Liberal Leader Michael Ignatieff today called on Conservative Industry Minister Tony Clement to follow the Investment Canada Act and conduct a review of the $1.1 billion US sale of Nortel’s wireless assets to foreign ownership.
“Any country around the world would immediately do a review,” said Mr. Ignatieff. “At stake is crucial, next generation technology with the potential to generate billions of dollars and thousands of jobs for the Canadian economy.
“This technology was developed with the support of Canadian taxpayers. If Stephen Harper and Minister Clement do not review this sale, they are wilfully turning their backs on their own law and the future of Canada’s technology sector.”
Under the Investment Canada Act, any investment equal to or above $312 million is reviewable. According to the act, “‘assets’ include tangible and intangible property of any value.”
“The law is clear; a review must be conducted,” said Liberal Industry Critic Marc Garneau. “The investment being made for Nortel’s assets is $1.1 billion US – far above the amount that triggers an automatic Investment Canada review. Minister Clement must follow the law.
“Minister Clement can’t play games with the numbers,” concluded Mr. Garneau. “If Ericsson is willing to pay $1.1 billion US for Nortel’s wireless assets, that’s what they’re worth. Before the deal can go through, it must be subject to a mandatory review.”
