January 14, 2016 - 13:55 — Timothy Gillespie
In 2014, premier Stephen McNeil made a big fuss about demanding that Cooke Aquaculture repay monies it received from the government if it does not comply with the terms of the $25 million loan and grant package from the Nova Scotia government in 2012. In 2013, the Auditor genral used the Cooke deal as an example of poor oversight of government loan funds.
Premier McNeil... where is the money?
In 2014, premier Stephen McNeil made a big fuss about demanding that Cooke Aquaculture repay monies it received from the government if it does not comply with the terms of the $25 million loan and grant package from the Nova Scotia government in 2012. In 2013, the Auditor genral used the Cooke deal as an example of poor oversight of government loan funds.
More than a year after the premier's threat, nothing appears to appears to have been done - by McNeil, or anyone on his staff or in the government. Looks from here like it could have been one big media stunt. In fact, the government says it is not in a position to answer specific questions around compliance of the terms and conditions of the agreement.
To date, Cooke has received $18 million of the funds and was, according to the agreement, to have constructed a salmon processing plant in Shelburne and a hatchery in Digby. These projects were to provide 300-400 full-time, well-paying jobs to the local communities. In the meantime, Cooke has invested millions of dollars in fish farms and wild fishery projects in Spain, Chile, Newfoundland and elsewhere.
The response to this reporter's request to the premier's office for an update on what now appears to be the Cooke Aquaculture debacle, was to pass me along to the public relations agent for Nova Scotia Business Inc. Apparently, since November 2015, they have been handling - or mis-handling - the Cooke file.
My questions to NSBI (and thier responses) included:
Question #1: Has the premier made any efforts to reclaim any funds?
Answer: At this point the company has not submitted a claim for loan forgiveness. NSBI, as the administer of the Jobs Fund, is working to ensure compliance of the terms and conditions of the agreement with Cooke Aquaculture.
Question #2: What portions of the $25 million package were subject to forgiveness and what are the terms and conditions of such forgiveness?
Question #3: What specifically has been done to ensure compliance?
Question #5: Are there any terms which have not been complied with to date? If so, which?
Question #6: Are there any terms which HAVE been complied with to date. If so, which?
Question #7: Are any of the loan/grant amounts of $18 million accessed in 2012 attached to Cooke meeting specific terms and conditions? If so, which terms connected to which amounts?
Question #8: What, if any, terms and/or conditions must be met for Cooke to access any or all of the remaining $7 million
Answer to questions 2-8: NSBI is reviewing the terms and conditions of the Cooke Aquaculture agreement. We are working through the details but at this point NSBI is not in a position to answer specific questions around compliance of the terms and conditions of the agreement. It is too early in the process.
Is this any way to run a government? I think not.
Timothy Gillespie
editor/publisher
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