It was "unreasonable in all circumstances" for the federal government to appoint a third-party manager in response to an unfolding humanitarian crisis in the troubled First Nations community of Attawapiskat, the Federal Court ruled Wednesday.
But there was no political malice at play in the decision nor any intent to embarrass the northern Ontario reserve or its members, the court concluded.
Sending in Jacques Marion last November to take over the band's finances was the wrong way to address what was a critical housing shortage and worsening crisis on the northern Ontario reserve, the court said in its written ruling.
"The decision to appoint [Marion] did not respond in a reasonable way to the root of the problems at Attawapiskat nor to the remedies available," wrote Federal Court Judge Michael Phelan.
"The [government] invoked a financial management remedy without considering more reasonable, more responsive or less invasive remedies available."
The decision to appoint someone to take over the band's books was made without any indication that there was a problem with the way the band was being managed, Phelan wrote in his judgment.
The Conservative government made it clear Wednesday it's unhappy with the ruling, but isn't yet ready to say whether an appeal is in the offing.
"We are disappointed with the court's decision and will review it to determine the appropriate next steps," said Jason MacDonald, a spokesman for Aboriginal Affairs Minister John Duncan, the MP for Vancouver Island North.
New Democrat ethics critic Charlie Angus, whose riding includes Attawapiskat, said Duncan sat on his hands for a month while the housing crisis was unfolding, and then overreacted when it began making headlines.