Superior Court Justice G. D. Lemon has taken control of the Krug Estate away from Bruce County.
In January, Lemon found that the County improperly and secretively spent Krug trust funds to buy property intended for a nuclear innovation centre, and has removed the county’s trusteeship over the funds.
Lemon’s decision on October 12 draws this nearly four year court battle to an end.
In February 2019, the Southampton Cultural Heritage Conservancy filed an Application against the County under Section 10 of the Charities Accounting Act, saying the County had breached the Krug Trust by using the funds to purchase the former Anglican rectory at 254 High St. in Southampton, next to the County Museum.
BMO Trust Co. is being asked to serve as interim trustee and to take “all necessary steps to sell the property to a purchaser other than the County or any individual or entity not in a non-arm's length capacity from the County.”
Justice Lemon ordered the County to pay the costs for the trustee services and the maintenance of the property, and that SCHC also submit their additional costs. In May, Justice Lemon told the County it must pay $140,000 in previous legal costs to SCHC.
“We (Bruce County Council) are in receipt of, and are reviewing, His Honour’s decision on the Krug Estate Trust,” said Bruce County Warden Janice Jackson. The county has not commented further.
“SCHS agrees with Justice Lemon on all counts and are satisfied that the legacy of Bruce Krug will now be respected,” said SCHC Board member Laura Robinson.