MONCTON, New Brunswick — A Moncton developer and former owner of a rail equipment company owes the province of New Brunswick almost Ca$5 million as a result of a failed effort to refurbish rolling stock for VIA Rail Canada, the CBC reports.
Court of King’s Bench Justice Thomas Christie ruled earlier this month that developer Richard Carpenter has “no discernible defence” against paying a $3 million personal guarantee Carpenter made to the province in 2008 for a $12.5 million loan guarantee to his company Industrial Rail Services Inc.
IRSI held contracts with VIA to refurbish Bombardier LRC passenger cars, retrofit British-built Renaissance railcars to meet accessibility requirements, and rehabilitate a half-dozen Diesel Rail Cars [see “Modernizing a legend: the RDC,” “Passenger,” Trains Magazine, February 2011]. The province made the loan in hopes of establishing Moncton as a center of rail manufacturing and saving local jobs, but IRSI ceased operations in March 2012 having completed just 10 of the 98 LRC rebuilds required under a Ca$109 million contract.
In all, the company received more than Ca$20 million in provincial funding.
Along with the $3 million, Carpenter owes more than $1.98 million in interest, the judge ruled. A lawyer for Carpenter declined comment except to tell the CBC that an appeal is being considered.
The New Brunswick provincial government did this, not the federal government.
Honestly ya’ll. Does Charles Landey EVER say anything good about ANYTHING?
Always complaining. It’s quite tedious.
Really Mike?
Let’s see, what have I posted that’s positive of late?
Here’s a few things:
Praising the building of the 1950’s Route 128 Station on the New Haven Railroad.
Positive thoughts about my 2024 rides on MBTA Providence Line, Denver RTA, Seattle Light rail, METRA CNW West, Amtrak Hiawatha, and the Borealis until it stopped running because the temperature in Wisconsin got down to 34 F.
Praising Wisconsin DOT for building a second platform at MKA General Mitchell Airport, improving operations of the Hiawatha on a line also used by CPKC freights.
Praising CNW when my wife was in college (long ago) running to far-north Wisconsin in all weather.
Praising the New Haven Railroad for reliably getting me to college and home, despite its bankruptcy.
Advocating that Amtrak learn from the airlines about seat comfort, after my flights on SWA Milwaukee to Providence and return. (More comfortable seats than Amtrak, albeit in less space.)
Supporting New York City and State for their right to impose Manhattan congestion tolling, if that’s their choice.
Posting the history of America’s first or second railroad, in Massachusetts.
Advocating the extension of the Heartland Flier to Chicago.
Advocating that the federal government pay all the costs of Amtrak, relieving cities and states of their mandated local share.
That’s in the last few months. Meanwhile, Michael, please remind us about anything you have ever even once posted that’s good or decent about anybody or anything. Quite frankly I can’t recall.
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And two other very positive things I have recently posted: saying good things about two brilliant USDOT secretaries, the late John Anthony Volpe of my birth state, and Sean Duffy of my current state. (Not rail related but I also had mentioned the religion I share with each of them.)
How about the possible lack of due diligence by government officials? They had a pipe dream and willingly opened the Canadian dollar bag of money candy.
Hello Justin?
A bientot mon ami Justin, eh?