Wednesday, September 28, 2011

"please give them a chance"

Here comes Olive again grandstanding on "business" something she doesn't know the first thing about... she just wants to "call someone out" at the first sign of a perceived trouble, without the facts... if she could read a balance sheet and the public record it wouldn't take her long to figure out that Homburg REIT, now Canmarc Canada REIT, and owners of Dyne Holdings, the Government’s guarantor, are a sound financial public company with lots of equity and strong market support... she probably could have had this confirmed by any of the local Tory branded accountants but it's my understanding that she's alienated most of them through her persistent questioning of the PNP files, whom a lot of them acted for as agents...

She should have called the Auditor in when her Government built the meat plant in Borden, or when her Government built the Atlantic Tech Centre in Charlottetown, or when her Government purchased Dundarave, or when her Government gave out the crab loans, OH SORRY OLIVE... they were Tory initiatives which you seem to forget about!!!!    and the list goes on and on for "all" Governments trying to be business people...

Bottom line here is the hotel is built and open...  Olive... “please give them a chance before you try and drive their reputation into the ground”... the receiver has a public responsibility and their report will be a public record, which may or may not see some liability put back on the Province, but I doubt it...

The CP Hotel (now the Delta) got in major trouble back in the days, and guess what... it's still there operating, employing people, paying taxes and doing all the great things that private businesses do and maybe Olive will appreciate this when she looking for something to do on October 4, 2011... 

Auditor general should investigate provincial Homburg deals: Crane

Published on September 28, 2011
Teresa Wright
the Guardian

PC Leader Olive Crane says she wants the auditor general to investigate the government’s dealings with the Homburg group and its corporation entities.

She issued a statement Wednesday saying if elected, she will call on auditor general Colin Younker to review all involvement of the provincial government with the numerous Homburg companies in order to get answers on exactly what liability may exist for Island companies and taxpayers.

On Sept. 9, Homburg Invest and several affiliate companies applied for creditor protection in order to avoid bankruptcy.

Homburg Invest's Class A and Class B shares were also delisted by the Toronto Stock Exchange last week.

According to a list of the company’s creditors, Homburg Invest owes the P.E.I. government $13.2 million, and millions more to 29 other companies with addresses on P.E.I., as well as the provincial tax commissioner and the Tourism Industry Association of P.E.I.

Innovation and Advanced Learning Minister Allan Campbell has said the province is protected if a division of Homburg Invest Inc. defaults on its government loans.

But Crane doesn't believe the millions Homburg borrowed from Island taxpayers is as safe as Campbell says.

“We’re getting conflicting information from Allan Campbell about what the risk is to taxpayers,” Crane said in an interview.

“This company has been delisted by the Toronto Stock Exchange and yesterday we found out that one of his companies is now dropping the name ‘Homburg’ all together so there’s a number of red flags that should be brought to the attention of the auditor general.”

On Tuesday, Homburg Real Estate Investment Trust changed its name to Canmarc Canada Real Estate Investment Trust after receiving approval from its board of trustees.

Canmarc owns Dyne Holdings, which has three loan offers from the province worth $30 million.

The Homburg REIT was spun off from Homburg Invest.

Crane said the whole file needs an immediate forensic audit, not only because of the taxpayers' dollars tied up in the Homburg group, but also due to other P.E.I. companies that are also owed money.

"There are a number of Island businesses that are owed a considerable amount of money," Crane said.

"All in all, the file needs an audit."

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