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runsmoothAlberta construction company alleges Sam Mraiche played hidden role in building of addiction sites
Globe and Mail’s Tom Cardoso and Carrie Tait give us the deep dive on the latest in the CorruptCare scandal, revealing allegations that Sam Mraiche continued to use his connections to the UCP to shake down other businesses for payments in exchange for government contracts.
Here, the allegations take us to Melewka Homes Ltd, owned by Lewis Semashkewich and John Semashkewich. The pair did business with a Mohamed Eldassouki. Plot twist: Eldassouki apparently is the brother-in-law of the perpetual protagonist of capitalism, Sam Mraiche. The Semashkewiches go on to allege that Mraiche introduced himself as Fred, and suggested that he had connections with high ranked officials, and he could pull contracts awarded to Melweka at any time. Fred went on to make demands for large sums of money.
Unfortunately, some of these contracts appear to involve the Addiction Recovery Centres that were once handled by AHS. But, since AHS may have been shattered into pieces for allegedly investigating the CorruptCare cluster of contracts, it has since been replaced by Recovery Alberta in 2024. At this point, it beggars belief that the UCP, Danielle Smith, and her caucus do not either resign or at least take steps to mitigate what is clearly an out-of-control conflicts of interest.
As always, the article deserves a read, and I’ll include some highlights here. You will see that some recurring characters return to the stage, including Jitendra Prasad, and Bryan Ward.
The Semashkewiches and Mr. Eldassouki began working together in 2022, according to court records, under an arrangement in which Mr. Eldassouki would help identify projects for the Semashkewiches’ business.
Not long after that, the Semashkewiches claim in the lawsuit they were introduced to a man named Fred, who told Lewis Semashkewich he would control Melewka Homes’ payments on projects identified by Mr. Eldassouki and could put an end to them at any time. In their court submissions, the Semashkewiches said it was “made apparent” to them that Fred had “considerable control” over the construction work and the government officials behind them.
According to the Semashkewiches’ court filings, they later learned that Fred was, in fact, Sam Mraiche. In addition to being Mr. Mraiche’s brother-in-law, Mr. Eldassouki has served as a senior executive at two of Mr. Mraiche’s companies, including MHCare.
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The Semashkewiches’ deal with Mr. Eldassouki soon led to new business, the counterclaim shows. After being selected to build two apartment complexes for the Métis Nation of Alberta in 2023, in early 2024 the contractor was tapped to build recovery centres in the three Indigenous communities.
But the arrangement between the two companies would ultimately become strained as the contractor allegedly faced demands for money from Mr. Mraiche and Mr. Eldassouki on its construction projects, according to the Semashkewiches’ claim.
During one phone call between Lewis Semashkewich and Mr. Mraiche, the latter told Mr. Semashkewich he had the government connections necessary to “pull” Melewka Homes’ projects and indicated he had ties to a senior executive at the Métis Nation, a man named Aaron Barner, the Semashkewiches’ claim alleges. “I own Barner and he will do what I say,” Mr. Mraiche is alleged to have said.
After that conversation, Mr. Barner allegedly told Mr. Semashkewich that meetings between the Métis Nation and Melewka Homes were cancelled until further notice, effectively pausing the project. According to the Semashkewiches’ submission, work only resumed after Mr. Semashkewich authorized the release of funds to Mr. Eldassouki. In his court submissions, Mr. Eldassouki denies exerting pressure on the Semashkewiches or making improper requests for payment.
Mr. Barner, for his part, says in a statement of defence that he asked that the Semashkewiches cease contact in response to “repeated and improper communications” between Melewka Homes and Métis Nation personnel. Mr. Barner also denies he is a business associate of Mr. Mraiche and Mr. Eldassouki, and says he did not act on anyone’s instruction. A lawyer for Mr. Barner did not comment.
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During another meeting, this time at MHCare’s offices, Mr. Mraiche allegedly demanded an “exorbitant amount of money” and threatened to use his connections to cancel Melewka Homes’ projects, the Semashkewiches claim in their lawsuit. To demonstrate his influence, Mr. Mraiche allegedly called “his friend J.P.,” an Alberta government insider, and put him on speakerphone. According to the Semashkewiches’ submission, Lewis Semashkewich understands this man to be Jitendra Prasad, who was then a senior procurement official for the Alberta government. Last year, The Globe documented Mr. Prasad’s involvement in the Alberta Health Services procurement controversy and his ties to Mr. Mraiche. A lawyer for Mr. Prasad did not respond to The Globe’s requests for comment.
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The Semashkewiches also say in their court submission that the lawyer they hired to handle payments on two of the three recovery centres – and who allegedly came at the recommendation of Mr. Eldassouki – improperly sent nearly $7-million to Mr. Eldassouki’s company. Public records show that the lawyer, a man named Bryan Ward, has acted for Mr. Mraiche on several occasions, including in a civil lawsuit, in real estate transactions and in a dispute with Elections Alberta. Mr. Ward denies having acted improperly in his statement of defence, and his lawyer did not comment.
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