Province’s agreement with Northern Pulp puts taxpayers at risk, says legal expert | CBC News
The Nova Scotia government signed an indemnity agreement with the mill’s former owner, Scott Maritimes Limited, back in 1995, which outlines what could happen if the mill closes or plans for a new facility are rejected.
The agreement protects Northern Pulp against loss or damages, and suggests the province would be entirely on the hook for the cost of cleaning up Boat Harbour and building the new treatment facility.
It also covers any legal claims made against Northern Pulp by a third party for compensation for pollution.
Swan has reviewed the 1995 agreement, and concluded that parts of it can be described as constituting a conflict of interest.