The U.S. Government has asked the U.S. Bankruptcy handling the Quebecor World's restructuring to deny the plans of reorganization because of $10 million dollars of unpaid U.S. taxes and $150 million in Clean Air Act penalties.
The Canadian Press reports the U.S. government said in a motion filed Wednesday:
"Because these proposed third-party releases are not essential to the reorganization of the debtors, and because the proposed releases would discharge a wide array of potential liabilities, as to none of which this court has jurisdiction, and as to some of which there exist express statutory bars, the court should not grant the non-debtor releases requested,"
Quebecor World has not publicly responded to the U.S. government filling.
On June 22nd creditors approved the Quebecor World plan of reorganization. A confirmation hearing was scheduled to occur this Tuesday, June 30th for the U.S. and Canadian reorganization plans.
Discussion
By MR. SMITH 2 on Jun 29, 2009
The U.S. Government Has Asked the U.S. Bankruptcy Handling the Quebecor World’s $10 Million Dollars of Unpaid U.S. Taxes and $150 Million in Clean Air Act Penalties.
Does it make any sense that we are all trying to lower our prices to get work when public companies like this are stealing from the government. I Pay My Taxes Every Year. I"m starting to get the feeling that I should stop paying taxes and that would increase my profit margin. Maybe the government will bail me out one day as well. one word describes this "pathetic" the government needs to set a precident here!!!! let em go out, throw the execs in jail. teach everyone a lesson!!! maybe it won't happen again. These giant companies only work for one group of people "the board!!!"
By Pat on Jun 29, 2009
I find it unsettling that the US Government would attempt to block a private enterprise that wants to find a way to survive. Without bailout money, or giving the government controlling interest in exchange for loans.
By Greg Imhoff on Jun 29, 2009
I echo Pat's statement and ponder:
1) how many jobs here in the US does Q-W provide?
and
2) By surviving then would not the US employment taxes and attending econometric ripple effects, quickly pass up the "tax amount" due?
Considering the Canadian Government approval one business day ahead of reported US objection, wonder if available today what Thomas Jefferson might say.
By M. Volt on Jun 30, 2009
PAYING TAXES and OPERATING RESPONSIBLY by keeping the AIR CLEAN -are the PROPER COSTS of BEING IN BUSINESS.
Imagine what the REAL AMOUNT of OTHER TAXES and LACK OF CLEAN ENVIRONMENTAL PRACTICES will be?
This is the kind of company that can purchase "FSC designation" and yet couldn't care less.
By Jeff Brinkman on Jul 02, 2009
I am interested in how Q-World racked up $150 million in EPA violations. Where did this take place and which of us are paying the health risk price?
By Dennis Beck on Jul 13, 2009
Remember what we are asking for when we let Q off the hook. We are allowing them to break the law and walk away because they have chosen to file bkcy. By doing this each of us will now be required to pay for their errors. We suffer and they gain. Q spent too much in good times and did not not put enough away for bad times. If they go out of business -and they should-their print business will move over to another mfg. More jobs will be created in another location. If they want to stay in business then pay what you owe,scale down and get a mgt team that can move the company forward.
By Michael J on Jul 13, 2009
Dennis,
That's the purpose of bankruptcy. How many globals used bankruptcy to walk away from pension liabilities? Starting from the airlines.
Meanwhile, bankruptcy as a business strategy has been used in the rag trade for ever.
It's not pretty, but there it is.
By Patrick Berger on Jul 14, 2009
With 150 million in fines who want to touch such a company. They surely are extensive environmental cleanup requirements associated with these fines. Probably some superfund clean sites also. The properties cannot be sold until cleaned up or the new owner takes on the responsibilities. Any company who sold them anything could be brought into the circle and assessed a cost by the EPA for any clean up required. I wouldn't touch such a company it could financially haunt you for decades bankrupt or not.
Discussion
Join the discussion Sign In or Become a Member, doing so is simple and free