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Ontario Region media release
 Previous release Media release index Next release June 11, 2008 Thornhill Green Co‑operative Homes and the Co‑operative Housing Federation of Canada (CHF Canada) through their lawyer, Murray Klippenstein, filed their legal response today to York Region’s unprecedented attempt to close down the housing co‑operative. The Region, through its appointed Receiver is going to court to try and force the sale of the co‑op to its own housing company, Housing York Inc., for little more than half its market value. Today’s submission argues that the takeover is unnecessary, unjust and not in the public interest. It also includes a number of explosive findings. One rationale used by the Receiver as justification for the takeover is that there was a significant accumulated deficit. In fact, the increase in the Co‑op’s deficit appears to be an accounting error. Close to $400,000 was invested on capital repairs, but was wrongly accounted for as an operating loss in the 2006-07 statements. The error was corrected in the following year’s statements, and the co‑op actually had a surplus. Nonetheless the Receiver argues in its application that this is evidence of the co‑op’s financial mismanagement. As well, the co‑op response notes that York Region decided to appoint the Receiver before even hearing back from the co‑op about the Region’s concerns. Under law, the co‑op had 60 days to respond to York’s “Notice of Triggering Events” letter. However, on April 27, 2006 York Region Council passed a resolution to appoint the Receiver, just over two weeks before the co‑op’s May 12deadline to respond to the notice. The co‑op argues that this shows that the Region had decided to put the co‑op in receivership regardless of their response. Harvey Cooper, Manager of Government Relations for CHF Canada’s Ontario Region, notes that today’s filing dispels the idea that there is any justification for the drastic action of dissolving the Co‑op, destroying members’ rights and selling the Co‑op’s assets. “As our court documents make clear, Thornhill Green’s overall financial position is sound and we’re on track to eliminate the deficit within a very few years,” says Jim Common, a member of the co‑op’s Board of Directors and former Treasurer. “There were many ways the Region could have worked with us to deal with their concerns. It’s clear to us that their real goal all along was to get their hands on the co‑op’s assets. We’re not going to let that happen.” For more information contact: Harvey Cooper, Manager of Government Relations |
