Court Rules Leisnoi Shareholder Meeting, Election, Valid

Jay Barrett/KMXT

An Anchorage Superior Court judge has ruled in the case of the Leisnoi board of directors recall election held this summer. Last June a special shareholder meeting threw out the old leadership, and elected an entirely new board. That election’s validity was challenged by the ousted board, but Judge Frank Pfiffner ruled Friday that the shareholder meeting and election were held legally. Leisnoi is a Native Village Corporation formed under the Alaska Native Claims Settlement Act.

In a statement Friday, new Leisnoi board President Debra Lukin said Pfiffner confirmed the shareholders’ right to hold a special meeting to recall the board. The court validated the election results, in which 58 percent of the shareholders represented at the meeting voted to oust the sitting board of directors, including then-president Carole Pagano, her father Frank Pagano, and Tanya Pavloff.

In addition to Lukin, the new board of directors is comprised of Jana Turvey, Shannon Johnson, Jeff Chester and Jay Baldwin.

In her statement, Lukin said the Leisnoi board will take over direct control of the corporation’s two subsidiaries, Long Island Leasing and Kalsin Bay Contracting, both of which have been managed by Carole Pagano’s husband Leonard Zaiser.

Leisnoi has upset some Kodiak residents in recent years for enforcing its property rights on the island’s road system and restricting access to popular recreation areas. It currently is leasing its property in Chiniak for large-scale logging.

Lukin said the new board "looks forward to building positive relations within the Alaska Native Community and within the Kodiak community."

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