Winnipeg Free Press

Winnipeg Free Press (Newspaper) - June 19, 1981, Winnipeg, Manitoba Winnipeg free press Friday june firm proposes plan to avoid bankruptcy by Cecil Rosner a Northern construction company which uses mainly native Indian labor will be placed in bankruptcy unless its creditors agree to give it More time to repay Loans. The firm me Kesi co. Ltd., has filed a proposal under the bankruptcy act which asks its creditors to hold off on collecting debts until at least aug. 31. Baby s parents file suit Over blast the parents of a six month old baby who died in a 1979 explosion and fire in a fort Garry Home have filed a Law suit against the Manitoba government greater Winnipeg Gas company and two property companies. In a statement of claim filed yester Day in Manitoba court of Queen s Bench Tim and Linda Ackland claim the explosion which killed their child Tara resulted from the escape and ignition of natural Gas and the result of negligence. Also named in the suit Are Lount Corpora Tion and shelter corporation of Canada Ltd. The 18-Page statement of claim does not specify the total amount of damages sought. The statement claims the natural Gas escaped from a flexible connector attached to the basement Furnace. At an inquest into the baby s death last year provincial judge Ian Ubienski ruled the baby died of Carbon monoxide poisoning. The inquest was told the blast occurred after Gas leaked from a faulty connector. But the judge made no conclusion As to How it was broken or whether anybody was to blame. Ron Hardie of the Clarkson company who is acting As trustee in the Case said the move is designed to help the company regroup and give it breathing space. Creditors will be meeting in the Federal bankruptcy office monday to decide whether they will go along with the proposal. Hardie said me Kesi s action was known As a holding a relatively unusual move for a company in Manitoba. Unless a majority of the creditors who hold three quarters or More of the total outstand ing debts agree to the proposal the company will automatically be placed in bankruptcy. Me Kes is a Winnipeg based firm which has been awarded Winter Road contracts from the provincial government during the last few years. Spokesmen for the company were not available for comment yesterday. Documents filed in the bankruptcy office show that the firm has in debts with assets of one of the largest creditors is the blood vein Bank foundation which is owed among other creditors Are the provincial government Manitoba Hydro the City of Winnipeg and a Host of private companies. Court claims in the proposed application company Secretary treasurer Marcel Flett said some creditors have advanced claims in court for repayment of Money owed to them while others Are Garnish eing funds. He said the the absence of certain records and Docu ments and the Lack of sufficient funds is making it difficult for the company to meet its debt obligations. The company was on the verge of Declar ing bankruptcy in 1979 when then finance minister Don Craik agreed to write off a loan of he made the write off conditional on the company repaying another loan to the communities economic develop ment fund. You thought diesels were either too Nosy expensive. Volvo thought with their highly touted mileage figures diesels have always looked Good on paper. It s on Asphalt that they be mostly been wanting. This makes the new Volvo diesel Sedan and Wagon that much More remarkable. Referring to their exclusive six Cylinder design diesel Motorist Magazine characterized the Volvo diesels As smoother quieter quicker than any four most fives and v-8 Cylinder car Sand of course they offer the exceptional workmanship safety and handling that make All Volvo unique. So if you want a car that performs Well at the fuel pump get any old diesel. But if you want a diesel that performs Well Between fill ups get a Volvo. Volvo a car can believe in ;