The fire hall scandal that rocked Winnipeg city hall could cost taxpayers even more.
Last year, an audit concluded developer Shindico was given preferential treatment in the bidding process to build new fire stations. The project went millions over budget and involved a controversial land swap between the City of Winnipeg and the developer.
Now, CTV News has obtained a summary of a legal opinion ordered by councillors that says the City of Winnipeg could face the threat of a lawsuit based on the audit's findings.
"The City is at risk of legal and financial liability in regard to the New Fire Paramedic Stations Construction Project,” states the document.
It recommends the city change its procurement policies and procedures as it remains significantly exposed to liabilities on an ongoing basis.
The summary also concludes that, despite all of the issues in how the fire halls were tendered, there is no evidence of any illegal activity.
