Ottawa, ON – Greg McLean, Conservative Member of Parliament for Calgary Centre, issued the following statement calling on the government to provide clarity on funds to scandal-plagued Lion Electric:
“For years, this government has funnelled taxpayer dollars to well-connected companies, ignoring warning signs and then acting surprised when projects collapse.
“Unfortunately, this Liberal government has a problem evaluating risk. This week, the RCMP raided the headquarters of Lion Electric as part of an investment fraud investigation.
“The scandal-plagued company received nearly $50 million in investment from the Liberal government’s Strategic Innovation Fund, and a further $470 million from the Canada Infrastructure Bank in funds for buyers to purchase their buses. Concurrent with government grants and loans, company insiders sold shares at market highs, with the president pocketing at least $33 million due to the non-existence of a standard share lock-up agreement.
“Liberals have called it a ‘calculated risk’ and claimed, ‘rigorous due diligence was conducted.’ But Canadians are tired of being left holding the bag for this government’s poor decisions.
“This week’s RCMP investigation does not raise new questions. It raises old questions that the Liberals have failed to answer.
“Canadians have a right to know how much of their hard-earned money has been lost to this failed company, including through Export Development Canada: figures the government refuses to release.
“Our people should know whether taxpayer funds were adequately protected, what risks government lenders foresaw, what safeguards were put in place, and whether there is a plan to recover any of it.
“Key decision makers like Canada Infrastructure Bank CEO Ehren Cory and Minister François-Philippe Champagne – who approved the original deal – should be called before a Parliamentary committee to explain how these decisions were made, how they went wrong, and what they are doing to avoid another scandal.
“The Liberal strategy of handing taxpayer money to politically-favoured firms has failed Canadians time and again. Conservatives will always fight for an accountable and transparent government that creates the conditions for business to succeed.”