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
BREAKING New York appeals court overturns Harvey Weinstein's 2020 rape conviction from landmark #MeToo trial
New York’s highest court on Thursday overturned Harvey Weinstein’s 2020 rape conviction, finding the judge at the landmark #MeToo trial prejudiced the ex-movie mogul with improper rulings, including a decision to let women testify about allegations that weren’t part of the case.
BREAKING Monthly earnings rise, payroll employment falls: jobs report
The number of vacant jobs in Canada increased in February, while monthly payroll employment decreased in food services, manufacturing, and retail trade, among other sectors.
Doctors say capital gains tax changes will jeopardize their retirement. Is that true?
The Canadian Medical Association asserts the Liberals' proposed changes to capital gains taxation will put doctors' retirement savings in jeopardy, but some financial experts insist incorporated professionals are not as doomed as they say they are.
Remains from a mother-daughter cold case were found nearly 24 years later, after a deathbed confession from the suspect
A West Virginia father is getting some sense of closure after authorities found the remains of his young daughter and her mother following a deathbed confession from the man believed to have fatally shot them nearly two decades ago.
Something in the water? Canadian family latest to spot elusive 'Loch Ness Monster'
For centuries, people have wondered what, if anything, might be lurking beneath the surface of Loch Ness in Scotland. When Canadian couple Parry Malm and Shannon Wiseman visited the Scottish highlands earlier this month with their two children, they didn’t expect to become part of the mystery.
Metro Vancouver mayors call for serial killer Robert Pickton to be denied parole
A dozen mayors from around Metro Vancouver say federal Attorney General and Justice Minister Arif Virani should deny parole for notorious B.C. serial killer Robert Pickton, and reassess the parole and sentencing system for 'prolific offenders and mass murderers.'
What do weight loss drugs mean for a diet industry built on eating less and exercising more?
Recent injected drugs like Wegovy and its predecessor, the diabetes medication Ozempic, are reshaping the health and fitness industries.
2 military horses that broke free and ran loose across London are in serious condition
Two military horses that bolted and ran miles through the streets of London after being spooked by construction noise and tossing their riders were in a serious condition and required operations, a British government official said Thursday.
'It was instant karma': Viral video captures failed theft attempt in Nanaimo, B.C.
Mounties in Nanaimo, B.C., say two late-night revellers are lucky their allegedly drunken antics weren't reported to police after security cameras captured the men trying to steal a heavy sign from a downtown business.