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Alberta company at the centre of allegations on health contracts urges audit release

EDMONTON — An Alberta company swept up in allegations of government corruption says it’s being further harmed by the suppression of a report it believes could clear the name of its CEO.
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An Alberta Health Services sign is pictured outside the Rockyview General Hospital in Calgary, Thursday, March 20, 2025.THE CANADIAN PRESS/Jeff McIntosh

EDMONTON — An Alberta company swept up in allegations of government corruption says it’s being further harmed by the suppression of a report it believes could clear the name of its CEO.

Medical supply company MHCare Medical is calling on the provincial government to release an audit initiated by Alberta’s former head of health services into certain health contracts.

MHCare said it believes that audit, undertaken by a law firm at the direction of former Alberta Health Services head Athana Mentzelopoulos, may provide concrete proof allegations against its CEO, Sam Mraiche, are baseless.

"This situation is profoundly unfair and unacceptable," the company said in a Wednesday statement to The Canadian Press.

"It leaves our CEO with no opportunity for public exoneration, even as media reports, innuendo, rumours and political attacks continue to linger."

Mentzelopoulos is suing Premier Danielle Smith’s government for wrongful dismissal, claiming she was fired for looking into questionable, overpriced contracts.

MHCare is not named as a defendant in the lawsuit, but contracts it and related companies had secured with AHS were part of the examination that was initiated late last year by Borden Ladner Gervais at the direction of Mentzelopoulos.

That audit, MHCare notes, is referenced in court documents.

The province has denied any wrongdoing, arguing in court documents that Mentzelopoulos was fired for poor job performance and for dragging her feet on health-care reforms.

The health services contracts are the focus of investigations by the RCMP, the province's auditor general and former Manitoba judge Raymond Wyant, who was hired by Smith's government.

Wyant was to submit an interim report to the government in May, but that deadline has been extended to September. A final report is due in October.

Earlier this week, auditor general Doug Wylie was granted almost $1 million more to bring in outside help for his office to deal with the scope and complexity of the probe.

MHCare said it’s frustrating that the company has yet to be interviewed by Wyant or the auditor general’s office.

"At no point has the law firm’s audit been shared with Mr. Mraiche, even though he continues to be subjected to baseless, harmful suggestions of wrongdoing — the accuracy of which this audit might help to disprove," it wrote.

It added that no charge of misconduct against Mraiche or MHCare has been made by the province, AHS or police.

The company, through lawyer Jessie Bakker, declined an interview.

In a statement Thursday, AHS spokeswoman Christine Myatt said the document MHCare is calling for is privileged and confidential advice related to ongoing legal action, so it would not be released.

The government, through lawyer Munaf Mohamed, said it would be inappropriate to comment on the request by MHCare because of ongoing legal action.

In its letter, MHCare also called on Mentzelopolous to release the audit's conclusions in the interest of public transparency and basic fairness.

This report by The Canadian Press was first published June 26, 2025.

Lisa Johnson, The Canadian Press

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