Auditor General to probe ONTC sale
Wednesday, March 06, 2013 by: Kate Adams
Nipissing MPP Vic Fedeli News Release
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Nipissing MPP Vic Fedeli is pleased the Auditor General will formally investigate the Liberal fire sale of the Ontario Northland Transportation Commission.
The Standing Committee on Public Accounts this morning voted to approve a motion directing the Auditor to probe Liberal financial claims regarding the ONTC.
“This is a game changer,” said Fedeli. “We will now have an independent opinion as to whether the government is being honest when it claims it will see large savings through the sale of the ONTC.”
“I maintain that will all the issues surrounding pensions owed to former employees, severance packages that will be owed, ongoing subsidies for the Polar Bear Express and smaller bus routes and environmental liabilities will mean there are NO savings to be had through this fire sale,” said Fedeli.
It’s possible that severance packages that could result from the ONTC divestiture could total $450 million alone, Fedeli continued.
“The Auditor now has the ability to look at the liabilities the government will face if they continue with their fire sale, and tell us just how much those will really cost.”
Fedeli reiterated the Ontario PC position that the ONTC is a cornerstone of job creation and economic development in the North, and the rail freight division must remain in public hands.
“The New Deal is a proposal that would accomplish this. I believe that the best way to ship ore is by rail,” said Fedeli.
“The ONTC should play a vital role in helping develop the Ring of Fire.”
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