A deal has been reached between the federal government and Ginoogaming First Nation, entitling the northwestern Ontario First Nation to receive over $14 million from the Canadian government. The deal stems from the government's mismanagement of the reserve's timber supplies.
The First Nation sold timber on their reserve in the 1920s to make extra money. The money was to be paid to the First Nation as the timber was harvested. The Canadian government underestimated the amount of timber on the reserve, selling it for only a quarter of its worth. In addition, only trees with a minimum diameter of six inches were to be harvested, but the government forgot to insert that clause. The reserve was clear cut.
The agreement in principle, signed by the First Nation and the Department of Indian and Northern Affairs specific claims branch is one of the final steps in the negotiation process. Ginoogaming is located near Longlac.