Council agrees to settlement for downtown Winnipeg Police headquarters lawsuits
Winnipeg City Council has agreed to settle two lawsuits the city brought forward related to cost overruns with the downtown Winnipeg police station project.
Councillors voted 14 to two in favour of the deal on Thursday.
"I've said this is a victory for the people of Winnipeg. I truly believe that," Winnipeg Mayor Scott Gillingham told council.
The city will get a minimum of $21.5 million from the agreement, which could rise up to $28 million depending on when the money is paid to the city.
A report to council says this would cover both the “deficiencies” and “fraud” claims against all parties, minus a separate action against former city CAO Phil Sheegl and other defendants.
Previous court documents filed by the RCMP alleged the city was the victim of a multimillion-dollar fraud, as costs for the station ballooned. A 2018 briefing note from RCMP to prosecutors said officers were investigating financial crimes of more than $33 million.
Councillors Russ Wyatt and Matt Allard voted against the settlement offer. They tabled an unsuccessful motion to have an independent set of legal eyes brief council on the deal.
"I think in this case, we want Winnipeggers to know that we absolutely got the best advice that we could possibly get," Allard said. "I think that is not an unreasonable request to have a third party vet what is being offered here."
However, Gillingham said this settlement will avoid an additional $6.4 million in legal costs that will be required to proceed with the legal procedures. He said the city has already spent $4.1 million in legal costs.
"We just don't know how long the legal proceedings would take, how many more years, how many more dollars would be involved in this," he said, adding a settlement will avoid years of legal proceedings.
A motion was passed to get an update every two years until the funds are collected.
CTVNews.ca Top Stories
Fluid in eye cells can 'boil' if you watch the eclipse without protection: expert
Millions of people in parts of Eastern and Atlantic Canada will be able to see the rare solar eclipse happening on April 8. But they should only look up if they have proper eye protection, experts say.
He didn't trust police but sought their help anyway. Two days later, he was dead
Jameek Lowery was among more than 330 Black people who died after police stopped them with tactics that aren’t supposed to be deadly, like physical restraint and use of stun guns, The Associated Press found.
CRA no longer requiring 'bare trust' reporting in 2023 tax return
The Canada Revenue Agency announced Thursday it will not require 'bare trust' reporting from Canadians that it introduced for the 2024 tax season, just four days before the April 2 deadline.
Being harassed at work? What to consider when deciding what to do next
If you've been the victim of workplace harassment, it can be difficult to feel you're not alone - and even more difficult to know where to go with a complaint.
Sunshine list: These were the Ontario public sector's highest earners in 2023
Ontario released its annual sunshine list Thursday afternoon, noting that the largest year-over-year increases were in hospitals, municipalities, and post-secondary sectors.
Grandparent scam: London, Ont., senior beats fraudsters not once, but twice
It was a typical Tuesday for Mabel Beharrell, 84, until she got the call that would turn her world upside down. Her teenaged grandson was in trouble and needed her help.
Half of Canadians support TikTok ban, with U.S. concerns 'trickling' north: poll
A new poll indicates 51 per cent of Canadians support banning the social media app TikTok, after a U.S. bill aiming to do just that passed in the House of Representatives.
Where is the worst place for allergy sufferers in Canada?
The spring allergy season has started early in many parts of Canada, with high levels of pollen in some cities already. Experts weigh in on which areas have it worse so far this season.
More unauthorized products for skin, sexual enhancement, recalled: Here are the recalls of this week
Health Canada and the Canadian Food Inspection Agency recalled various items this week, including torches, beef biltong and unauthorized products related to skin care and sexual enhancement.