Leamington greenhouse future unclear as Lakeside Produce files for bankruptcy
Lakeside Produce Inc., which operates a largescale commercial greenhouse in Leamington employing hundreds of people, has filed for bankruptcy.
Documents made public through Ernst and Young, serving as insolvency trustee, show the company owing a total $187,889,241.97 in liabilities to 300 different creditors — with only $3,580,233 in assets.
Among the company’s debts, more than $100,000 owed to Cervini Farms, the parent company of the property where the Leamington greenhouse is based — and numerous uninsured claims levied by creditors located locally, across North America and even overseas.
CTV News reached out to Lakeside Produce but did not hear back Friday and Ernst and Young was not able to comment on what this might mean for the company’s future and that of its employees.
Richard Lee, executive director of Ontario Greenhouse Vegetable Growers (OGVG), wasn’t able to speak to the specific situation either but says inflation has hit producers as much as the average person.
“I do predict that the sector will continue to face challenges tied specifically to the inflationary pressures that are being felt globally,” says Lee.
“We were focusing on a post-pandemic recovery and the unique thing about this financial climate is that all prices increased across the board at the same time.”
Lee says he hopes farmers and producers will throw their support behind a private members bill brought to Parliament Hill last summer.
Bill C-280, sponsored by York—Simcoe MP Scot Davidson, would establish a deemed trust mechanism for fresh produce growers and sellers in Canada, ensuring payment in the case of a buyer bankruptcy.
Lee says current Canadian laws don’t provide protection to such businesses in the case of insolvency or bankruptcy.
“So most of those producers and sellers are left holding the bag,” he says.
That Bill had its first reading last June but hasn’t yet reached it’s second.
The first meeting of Lakeside Produce’s creditors will take place Thursday, Feb. 2 via conference call.
CTVNews.ca Top Stories
More than 115 cases of eye damage reported in Ontario after solar eclipse
More than 115 people who viewed the solar eclipse in Ontario earlier this month experienced eye damage after the event, according to eye doctors in the province.
Last letters of pioneering climber who died on Everest reveal dark side of mountaineering
George Mallory is renowned for being one of the first British mountaineers to attempt to scale the dizzying heights of Mount Everest during the 1920s. Nearly a century later, newly digitized letters shed light on Mallory’s hopes and fears about ascending Everest.
Toxic testing standoff: Family leaves house over air quality
A Sherwood Park family says their new house is uninhabitable. The McNaughton's say they were forced to leave the house after living there for only a week because contaminants inside made it difficult to breathe.
Decoy bear used to catch man who illegally killed a grizzly, B.C. conservation officers say
A man has been handed a lengthy hunting ban and fined thousands of dollars for illegally killing a grizzly bear, B.C. conservation officers say.
B.C. seeks ban on public drug use, dialing back decriminalization
The B.C. NDP has asked the federal government to recriminalize public drug use, marking a major shift in the province's approach to addressing the deadly overdose crisis.
Loud boom in Hamilton caused by propane tank, police say
A loud boom heard by residents across Hamilton was caused by a ‘busted or shredded’ propane cylinder, police say.
Sophie Gregoire Trudeau on navigating post-political life, co-parenting and freedom
Sophie Gregoire Trudeau says there is 'still so much love' between her and Prime Minister Justin Trudeau, as they navigate their post-separation relationship co-parenting their three children.
An emergency slide falls off a Delta Air Lines plane, forcing pilots to return to JFK in New York
An emergency slide fell off a Delta Air Lines jetliner shortly after takeoff Friday from New York, and pilots who felt a vibration in the plane circled back to land safely at JFK Airport.
OPP responds to apparent video of officer supporting anti-Trudeau government protestors
The Ontario Provincial Police (OPP) says it's investigating an interaction between a uniformed officer and anti-Trudeau government protestors after a video circulated on social media.