Gumala Aboriginal Corporation is taking legal action against its former chief executive, Steve Mav, for allegedly breaching his duties while he was at the helm of the indigenous group.
Gumala said in a statement it had engaged King & Wood Mallesons to commence proceedings in the Federal Court against the former CEO, who served from 2008 to 2015.
“Gumala alleges that Mr Mav breached his employment contract and duties owed by reason of his former position and is seeking compensation orders,” Gumala said.
“A directions hearing has been listed for Friday August 18 in the Federal Court.”
Gumala chairman Steven Dhu said the corporation was left to institute the proceedings after the Registrar of Indigenous Corporations declined to initiate legal action.
“The board of Gumala has decided to pursue this matter in an effort to recover the loss and damage the corporation has suffered,” he said.
“These proceedings are in the interests of good corporate governance and the interests of the members of the corporation as a whole.”
The Registrar of Indigenous Corporations began proceedings in the Federal Court in Perth against two former executives of the Murchison Regional Aboriginal Corporation, a charitable organisation based in Geraldton, last month.
In May, it won a case in the Perth Magistrates Court against Alan Bishop, the former chief executive of Garnduwa Amboorny Wirnan Aboriginal Corporation, who pleaded guilty to 38 charges of dishonestly using his position to gain a personal advantage by transferring corporation funds into his own personal bank accounts.