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Nanaimo sues its own mayor over alleged sharing of confidential data

The City of Nanaimo is suing its mayor, alleging that he shared confidential information with a former administrative assistant at the municipality.
photo - Nanaimo Mayor Bill McKay.
Nanaimo Mayor Bill McKay.

The City of Nanaimo is suing its mayor, alleging that he shared confidential information with a former administrative assistant at the municipality.

In a notice of claim, the city alleges that Mayor Bill McKay improperly shared confidential information with Marilyn Smith, a long-serving administrative assistant to mayors and councillors.

McKay helped Smith to sue the city after she was shifted to other duties at Nanaimo city hall in April 2016, the notice claims.

Nanaimo’s notice has been filed in B.C. Supreme Court and the court has not made any rulings about the allegations.

McKay told CHEK News Tuesday that he has not been served with the notice yet. “So, I will wait to be served and then I will vigorously defend myself with respect to the allegations.”

Smith went on medical leave after her duties changed, the notice says.

A confidential email was sent about April 19 from the city’s chief administrative officer to Nanaimo council members and the mayor. The email contained confidential and personal information regarding human resources issues relating to Smith, the claim states.

Nanaimo’s chief administrative officer asked in the email that council not discuss the confidential matter, it says. “Several requests were made from the city to the council asking that they refrain from communicating with Ms. Smith due to anticipated litigation.”

Despite these requests, the mayor engaged in several communications with Smith, the notice states. These led to “the mayor hindering or obstructing city staff in the exercise or performance of their human resources duties or functions.”

The notice makes these allegations: McKay assisted Smith “in bringing a claim against the city, that he provided her “with confidential information, including the confidential email, without council authorization and without following the processes required under the Freedom of Information and Protection of Privacy Act.” That information was used by Smith to support her claim against the city. McKay’s conduct, including Smith’s use of the information disclosed by the mayor, caused or contributed to loss and damage incurred by the city.

The City of Nanaimo is seeking declarations that McKay breached his duty to the city, and that he breached the Community Charter, and the Freedom of Information act.

It is seeking compensation for municipal losses or damages, including the city’s payment of settlement funds to Smith and the city’s legal fees in that matter.

This is the latest issue to come forth in ongoing friction between the mayor and the city. In November, the city sent a complaint to the RCMP about the McKay’s practices in the job.

A statement on City of Nanaimo letterhead said council members’ concerns included financial disclosure, business dealings and trade missions. McKay rejected the complaint, stating it was based on speculation, innuendo and misstatements of fact.

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