said they were “concerned about the influence of Defendant Weddle on the Prior Board and her involvement in setting up the financial structure and loan program,” according to the complaint.

The Island Mountain Development Group (IMDG) and five Tribal Council members say Weddle sought to prevent the council from replacing the company’s board by telling employees to protest the meeting or risk losing their jobs.

The vote to replace the IMDG board was allegedly met with threats, intimidation and the killing of two horses, according to the complaint.

When the interim board took over the company, Weddle allegedly “double crossed” her client to get lenders to issue an event of default and convert assets out of state, which was ultimately unsuccessful.

Advertisement

“We are reviewing the allegations in the complaint which we believe include mischaracterizations and inaccuracies. We intend to vigorously defend this lawsuit,” a spokesperson for Greenberg Traurig, the law firm Weddle works for, told The Hill in a written statement.

Weddle did not return requests for comment from The Hill.

The allegations raise questions about the internal reviews and ethics reforms Greenberg Traurig said it put in place following the biggest Washington, D.C., corruption scandal of the 2000s.

Former Greenberg Traurig lobbyist Jack Abramoff admitted to a clandestine kickback scheme that netted him tens of millions of dollars in excessive fees from the at least four tribes he represented, among other indiscretions.

Advertisement

Greenberg Traurig was not prosecuted in connection with Abramoff’s crimes, and in his sentencing agreement, the Justice Department said Abramoff had defrauded his former employer by asking clients to pay fees to another entity.

Fort Belknap Indian Community (FBIC) Tribal Council President Jeffrey Stiffarm, one of the plaintiffs in the IMDG suit, says pushback on his requests to then-IMDG CEO Terry Brockie for company records related to salaries, IMDG board terms and financial records — including agreements between IMDG affiliates and third-party lenders — raised “red flags.”

“For years, the Council has been asking for financial records of how much money’s coming in, where the money is going, what are the wages of that administrative staff, and they kept stonewalling us. And as owners of the company, we had the right to see this information,” Stiffarm told The Hill in a phone interview.

The former IMDG CEO did send the company’s most recent 2021 financial audit to the Council, but it raised more questions, according to a letter Stiffarm says he sent him in July 2022.

Advertisement

But Brockie failed to provide information on financing agreements between the IMDG, affiliated entities and third-party lenders in a response the next month, likely under the advice and direction of Weddle, the complaint alleges.

Brockie did not return The Hill’s request for comment.

The plaintiffs are hoping this information will come out in discovery, since they say their access has been limited by legal arrangements Weddle put in place to theoretically insulate the company from political influence, a source close to the lawsuit told The Hill in a phone interview.

Chaos at the Council

Forty miles south of the Canadian border, the Fort Belknap Reservation is home to members of the Assiniboine (Nakoda) and Gros Ventre (Aaniiih) Tribes.

Advertisement

The IMDG — which oversees a half-dozen companies operating in a variety of industries including real estate, construction, information technology, government contracting and more — is a major employer and driver of revenue for the rural community. 

So after Weddle allegedly told IMDG employees that lenders would freeze all assets and they would lose their jobs if the board was replaced, the plaintiffs said more than 200 employees showed up at the Tribal Council chambers, and more than 170 employees joined on Zoom for the special meeting Jan. 19.

“Council members who voted for appointment of the Interim Board were physically and verbally assaulted by IMDG employees, who upon information and belief were being coached and encouraged by Defendant Weddle,” the complaint alleges.

In addition to Stiffarm, four members of the FBIC Tribal Council signed on as plaintiffs in the lawsuit, detailing their experience after being appointed to the IMDG interim board: Geno LeValdo, Derek Azure, Brian Wing and Curtis Horn.

Advertisement

Azure says he found handwritten notes on his windshield with messages including “we know where you live” and “you better watch yourself” and received texts accusing him of putting hundreds of people out of work.

IMDG employees allegedly returned the next day to demand the prior board’s reinstatement.

The complaint includes a text allegedly sent by Weddle asking, “Are people going to stake out at Council houses if this doesn’t break today?”

Screenshot from lawsuit.

Advertisement

Azure says he came home Jan. 21 to find two of his Sorrel horses shot and a third Bay missing.

LeValdo described the unprecedented split that has persisted in his community since the meeting — which he directly attributes to Weddle’s alleged actions — in a phone interview with The Hill.

“She divided a tribe. She divided a nation. She divided a Council. She divided families,” LeValdo said.

Alleged asset transfer further divides community

The evening of the vote, Weddle allegedly called third-party lenders to trigger an event of default, a pre-negotiated condition that would allow the lenders to demand full repayment of debts or other obligations.

Advertisement

She then pushed to move the company’s assets to another tribe, the Rosebud Sioux Tribe of South Dakota, the complaint claims. 

“The Tribe has defaulted. We’re now in salvage mode. To try to get everything assigned to Rosebud,” Weddle allegedly texted two former IMDG board members Jan. 22.

Screenshot from lawsuit.

The complaint says Weddle directed IMDG’s former board members to sign documents authorizing its former CEO to set up a new account to transfer the company money, but lenders took control of IMDG’s accounts before they could do so, halting any asset conversion.

Advertisement

The interim IMDG board terminated its legal relationship with Greenberg Traurig and Weddle in mid-February.

But because third-party lenders declared the event of default, the company claims its reputation has taken a hit. IMDG’s chief financial officer estimates losses in the hundreds of millions of dollars over the next three to five years.

The plaintiffs believe Weddle “is still interfering with and causing harm to IMDG and the Council,” and Horn said Weddle and a lender’s representative appeared in a Zoom meeting of the interim IMDG board. 

The representative, who was not named in the lawsuit, allegedly told the interim board he would come to the reservation to collect collateral including buildings, equipment and vehicles.

Advertisement

But for the plaintiffs, the damage goes beyond the impact on the company.

“I hate her for what she did to our people. I don’t use that word much, but I hate her for what she did to my people, our tribe, our elders and our youth,” LeValdo said. “This is going to take years for our tribe to come together and trust each other.”

​Business, Legal, Fort Belknap Indian Community, Greenberg Traurig A small, tribe-owned company has filed a lawsuit against legal giant Greenberg Traurig and its longtime lawyer. The lawsuit, filed this week in the U.S. District Court in Montana, is complex and wide-ranging. But at its core, the company and five Tribal Council members allege its former legal counsel attempted to influence the company’s operations…  

Advertisement
Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Business

Pros and Cons of the Big Beautiful Bill

Published

on

The “Big Beautiful Bill” (officially the One Big Beautiful Bill Act) is a sweeping tax and spending package passed in July 2025. It makes permanent many Trump-era tax cuts, introduces new tax breaks for working Americans, and enacts deep cuts to federal safety-net programs. The bill also increases spending on border security and defense, while rolling back clean energy incentives and tightening requirements for social programs.

Pros

1. Tax Relief for Middle and Working-Class Families

2. Support for Small Businesses and Economic Growth

  • Makes the small business deduction permanent, supporting Main Street businesses.
  • Expands expensing for investment in short-lived assets and domestic R&D, which is considered pro-growth.

3. Increased Spending on Security and Infrastructure

4. Simplification and Fairness in the Tax Code

  • Expands the Earned Income Tax Credit (EITC) and raises marginal rates on individuals earning over $400,000.
  • Closes various deductions and loopholes, especially those benefiting private equity and multinational corporations.

Cons

1. Deep Cuts to Social Safety Net Programs

  • Cuts Medicaid by approximately $930 billion and imposes new work requirements, which could leave millions without health insurance.
  • Tightens eligibility and work requirements for SNAP (food assistance), potentially removing benefits from many low-income families.
  • Rolls back student loan forgiveness and repeals Biden-era subsidies.

2. Increases the Federal Deficit

  • The bill is projected to add $3.3–4 trillion to the federal deficit over 10 years.
  • Critics argue that the combination of tax cuts and increased spending is fiscally irresponsible.

3. Benefits Skewed Toward the Wealthy

  • The largest income gains go to affluent Americans, with top earners seeing significant after-tax increases.
  • Critics describe the bill as the largest upward transfer of wealth in recent U.S. history.

4. Rollback of Clean Energy and Climate Incentives

5. Potential Harm to Healthcare and Rural Hospitals

6. Public and Political Backlash

  • The bill is unpopular in public polls and is seen as a political risk for its supporters.
  • Critics warn it will widen the gap between rich and poor and reverse progress on alternative energy and healthcare.

Summary Table

ProsCons
Permanent middle-class tax cutsDeep Medicaid and SNAP cuts
No tax on tips/overtime for most workersMillions may lose health insurance
Doubled Child Tax CreditAdds $3.3–4T to deficit
Small business supportBenefits skewed to wealthy
Increased border/defense spendingClean energy incentives eliminated
Simplifies some tax provisionsThreatens rural hospitals
Public backlash, political risk

In summary:
The Big Beautiful Bill delivers significant tax relief and new benefits for many working and middle-class Americans, but it does so at the cost of deep cuts to social programs, a higher federal deficit, and reduced support for clean energy and healthcare. The bill is highly polarizing, with supporters touting its pro-growth and pro-family provisions, while critics warn of increased inequality and harm to vulnerable populations.

Continue Reading

Business

Trump Threatens to ‘Take a Look’ at Deporting Elon Musk Amid Explosive Feud

Published

on

The escalating conflict between President Donald Trump and Elon Musk reached a new peak this week, as Trump publicly suggested he would consider deporting the billionaire entrepreneur in response to Musk’s fierce criticism of the president’s signature tax and spending bill.

FILE PHOTO: Tesla CEO Elon Musk arrives on the red carpet for the automobile awards “Das Goldene Lenkrad” (The golden steering wheel) given by a German newspaper in Berlin, Germany, November 12, 2019. REUTERS/Hannibal Hanschke/File Photo

“I don’t know, we’ll have to take a look,” Trump told reporters on Tuesday when asked directly if he would deport Musk, who was born in South Africa but has been a U.S. citizen since 2002.

This threat followed a late-night post on Trump’s Truth Social platform, where he accused Musk of being the largest recipient of government subsidies in U.S. history. Trump claimed that without these supports, Musk “would likely have to shut down operations and return to South Africa,” and that ending such subsidies would mean “no more rocket launches, satellites, or electric vehicle production, and our nation would save a FORTUNE”.

Trump also invoked the Department of Government Efficiency (DOGE)—a federal agency Musk previously led—as a potential tool to scrutinize Musk’s companies. “We might have to put DOGE on Elon. You know what DOGE is? The DOGE is the monster that might have to go back and eat Elon,” Trump remarked, further intensifying the feud.

Background to the Feud

The rupture comes after Musk’s repeated attacks on Trump’s so-called “Big, Beautiful Bill,” a comprehensive spending and tax reform proposal that Musk has labeled a “disgusting abomination” and a threat to the nation’s fiscal health. Musk, once a Trump ally who contributed heavily to his election campaign and served as a government advisor, has called for the formation of a new political party, claiming the bill exposes the need for an alternative to the current two-party system.

Advertisement

In response, Trump’s allies have amplified questions about Musk’s citizenship and immigration history, with some suggesting an investigation into his naturalization process. However, legal experts note that deporting a naturalized U.S. citizen like Musk would be extremely difficult. The only path would involve denaturalization—a rare and complex legal process requiring proof of intentional fraud during the citizenship application, a standard typically reserved for the most egregious cases.

Political Fallout

Musk’s criticism has rattled some Republican lawmakers, who fear the feud could undermine their party’s unity ahead of the 2026 midterm elections. Meanwhile, Musk has doubled down on his opposition, warning he will support primary challengers against Republicans who back Trump’s bill.

Key Points:

As the dispute continues, it has become a flashpoint in the broader debate over government spending, corporate subsidies, and political loyalty at the highest levels of American power.

Continue Reading

Business

Diddy Faces Life Sentence as Jury Deliberates

Published

on

Sean “Diddy” Combs, the influential music mogul and entrepreneur, is facing the possibility of spending the rest of his life behind bars as a New York federal jury continues deliberations in his high-profile sex trafficking and racketeering trial.

After more than five hours of deliberation on Monday, the 12-member jury—composed of eight men and four women—had not reached a verdict and is set to resume discussions today. The panel is tasked with deciding whether prosecutors have proven beyond a reasonable doubt that Combs orchestrated a criminal enterprise that trafficked women for sex and engaged in other serious crimes over a period spanning nearly two decades.

Prosecutors allege that Combs, 55, used his wealth, celebrity, and network of employees to coerce and intimidate two former romantic partners—singer Cassie Ventura and another woman identified as “Jane”—into participating in what were described as drug-fueled “freak offs,” involving commercial sex acts with male escorts while Combs watched or filmed. They further claim he maintained control through threats of violence, kidnapping, and arson, and that he used his business empire as a front for these illicit activities.

Combs has pleaded not guilty to all charges, which include:

  • One count of racketeering conspiracy
  • Two counts of sex trafficking by force, fraud, or coercion
  • Two counts of transportation for the purpose of prostitution

If convicted of the most serious charges, Combs faces a mandatory minimum sentence of 15 years and a maximum of life in prison. The racketeering charge alone could result in a life sentence if the jury finds he committed at least two of the eight underlying crimes alleged by prosecutors, including sex trafficking, kidnapping, bribery, and narcotics distribution.

The defense argues that the government is unfairly criminalizing Combs’ private sexual conduct, characterizing the events as consensual and part of a swinger lifestyle rather than criminal acts. Combs chose not to testify in his own defense, with his legal team focusing on cross-examining dozens of prosecution witnesses, including former employees who testified under immunity.

Deliberations have not been without drama. The jury sent a note to Judge Arun Subramanian expressing concern that one juror was struggling to follow instructions, prompting the judge to remind all members of their duty to deliberate fairly and according to the law. The panel also sought clarification on the legal standards surrounding narcotics distribution, a key element in the racketeering charge, which the judge is expected to address today.

As the world watches, Combs’ fate now rests in the hands of the jury. There is no set timeline for a verdict, and the deliberations could continue for several days. If acquitted, Combs would be released immediately; if convicted, he could face a life sentence, marking a dramatic fall for one of hip-hop’s most prominent figures.

Advertisement
Continue Reading

Trending