A member of Ontario's parliament is speaking out over the receivership of a local company.
MPP Taras Natyshak of Essex says that the news concerning the receivership of Thomas Canning is concerning. Although his office was made aware of the receivership on Friday, Natyshak understands that there have been worries about the company's financial stability for a while.
"There have been questions surrounding Thomas Canning and its operations for quite some time," says Natyshak. "Lots of folks have indicated some hesitation and that there were some red flags around what was happening there and the ability for them to fulfill their contracts."
The Maidstone-based tomato processing company is facing lawsuits from at least nine growers over their contracts, with these growers claiming that they are out tens and even hundreds of thousands of dollars as a result. With agriculture such an important part of the Windsor-Essex economy, Natyshak says local farmers should not have to deal with situations like this.
"It's something that is really frustrating at a time when we certainly know that our region is poised for further economic growth," says Natyshak. "This shouldn't be happening."
Among the controversy surrounding Thomas Canning has been the company's receipt of a $3-million grant from the Ontario Ministry of Agriculture, Food and Rural Affairs meant for the construction of a new canning facility, which was never built. Natyshak says he's upset at what he believes is a waste of government money.
"$3-million is a heck of a lot of money," says Natyshak. "The public are rightfully frustrated when they see good dollars going toward bad ventures. We deserve better accountability."
The Liberal government says despite no new facility being built, they were satisfied with the way the company used the money, for job retention and growth of the company's Utopia brand.
Natyshak says he will be looking into any short-term developments, including the possible sale of the plant to another Ontario-based company.