First Nation families sue federal government over stipend cut

Seventy First Nation families who were forced to leave their homes in Manitoba are still renting in Winnipeg and are set to lose a federal government stipend.

The families moved out in 2011 when homes were flooded after the provincial government diverted water from the Assiniboine River to reduce flood risk for Winnipeg.

"A conscious decision was made by the federal government to flood out First Nations, including Dauphin River First Nation, with the knowledge that their homes, their property and their traditional lands were going to be damaged or destroyed," lawyer Harley Schachter told CNC News.

Dauphin River First Nation is taking legal action against the federal government after Indigenous Services Canada announced it would end the stipend which has been used for rent and other expenses while homes are being rebuilt.

The case will be heard in a federal court later this month and the government will continue paying the stipend in the meantime.

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