Friday the Supreme Court of Alaska found in favor of Cook Inlet Region, Incorporated  and Nabors Alaska Services Corporation in a fraud case that’s expected to bring the two entities an award of more than $20 million.

The court ruled against John Ellsworth and Pacific Diversified Investments. Ellsworth had owned a construction and oil field support company, Alaska Interstate  Construction. In 1995, he sold AIC to CIRI and Nabors, but continued to run AIC  through his investment company.   Later, CIRI  signed an agreement with  Ellsworth for the use of two aircraft.

In its ruling, the Supreme Court  found Ellsworth and PDI  of systematic and continuous fraud and breach of contract, saying Ellsworth charged more than market value for some services, while charging for services his company didn’t provide.

Download Audio

Joaqlin Estus is a reporter at KNBA in Anchorage.

Previous articleSlavery By Another Name
Next articlePhoto Gallery: APU Ice Climbing Excursion