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regional wrap-up the West but it focuses on the areas of general litigation, corporate law, and aboriginal law. Casey says the legal landscape is changing in the North. "Some local law firms in Yellowknife have merged into regional or national firms to allow them to continue to compete. There are still some 'single shingle' lawyers, but when small firms merge with big firms, the lawyers and their clients enjoy the sup- port and resources a full-service region- al or national firm can provide." However, Casey warns that lawyers are still needed on the ground in the North. "It is very important that there is a physical presence in the North and that the lawyers know the people, the issues, and the culture. You can't serve clients in the North effectively if you only have lawyers who work in big city firms in southern Canada. You need the combination of a local office, local lawyers, and the in-depth expertise of a large regional or national firm." The integration of Peterson Stang into Field Law will solidify its position as one of the premier firms servicing the Northwest Territories and Nunavut. "This integration will ensure that Peterson Stang's clients will continue to receive the same excellent service that has always been provided by Peterson Stang and Field Law will benefit from Gerald Stang's 26 years' legal experience in the North," says Casey. Stang says he is excited about join- ing Field Law on Sept. 1. "Field Law has an excellent reputation and their approach to the practice of law seems to be very compatible with ours, which we hope will translate into a fairly seamless transition." — DC 17 LAWYERS NAMED IN BMO REAL ESTATE FRAUD SUIT estate dealings has yet to be proven, the 134-page statement of claim has named more than 100 individuals working in groups, including 17 lawyers, one of whom is a member of Parliament. The BMO action filed in April in W the Alberta Court of Queen's Bench is claiming groups of individuals worked a highly complex real estate and mortgage scheme that resulted in houses being assessed at a higher-than-market value with straw buyers using falsified financial information to qualify for mortgages. The straw buyer then defaulted on the loan leaving the bank short the difference between the real market value of the house and mortgage paid to the individuals who orchestrated the scheme. The straw buyer was paid $3,000 to $8,000 for securing a mortgage. BMO claims lawyers were used to disperse the funds paying off the original owner of the title while the "group" individual would take the profit — up to $60,000 — created by inflating the home's price. The lawyers named in the suit are 12 JULY 2010 www. C ANADIAN Law ye rmag.com hile the Bank of Montreal claim of alleged mortgage fraud losses of $30 million in Alberta real not being accused of fraud, but BMO is alleging they were negligent in their duty to the bank and clarified the matter in an earlier May appearance before Court of Queen's Bench Justice Adele Kent. One of the lawyers named in the suit is Calgary Northeast Conservative MP Devinder Shory. BMO spokesman Ralph Marranca said the claim against Shory is "no dif- ferent" than other lawyers named in the suit. "We allege that he was negligent in the way he acted as counsel for both the bank and the straw buyer in four transac- tions in which the bank suffered a loss of approximately $300,000." Shory, on his web site, posted the fol- lowing: "Court of Queen's Bench Justice Adele Kent pointed out today, as reported by the CBC, that I and the sixteen other lawyers named are 'not implicated in the alleged fraud.' Thank you once again to the many constituents who have offered The complete statement of claim is on Ernst & Young Inc.'s web site at documentcentre.eycan.com/Pages/ Main.aspx?SID=151. their support to me and my family." BMO was able to instigate the suit by using forensic accountants who examined transactions for more than a year and once the civil suit was filed, in May, turned over thousands of documents to the RCMP for consideration of criminal fraud. The RCMP announced in mid-May that they were pursuing a criminal investigation. Sgt. Patrick Webb said if criminal charges are laid, they would not necessarily be against the same individuals named in the civil suit. The RCMP investigation, because of the amount of documents, is expected to be lengthy. Funds have allegedly been moved to Lebanon, India, Pakistan, Saudi Arabia, and Dubai. A unique feature of the civil suit is that BMO was able to obtain an Anton Piller order, which allows for the search and seizure of evidence without prior warn- ing to prevent destruction of evidence. James Bancroft, independent counsel hired by BMO to oversee the seizures of documents, told the court in May that documents were found in duffle bags, suitcases, and even a child's backpack. Press reports say the Law Society of Alberta is investigating the 17 lawyers,