(Reuters) – Hockey Canada, which has come under fire over its handling of an alleged sexual assault and out-of-court settlement, said on Wednesday that effective immediately it will no longer use its National Equity Fund to settle sexual assault claims.
The decision comes a day after Canadian Prime Minister Justin Trudeau condemned the national governing body over use of the multimillion-dollar fund that was financed by registration fees of players across the hockey-loving country.
Hockey Canada said in a statement it has “significant work to do to rebuild trust with Canadians” and is beginning a full governance review of its organization that will be overseen by an independent third party.
The review will include the National Equity Fund that it maintained to pay for uninsured liabilities, including sexual abuse claims.
“While we respect that process, we also recognize some actions cannot wait. Effective immediately, the National Equity Fund will no longer be used to settle sexual assault claims,” said Hockey Canada.
“Instead, it will be exclusively dedicated towards safety, wellness and equity initiatives, as well as insurance across our organization – activities which comprised 98% of its resources between 2014 and 2021.”
In April, a woman filed a lawsuit in which she alleged that she was sexually assaulted in a hotel room by eight hockey players following a Hockey Canada golf and gala event in 2018.
Hockey Canada settled the lawsuit in May. The allegations against the unnamed players have not been proved in court.
The Canadian federal government has since frozen funding to Hockey Canada over its handling of the alleged sexual assault and out-of-court settlement, while a number of sponsors have paused their relationship with the organisation.
Hockey Canada said that following the governance review it will take any additional steps that are recommended. And should the review determine that a fund to support victims of sexual assault is required, it will ensure all claims are subject to the approval of an independent third party.
“Canadians have been loud and clear: you expect our national sport and those representing it to work hard to earn your trust each day,” said Hockey Canada.
“We have heard you and are committed to making the changes necessary to allow us to be the organization you expect us to be, and to restore your confidence and trust in us.”
(Reporting by Frank Pingue in Toronto; Editing by Hugh Lawson)
