Report to the Public: the Lawsuit Against the Association of Families of Flight PS752 Victims

Recently, a lawsuit filed by a member of the Association, alleging that the Association failed to adhere to its objectives, was decisively dismissed by a judge of the Ontario Superior Court. Now, with greater peace of mind, we can report to the public and provide a detailed explanation of this legal case that has been imposed on the Association of Families of Flight PS752 Victims for the past two years.

In the absence of independent media and in the absence of media outlets that feel responsible towards Iran’s civil society, it has fallen upon us to strive for public awareness.

Mehrzad Zarei, one of the family members of the victims, who was intermittently a member of the Association during the first three years following the tragedy, and even when he was not a member, he received support from Association members for his individual campaign, requested financial assistance from us through his lawyer two years ago. According to the court ruling: “He asserts that the Association should be providing direct financial support to the members and that it should also fund his efforts to enforce the judgment he received against the Islamic Republic of Iran”

The Association of Families has never provided financial assistance to any family but has rather tried to utilize its financial resources for larger campaigns aimed at holding the Islamic Republic accountable for the crime it committed. We tried to explain this to him and his lawyer and sought to avoid, as much as possible, a legal confrontation between the Association and one of its members. However, almost immediately, a lawsuit was filed against the Association in the province of Ontario, Canada.

This case has gone through many ups and downs over the past two years. In addition to over a hundred thousand dollars in legal costs, it drained the time, energy, and peace of mind of the member families of the Association. Several individuals agreed to testify against the Association alongside him; their names and statements are documented in the lawsuit and are open to scrutiny by impartial media. Concurrent with this lawsuit, the Islamic Republic’s television network launched a smear campaign against the Association, accompanied by a social media campaign with the same theme. Due to our commitment to confidentiality regarding court matters, we were unable to defend ourselves or raise public awareness. Opportunities that could have been used to counter the Islamic Republic were unfortunately spent on lengthy meetings and the preparation of documents for submission to the court.

Finally, on November 27, 2024, the court convened, and less than a week later, on December 3, 2024, the verdict was issued. Last week, the judge also ordered Mehrzad Zarei to pay approximately $60,000 to the Association to cover legal expenses. We have not yet made a decision on how to proceed with the enforcement of this ruling. However, in the continuation of this text, we present excerpts from Judge Papageorgiou’s ruling and leave the judgment to you:

The judge wrote the following about financial assistance to families and the Association’s campaigns:

“The Association has decided that it would fulfill the Purposes, not through the provision of financial support but through the following activities:

• a campaign to pressure the international community to bring those responsible to justice before the International Court of Justice, International Criminal Court, and International Civil Aviation Organization.
• annual memorial events to honour the memories of the victims and seek action from the government to continue to pursue the truth.
• holding rallies to demand action, which rallies have been attended by thousands of people.
• online campaigns and petitions, preparing reports, writing books, producing documentary films and assisting with legal submissions.
• collaborations with Human Rights Watch and the United Nations.
• the publication of a detailed fact-finding report about the tragedy.
• a successful campaign to have the Government of Canada formally declare the IRGC to be a terrorist entity.
• the preparation of a detailed website that includes a dedicated page for each and every victim, working closely with their family members to properly pay tribute to those lost in the tragedy.

[36] In my view the Board’s decisions as to how the Association will achieve its Purposes, and its decision that it will not provide the kind of direct financial support that Mehrzad wants is a reasonable interpretation that falls within the business judgment rule and which is entitled to deference.”

The judge wrote the following about the Association’s partisan or non-partisan activities in Canada:

“Although Mehrzad’s materials baldly allege that the members of the Board have political ambitions “to seek favours from or a political nomination to the Liberal party in the next federal election,” there is no evidence to back this up. There is also insufficient evidence to support the bald statement that the Association has been improperly supporting a particular party in Canada.”

The judge wrote the following about the Association’s partisan or non-partisan activities within the Iranian community and the organization of global rallies:

“He complains that the Association has been involved with “Global Network Rallies, which is a Global Network formed in the wake of the Woman-Life-Freedom movement in Iran that arose after Mahsa Amini’s death after being beaten by the morality police. The goal of the Global Network group was to facilitate the organization of worldwide rallies to protest human rights violations in Iran.

[43] As a prominent and reputable non-profit organization within the Iranian diaspora, the Association undertook the formation and leadership of the Global Network group for two reasons.

First its contribution was seen as a moral obligation given the Association’s capabilities and structure. Second, there were obvious synergies between the core objectives of the Association for seeking truth and justice for the downing of Flight PS752 and the protests against human rights violations by the same regime. While the Association supported the Global Network to hold numerous rallies in countless cities around the globe, the Global Network also supported the core goals of the Association on many occasions such as rallies for Flight PS752 on the anniversaries.”

The judge wrote the following about the request to hand over the Association’s membership list to the plaintiff:

“The Association provided evidence that the Iranian regime has been intimidating and harassing family members of those who died on Flight PS752. Many Iranians fear reprisals from the Iranian government. Accordingly, their anonymity in these circumstances is a reasonable concern for the Board to have. I note that some of the plaintiffs in the proceeding brought by

Mehrzad were anonymous. Belobaba J. issued a sealing order in respect of that proceeding because of such concerns. He found that there were “genuine and credible fear[s] of reprisal” in Canada.”

The judge wrote the following about the allegation that some members of the Association are affiliated with the government:

“With respect to the argument that Mehrzad requires the register because there might be some members who are part of the Iranian regime, there is absolutely no admissible evidence to support this.”

The judge wrote the following about the Association’s hiring of consultants:

“The Association explained that it hired a consultant to assist it with its lobbying of the Canadian government. It felt that it required assistance that went beyond what it could achieve with only volunteers which included the Board. With the consultant’s assistance, it established deep connections with many relevant ministries and international bodies. It says that this consultant charged it only 50 % of the fee. Its achievements is a testament to the value of the consultant.”

The judge wrote the following about the anniversary ceremonies and the Berlin demonstration:

“Mehrzad also raises concerns about expenses incurred on holding a ceremony in respect of the third anniversary of the downing of Flight PS752. While there is a suggestion that this ceremony served more as a political platform than a platform for seeking justice, there are no details to back this up. The Association indicated that it held this ceremony because it was the first opportunity for the families of victims to come together and see each other since COVID. The ceremony successfully brought together many of the country’s most prominent leaders including the Prime Minister, federal cabinet ministers and members of Parliament and renewed attention on the scale of the tragedy of Flight PS752.

[81] Notably, while there is reference to “huge expenses” there is not a single reference to a particular expenditure that was inappropriate or excessive.

[82] Mehrzad also makes reference to the costs associated with a Director attending the Berlin rally but as I noted above, this was within the Board authority. Mehrzad has not demonstrated any concerns with any particular expenditures.”

The judge wrote the following about the financial matters of the Association:

“There is simply insufficient evidence before me to show there is any real concern that the money raised by the Association has been used for improper purposes. Mehrzad’s Failure to Take Reasonable Steps to address his concerns.”

Conclusion:

“Therefore, the Application is dismissed.”