Liberal Party of Newfoundland and Labrador
 
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News Release
Office of the Official Opposition

   

 

Reid calls for release of documentation

related to fibre optic deal

November 8, 2006

 

Opposition Leader Gerry Reid is calling on the provincial government to release all documentation related to the recent fibre optic deal that will see $15 million of public money put forward to subsidize a business venture involving individuals and businesses with close ties to Premier Danny Williams.

Last week, government announced $15 million of taxpayers money for a new fibre optic cable across the Gulf of St. Lawrence. The remainder of the balance will be picked up by Persona Communications, Rogers and MTS Allstream.

AThere are many concerns being raised related to this deal,@ said Mr. Reid. AEach day we are receiving additional e-mails and phone calls from individuals who are anxious to provide information and state that they believe this is not an appropriate use of taxpayer dollars. To find out how accurate these accusations are, I believe a full debate should take place and this requires full disclosure of all documentation related to this deal.

AIt has been reported that this proposal went before cabinet twice before and was rejected because of the close connections between Premier Williams and his former business associates. Minster Trevor Taylor has stated that he doesn=t know why there was no Request for Proposals and this fact alone raises questions. The minister has also stated that detailed analyses were conducted showing a business case for this proposal, and how it would prevent phone and internet outages in the future. If these facts are true, government should have no problem releasing all of the information to the public so everything is on the table for scrutiny.

AThe House of Assembly opens in twelve days and this will certainly be an issue that will be discussed in detail. If the government wants a full, fair and open debate on the merits of this deal, I suggest all documentation be released immediately. It is incumbent that everyone in the province have a chance to review the recommendations and determine whether $15 million of taxpayers money should have been used to subsidize companies with close ties to Premier Danny Williams.@

 

Media Contact:
Darrell Mercer
Director of Communications
Office of the Official Opposition
709-729-6151 or 709-687-0477