Wednesday, September 15, 2010

Millennium/Suro Ordered To Repay City

City Wins Judgment Against 
Suro Development Co.

It is reported in the local daily that in an uncontested lawsuit the city of Nanaimo has won a default judgement against Suro Development Co.in which the company is ordered to pay the city $3,045,058 in fees paid to them by the city and a further $4,004 in interest and $1,285 in filing fees.

If the company's lawyers could demonstrate a good reason they did not file a statement of defense, this judgement could still be appealed by Suro.

The judgement could be a moot point if the company has no assets with which to pay the city the money the court has ordered. It would appear that possibly inadequate due diligence was undertaken by city council, staff and legal counsel of the day.

Comment: Why would a company you were in partnership with and you trusted to build a hotel downtown be in need of $3,000,000 in the first place?  As an old friend of mine used to say: "did they see us coming, or did we send a letter ahead?".
I would hope that those at city hall and the legal counsel that put this deal together are no longer being employed by the Nanaimo taxpayer.

allvoices

No comments:

Post a Comment

Your comment will appear after moderation before publishing,

Thank you for your comments.Any comment that could be considered slanderous or includes unacceptable language will be removed.

Thank you for participating and making your opinions known.