Haché Denies AG Report Tinding That Laurentian Strategized to Go Insolvent

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Laurentian University president Robert Haché is sticking to his guns, saying that the university did what it could to advocate to government for financial support, and only turned to filing for creditor protection as a last resort, Sudbury.com reported. This in the wake of the release of a scathing preliminary report examining Laurentian’s financial crisis, which was released by Ontario Auditor General Bonnie Lysyk on April 13. Lysyk said she believes the data shows Laurentian University did not have to file for creditor protection under the Companies Creditors’ Arrangement Act (CCAA). This action was “strategically planned” and Laurentian “chose to take steps to file for creditor protection in the Ontario Superior Court of Justice on February 1, 2021,” said her report. “In our view, there were many people hired by Laurentian who were more focused on laying the track that guided the train toward the CCAA process, and less on working co-operatively and with full transparency with the Ministry of Colleges and Universities and faculty and staff labour unions,” Lysyk said. Laurentian University continues to undergo court-supervised restructuring after declaring insolvency more than a year ago. The restructuring has included extensive program and employee cuts, and the termination of ties with the federated universities operating on campus. Yet to come is a “plan of arrangement” in which Laurentian makes a plan to pay off its creditors, and finally exit the CCAA. Read more.