Montreal to file 40 lawsuits in effort to reclaim collusion cash - Action News
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Montreal

Montreal to file 40 lawsuits in effort to reclaim collusion cash

The City of Montreal will soon be filing about 40 lawsuits against construction companies and politicians in an effort to recover money lost through collusion schemes over the last 20 years.

City will file civil lawsuits against individuals, companies that didn't participate in voluntary repayment

It's not yet clear exactly which companies the City of Montreal will be pursuing. (Luc Lavigne/Radio-Canada)

The City of Montreal will soon be filing about 40 lawsuits against construction companies and politicians in an effort to recuperate money lost through collusion schemes over the last 20 years.

The civil suits will target someformer elected officials,but the majority of lawsuits are against companiesthat did not collaborate with the voluntary repayment programset up by the Quebec government in November 2015.

The voluntary payment planwas established to allow businesses that have defrauded taxpayers on public contracts to pay back a portion of the money.

At the time, the citymailedletters to 380 select companies that ithad dealings with dating back to 1996, asking to be reimbursed 20 per cent of the total value of all contracts in orderto avoidfuture lawsuits or otherpenalties.

Under a law passed unanimously in the National Assembly in March 2015,companies that don't come forward with the money could be subject to lawsuits. They could also be refused the right to bid on contracts with Montreal.

A total of eight companies, including SNC-Lavalin,Dessau and Construction Frank Cataniaand AssociatesInc., stated publicly their intention to take part in the program.

It's not yet clear exactly which companies or which former elected officials the city of Montreal will be suing.

QuebecJustice MinisterStphanie Valle will submit a public report in June detailing the implementation of the voluntary program. The report will disclosethe names of companies that participated and the total amount of moneyrecovered.

Radio-Canada learned that through the same program, the City of Laval was able to reclaim around $20 million.

With files from CBC's Lauren McCallum, Radio-Canada's Benot Chapdelaine and Jrme Labb