'Liberal government’s math on the ONTC was wrong from the start,' Fedeli

Nipissing MPP Vic Fedeli
News Release

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Newly divulged documents prove the Liberal government’s math on the ONTC was wrong from the start, and the fire sale must end today, said Nipissing MPP Vic Fedeli.



The documents are among thousands released to the Standing Committee on Justice – the committee Fedeli has been leading which is currently investigating the Liberal gas plant scandal.



They prove, without a shadow of doubt, that the government’s numbers have been wrong all along, and their fire sale of Ontario Northland should be declared dead, Fedeli demanded.



“One February 2012 Ministry of Finance document shows the Liberals grossly underestimated severance and pension liabilities, and didn’t include benefit and WSIB liabilities in their calculations. I’ve shown using ONTC’s new financial statements that not only will this fire sale not save taxpayers $265 million, it will cost them at least $265 million,” Fedeli said.



“In fact, the Ministry listed $215 million in asset write downs not included in my calculations previously, so the costs could actually be that much higher if the Liberals proceed with the divestment,” Fedeli continued.



“Even more damning is the fact that instead of heeding the Ministry’s recommendation to defer a decision pending “further due diligence,” the Liberals announced the ONTC fire sale a month later. This kind of politics is simply disgusting.”



Also in the documents is a memo outlining Liberal strategy, including potential concessions, heading into April 2012 negotiations with the NDP on last year’s budget which put the ONTC for sale.



“The Liberals and NDP need to answer serious questions here – did the Liberals indeed make the offer to Gilles Bisson outlined in the memo? And if so, why did the NDP sell out the ONTC for another of their other southern Ontario priorities?” Fedeli asked.



“For the second year in a row, Andrea Horwath agrees to support the Liberal budget without getting ONE concession on Ontario Northland, while the Ontario PCs stood up for the North to vote against it,” Fedeli added.



“For her and the NDP to suggest they deserve any credit for slowing the ONTC fire sale is proven by these documents to be absolute nonsense, and couldn’t be further from the truth.”

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