The B.C. Court of Appeal has dismissed ITHA's attempt to overturn a lower court order denying it an injunction against the First Nations Health Authority's lawful decision to terminate two funding agreements.

The decision to terminate the relationship was made because of ITHA's failure to fully cooperate with an external audit initiated in response to concerns raised by communities.

The auditors found numerous financial and operational irregularities that are now a matter of public record following court proceedings earlier this year. ITHA did not allow for that external audit to be completed.

FNHA made repeated attempts to engage with ITHA leadership to remedy the situation before terminating the funding arrangements by giving 90 days' notice, as stipulated in the contracts.

FNHA has since entered into new service delivery agreements with the 29 communities previously served by ITHA.

Moving forward, FNHA will continue to press ITHA to fulfil its outstanding financial commitments with regard to the now terminated funding agreements.​