At stake: 10 to 15 percent of the tribe's profits from its mineral deposits - potentially worth $100 million or more.
In an action filed Wednesday in federal court in Colorado, where Jurrius and his Jurrius Group are now located, the eastern Utah tribe claimed fraud and breach of contract. The Utes had severed its relationship with Jurrius last year.
Thursday, Jurrius said he had not seen the lawsuit and could not comment on its specifics. But, he noted, allegations that he defrauded the tribe "couldn't be more inaccurate."
The legal action is part of ongoing political maneuvering, Jurrius said, by new members of the tribe's governing Business Committee headquartered at Fort Duchesne in Uintah County.
In April 2007, Ute voters swept from office three incumbents of the six-member Business Committee, signaling dissatisfaction with Jurrius. By October, Jurrius was gone, but it remained unclear whether he resigned or was pushed out.
That was a shift from seven years ago when he was welcomed with open arms by the Northern Utes and hailed as something of a messiah who would lead the Utah tribe out of poverty. According to his resume, he bolstered energy and investment profits for the Southern Ute Tribe, centered in Ignacio, Colo.
But he also came with baggage. His critics labeled him "secretive" and "heavy handed."
Jurrius' contract with the Northern Utes outlined a salary of $50,000 per month and 10 percent of the profits the tribe realized through his efforts.
In a December 2006 interview, Jurrius told The Salt Lake Tribune that he was always upfront with tribal members.
"I told them I wasn't here to save them. I was here to make money."
According to the suit filed by the tribe's general counsel - New York City-based Fredericks, Peebles and Morgan - an option in Jurrius' contract provided that he could participate in Ute businesses through investment of his own capital at a maximum level of 10 percent.
The Utes' action alleges that Jurrius did not put up his own money but, nonetheless, claimed participation in energy projects and investments:
"Jurrius and the Jurrius Group improperly assigned and carried forward the fraudulent interests to create a purported ownership position in the tribe's predominant energy development entities, Ute Energy Holdings LLC and Ute Energy LLC."
Ute attorney Thomas Frederick said Thursday that Jurrius falsely purports to own a 10 percent interest in Ute Energy and a 5 percent interest in Ute Holdings. That means that the former financial adviser claims up to a 15 percent interest in Ute Energy holdings and future profits.
Although he couldn't put an exact dollar amount on Jurrius' claim, Frederick said Ute Energy is worth about $1 billion today and continues to grow.
The legal action asks the court to "disgorge" Jurrius from tribal businesses and from any profits derived from them. It also asks that Jurrius pay unspecified restitution and unspecified punitive damages to be demonstrated at trial.
No court date has yet been scheduled.
csmart@sltrib.com


