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Review of BPS financial records concluded Industry, Trade and Technology Minister Judy Foote said today an assessment of the financial review of BPS by Price Waterhouse Coopers shows that government's investment was used towards the operations as it was intended. Minister Foote said the review was necessary to get a clearer picture as to how provincial government funding had been applied to the operations of the company. The BPS Imaging Call Centre closed on May 15, 1998 after experiencing financial problems. At that time, Human Resources Development Canada commissioned a review, the scope of which was intended to address all concerns. In the end, however, the review primarily dealt with how federal government funding was spent. Therefore, on July 2, 1998, Minister Foote requested a second review to be done that was broader in scope. "This review was a more in-depth analysis that provided us with the assurance we sought that provincial government funds were used towards the operations of the company. While we remain disappointed that this particular call centre failed, this review does confirm that government funds, as well as private sector investment, were spent on legitimate business operating expenses such as capital equipment, employee salaries, and general operating costs," said Minister Foote. The results of the review disclosed that the company lost in excess of $2 million during the period of operation. The review indicated that the company also invested a significant amount of money in the company. The dollar amount was in excess of $1.4 million over the course of business operations. Minister Foote noted that the department and Price Waterhouse Coopers had the full cooperation and support of the principles in preparing the review. Media contact: John Doody, Director of Communications, (709) 729-0050. 1998 09 04 11:30 a.m.
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