Government says Canopy Growth’s decision to close several production facilities across the country, including the one in St. John’s, is a failure on the company’s end, not the province’s.
Canopy announced yesterday it would not be proceeding with production at a number of its facilities in several provinces, resulting in hundreds of job losses.
About 15 jobs will be lost in this province since production had not yet begun at its new East White Hills facility.
Industry Minister Andrew Parsons dismisses suggestions that the effort to secure business for Canopy Growth was linked to political cronyism, noting the initiative hasn’t cost the province any money. He says the $1.9-million in remittances for Canopy will be returned to the province by the end of the week.
He says it’s a failure of the company as opposed to any kind of failure on the provinces’ end, which he says Canopy will readily acknowledge.
Meanwhile, Opposition Leader Ches Crosbie sees it differently.
He says that’s fine to get back $1.9-million but in the meantime, $40-million is going to Liberal insiders: $10-M freebie loan, $10-M worth of free shares, and $25-M being paid over five years. He says that $25-M still has to be paid to the numbered company.
