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Former deputy premier pays outstanding loan

Peter Jenkins paid his loan.The MLA Klondike and former deputy premier agreed in February to pay almost 90 cents on the dollar for about $311,000…

Peter Jenkins paid his loan.

The MLA Klondike and former deputy premier agreed in February to pay almost 90 cents on the dollar for about $311,000 he owed the Yukon government for more than a decade.

On Tuesday, Jenkins made good on his commitment.

“He kept his word,” said Wayne McLennan, spokesman for Dana Naye Ventures, a Whitehorse-based firm that assumed the government’s $2.1 million delinquent loan file last year.

“(Jenkins) agreed in February that he would pay $281,000 towards the debt and $5,000 towards legal costs,” McLennan said Wednesday.

“The payment is in my lawyer’s hands right now.”

So Jenkins will keep the Eldorado Hotel in Dawson City, which he mortgaged with $125,000 he borrowed from the government in 1990.

“If he did not meet the terms of the agreement, which called for him to make the payment within 30 days, it would have allowed us to proceed with foreclosure against the hotel,” said McLennan.

“I don’t think that he would have signed the paperwork, had he not had every intention of making the payment.”

Jenkins could not be reached for comment before deadline.

He was expelled from the Yukon Party caucus in November, once the government filed court proceedings against him.

Dana Naye will now focus on five other major outstanding loans, ranging from $200,000 to $600,000.

“Once I’m finished with those then we’ll move on to the little guys,” said McLennan.