An American litigation funder is threatening to call in more than $100 million in alleged debt from Alberta separatist leader and lawyer Jeffrey Rath and his firm, Global News has learned.
Delaware-based Diriba Investments LLC alleges in court documents that Rath and his professional corporation, RathPC, defaulted two years ago on a financing agreement tied to First Nations and COVID-19 litigation cases — a debt the lender now says totals nearly $109 million, plus interest and costs.
Rath and his corporation now face pressure on two fronts. As Global News reported last month, two former First Nations clients have filed separate court actions seeking the return of tens of millions in disputed trust funds, and now an American creditor is pursuing a nine-figure claim against the firm’s legal proceeds and other assets.
“If you are a law firm, these are very, very serious matters,” said Roderick Wood, a University of Alberta law professor who is an expert in insolvency and bankruptcy law.
“If you have a secured party in a position where they are enforcing their claim, any debtor, not just a law firm, is really in a situation you would rather not be in. It’s a very challenging situation.”
Rath declined to answer questions from Global News.
In addition to leading a successful legal firm, the Calgary lawyer has become one of the Alberta separatist movement’s most visible advocates in recent years, crisscrossing the province for town halls, travelling to Washington to meet with American officials, and appearing in national and international media.
But behind the scenes, his firm was pursuing cases bankrolled in part by litigation funding — an arrangement that has allegedly left the firm, and potentially the proceeds of some of Rath’s biggest cases, indebted to U.S. investors.
Litigation funding is a large and controversial industry, primarily in the U.S. It allows outside investors to pay a lawyer’s costs to pursue legal cases in exchange for a share of the compensation if the case is won.
In a 2018 agreement, Diriba and Western Springs Investments LP, another funder incorporated in Delaware, signed on to finance some of RathPC’s legal work. In return, the firm granted the funders security over a negotiated portion of its resulting fees and other compensation. Western Springs appointed Diriba to act as agent for both funders.
Diriba alleges Rath’s firm breached the agreement by not submitting monthly reports, not keeping funders informed of material case developments, not reporting proceeds from covered cases, not responding to information requests, and not making required payments.
The funder also alleges Rath and RathPC failed to disclose that unnamed claimants had terminated their relationship with the firm.
Documents show that in November 2024 the company demanded an accounting and payment of money it said it was owed, formally warning RathPC that it intended to pursue assets pledged under the financing agreement.
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The alleged debt and contractual breaches have not been adjudicated.
Global News could not confirm which specific cases Diriba funded or how much capital was advanced.
RathPC’s 2018 funding deal initially covered two unidentified cases, heavily redacted court documents show. But a 2023 amendment expanded the scope to all of his firm’s existing and future claimant-side work, explicitly mentioning First Nations treaty claims and COVID-restriction litigation.
Redactions obscure how Diriba arrived at the $108.8-million figure.
Diriba’s Calgary-based lawyer, Kelsey Meyer, declined to answer specific questions.
Questions to Burford Capital, a global litigation-finance giant closely affiliated with Diriba, also went unanswered. Paul Mysliwiec, who swore the affidavit as Diriba’s authorized representative, is Burford’s deputy general counsel.
Funder: Rath’s firm an ‘insolvent person’
On July 21, 2026 — nearly two years after issuing its notice of default — Diriba demanded records from RathPC, including its financial statements, a list of all active lawsuit claims, and a full accounting of money recovered in those cases, court documents show.
Six days later, Diriba followed up with a formal demand letter and separately served RathPC with a notice of intention to enforce security under the Bankruptcy and Insolvency Act, describing RathPC as an “insolvent person” and alleging the firm may be unable to pay its debts as they come due.
Diriba also alleges that RathPC breached its financing agreement by granting a competing security interest to another company, Vance SPV LLC. Global traced Vance’s origins to Delaware, a popular destination for starting a company because it offers privacy – it does not require businesses to disclose their directors, shareholders, or executives.
Vance was incorporated in May 2020 — exactly one month before the company registered a lien over all of Rath’s and RathPC’s current and future personal property, on top of the claim Diriba already held. Court-filed financial records also show the company paid RathPC $13,682 in September 2024.
Global News could not identify or contact Vance’s owners because of Delaware’s limited public disclosure requirements.
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Global News also could not determine why Diriba waited until July 2026 to begin formal enforcement of the default.
Wood suggested funders sometimes hold off if they expect payments to start coming in.
“If there is a lot of potential revenue, they might be saying, ‘Okay, you’re in default … but we may not be moving in immediately because … there may be further revenue coming in, which would alleviate the situation’.”
But as Global News has previously reported, Rath has been under increasing pressure from two First Nations over financial misappropriations.
According to court documents, Tallcree and Sturgeon Lake allege that RathPC misappropriated millions from their trusts, which held funds for beneficiaries who were minors, and which Rath’s firm administered after winning huge settlements for the bands. They say they fought for years to receive financial statements that would have revealed those disputed withdrawals.
Other court documents show that when Diriba issued its default notice in November 2024, Tallcree was still seeking its 2024 accounts, and financial auditor Grant Thornton was demanding proof that more than $12 million withdrawn from Sturgeon Lake’s trust was authorized.
Rath has denied wrongdoing in the Nations’ cases.
Though Rath declined to answer questions on this story, he previously told Global: “I’m responding through court proceedings at an appropriate time. I will not comment on personal financial matters that are not properly part of the public record or any other matter that is currently before the courts.”
Although Diriba has stated it will not seek funds belonging to Tallcree or Sturgeon Lake, its claim could still complicate the bands’ attempts to trace the funds they allege Rath has misappropriated, which are currently playing out in separate court actions.
“There is a potential … controversy over who has the higher-ranking claim – the secured creditor who is claiming the security interest in the property of the professional corporation, or the beneficiaries of the trust,” Roderick Wood, the insolvency expert, said.
Those Nations’ fights have now intensified. In July, Tallcree obtained an interim Mareva injunction — a court order freezing a person’s or company’s assets — prohibiting a defendant from hiding or moving funds that could otherwise satisfy a future judgment.
A court-ordered investigator, called a receiver, is also tracing the funds the Nation claims are missing. In particular, the receiver is investigating an $8.5-million refund RathPC had been ordered to repay its trust. Tallcree says the money instead moved into a new bank account and quickly turned into $8 million in bullion, plus a $500,000 draft payable to Rath.
Diriba wants to expand the receiver’s mandate to trace legal fees and other assets the funders say were pledged to them. It argues that Rath’s court-ordered financial disclosure in the Tallcree case also does not show where any remaining bullion – or the proceeds from bullion sales – ended up.
A hearing on Diriba’s application to expand the investigating receiver’s remit will be held on Sept. 14 in Calgary.
Your opinion is worthless if you are too cowardly to use your real name in the comments.
What an organization:
A lawyer (Rath) that is accused of misappropriating money from a First Nations trust account and American litigation funder (Diriba Investments LLC) is threatening to call in more than $100 million in alleged debt from Jeffrey Rath and his firm which defaulted two years ago on a financing agreement.
Also: Bob Deer who was convicted of manslaughter for his role in a 2006 killing that led to him serving more than nine years in prison.
And: Ian Parkinson, a co-writer of the draft constitution called the “Foundation of Freedom.”
Who said “Every citizen has the right to life, liberty and security to the person — your own security, not some flip flop, towel-headed police officer who doesn’t even speak Canadian,”
To top it all off: Parkinson said that to applause by members of the audience. Which shows these ‘separatists’ support racism.
What intelligent and sane person would want these people leading their government?
It wasnt why Curtis said Queer, it was the timing behind the pronunciation and actions thereafter that landed global news/Corus in the slammer.
Sounds like Trump follower. These separatists should just move to the states where criminals and lawlessness are welcome.
It’s becoming clearer that a lot of the loudest voices in the Alberta independence scene are undisciplined and acting on emotion rather than strategy. The Global News report shows exactly why this movement keeps tripping over itself. Jeffrey Rath — who some people treat as a “leader” — is facing a $109 million debt claim from U.S. investors, and a court has already frozen his assets. On top of that, two First Nations allege he misappropriated trust funds meant for minors. These aren’t rumours; they’re legal filings and injunctions.
When someone in that position tries to sell a 200 plus page “plan” for Alberta independence, it’s hard not to see it as hypothetical at best and self serving at worst. There’s no evidence he has the credibility or stability to architect a functioning breakaway state.
And beyond Rath, the independence movement itself looks disorganized. Even supporters admit there’s no unified leadership, no coherent economic plan, and no serious policy groundwork. The comment sections are full of infighting, conspiracy thinking, and personal attacks — not the kind of environment where nation building happens.
The reality is simple: Alberta benefits enormously from being part of Canada. We rely on federal programs, shared currency, national infrastructure, interprovincial trade, and international agreements that would take decades to rebuild. Any honest economist will tell you that independence would be economically destabilizing and politically chaotic.
So yes — any reasonable person can see Alberta is better off within Canada. The article just reinforces that the people pushing separation are not offering a credible path forward.
If\nHe’s a separatist.He needs to be hung , plain and simple f*** am
51st and Goal
September 8, 2026 at 6:56 pm
Let me guess, you’re from BC or Ontario.
Guest Star . Cry harder in your safe space . ELBOZO up
Nothing like a good ol’ Canadian Media smear campaign.
“Beautiful women, fun conversations, unforgettable connections. ❤️”……………………..> da.gd/girls66
Why haven’t the the Alberta law society and the Canadian law society kicked this guy out of the profession yet?
Or maybe they like amoral, criminal types on their roles?
And…
Why is Alberta even having a referendum if criminal types are running the separatist party.
People wanting Alberta Independence do not have a leader. Rath is just a person that is passionate about Alberta Independence. Unlike liberals that support Alberta remaining in Canada, we don’t need someone to lead. To tell us what to do or think. The media thinks if they can discredit Rath that will end the Independence movement. Nothing can be further from the truth. The Independence movement started long before Rath started talking to the media.
What a loser!
Rown, trump doesn’t ever pay. For anything. Even you. He got you for free.
You Albertans sure seem obsessed with bum holes, is that because your throwing a hot dog down a hallway with your stepdaughter and you gotta go in the back with your Chinese pecker?
Another weasel scamming people. Alberta, looks like you have a real maga-man wanting to lead you…. Hahaha
Elbows up sure love canada being over ran by east indians. If alberta separated it might bring that to an end. Canada needs to become a third world $hit hole .so canada needs to stay together. And Liberals need to continue to wash .
I see the elbows up bots are out in full now . You are not fooling anyone .nobody is that dumb to want to stay in a country that turned into a third world s** hole
But, but, the Liberals bad! The Liberals aren’t the problem. Phony Reforms and Conservatives who cheated us out of the oil and tax wealth that Peter Lougheed intended us to have are the problem. These separatist weasles who want to see Alberta be on its own can’t see that. They are so shady.
I’m sure (tongue in cheek) Global researched this article thoroughly to know that Rath is not the leader of the Alberta separatist movement, nor is he a recognized spokesperson. But you knew that, right?
Lol of course he does.
A Crooked, Corrupt, Fat, Separatist, Thieving Lawyer … from OILberta …
he fits right in with that Floor Crossing Premier … 🤣
Trump can buy you all out if you want to separate
Trump can buy you all out if you want to separate….
WOW WOW WOW !!!!!!
Just think Danni and Rather in charge of your MONEY Just makes your butt-hole pucker or not if your a separatist.
Conflating Rath with desire to separate is a federalist dreamcasting. Who cares? He’s not elected. He’s got no role in negotiations. He can completely disappear and very little changes
Wow. Just…wow.
Please please please….all Conservatives/Albertans PLEASE just move back to your own country so the rest of us Canada can get back to their lives!!!! You belong one of two places…in a funny farm or Alberta. Wait. Maybe that’s the same place?!
…and this dude is suppose to be standing up for the separatists?
He should be in a clown wig to start with, will tell you in next post about his qualification to stand up for who…
Remember Breaking Bad when Walt was told he needed a Criminal Lawyer ……
This sounds like the far-left political interference our media is always taking about.
“Either send Rath to the USA permanently or lock him up until he pays up. He just simply a traitor and he deserves to be sent back to the USA dressed in his American flag suit.
The Liberal supports just eat up the liberal controlled media narrative. Claiming all conservative people are the problem.
Canada under Liberal ideology has worst economic growth(shrinkingifyou removedmore then doublegovernmentgrowth), highest inflation(caused by increasing carbon tax)
Yep why wouldn’t people want actaul government for the people.
Not government working for World Economic Form and Brookfield.
What have Liberals done for Canadian citizens? Nothing
DANIELLE IS IN BED WITH THIS GUY. IT’S TIME – TO TURN OVER.AND AND RUN FOR THE HILLS,.
CANADA’S PUBLIC ENEMY NUMBER 1 NEEDS A – LAWYER.
HA HA HEE HO HA. RATH. RATH. WOT HAVE YOU DUN TO MY DRESS?
If he doesn’t like being in Canada , he and all his separatist followers including Yankee doodler Dani can move to America
That Alberta’s separatist lawyer is obviously ripping off the American Indians and running a ponsy scam on them lol holy shot n pissed on lol
There is a reason he is part of the separatist group. They all have other agendas.
Global news is nothing but billshit propaganda
Gotta love a timely reminder that Alberta’s most prominent separatist is either a fraud or, at the very best, grossly incompetent.
And this guy thinks he can run a province?
Maple maggot goof
First – where is the law society in this? Why is he allowed to practice at all? This calls into question the integrity of legal persons in Alberta if Rath and Co are allowed to continue to do this for years without investigation or repercussions. Another issue is why is Canada allowing ambulance chasing in the form of foreign investors in large settlement cases? Why is this even legal here? As a nation we do not profit on the misfortunes of others – this is why we do not have privatized health care nor privatized judicial or incarceration services. It is morally reprehensible what Rath is doing and the Law Society of Alberta needs to also be held accountable. The Federation of Canadian Law Societies should take over at this point.
Hey David, that ad hominem attack looks about right on you. Grow up buddy.
Rath represents the integrity of Alberta separatists whether they like it or not. Playing some shell game with his clients’ money and getting caught. Grifter.
Separate to hide from your wrong doings?
Just a rich troublemaker who always has to get his way by hook or by crook.
Sounds like an orange guy to the South. Birds of a feather….
Send him down to Trump! Trump hires crooks like himself every day!
What, not an Alabertan, lol!
Anonymous the village idiots speaks, and speaks and speaks…uneducated loser…..sad. … where is the parent supervision?
He isn’t an “Independence Leader” he is legal counsel for the Independent Movement. I like him
He did a lot of good to start the independence movement going. His personal work problems or financial problems are not mine nor anyone else’s.
‘Shocker’, lol! Owed to the MAGAts! Traitor!
I hear the only way to identify RCMP officer’s names is in the obituaries.
I bet they’re Democrats with death wishes.
Thats just too funny. The dictator of a future community of seperatists broke? Too funny. Not a good way to start
straight to jail
He’s hoping if Alberta separation goes ahead and he becomes PM. He will use Alberta to enrich himself amd pay all his debt. A blueprint created by our southern dictator.
We need more people like that in politics
This should not give comfort to anyone who is opposed to separatism. We need to get the pipeline built through BC ASAP. Oil production under the Liberals has increased dramatically but the previous Liberal government did dampen investment in the oilsands.
Red flag,red flag,red flag.
and this is the guy who is leading the separatist movement , yikes.