David Collenette

[Airline Industry, November 9th, 2001]

Mr. Speaker, in 35 seconds it is going to be difficult to answer that particular question, but with respect to those people who are affected other arrangements will have to be made.

Air Canada, WestJet and Air Transat will make arrangements. We have been on the phone this morning and we know that there will be some extra capacity. Many of the people affected are protected under provincial and federal regulations with respect to tour holidays and packages and they will be covered. It is going to take a little while for this situation to actually work itself out.

[Airline Industry, November 9th, 2001]

Mr. Speaker, it is typical for the Leader of the Opposition. Once he is knocked off his game plan he goes to plan B, which in this case is security.

Let me come back to the earlier issue because he talked about the airline policy. I wish to remind him it was his party, his members, that supported the government on Bill C-26. We have all supported the policy that got us to a competitive state before September 11 and I think the hon. member should not stand in this place and say the contrary.

[Airline Industry, November 9th, 2001]

Mr. Speaker, that decision to shut down was taken last evening by the board of directors and was made official at midnight. Therefore, of course I did not know at 2 o'clock yesterday afternoon.

[Airline Industry, November 9th, 2001]

Mr. Speaker, we are all concerned about the announcement that was made to cease operations of Canada 3000. This is indeed a blow to many Canadians, not only to the travelling public but the employees and I think everyone, including the Leader of the Opposition who should have led off with his questions by exhibiting some degree of sympathy for what the airline industry is going through.

The answer to the specific question is that yesterday when I stood here in the House I gave the answer I did, which was the accurate answer at the time.

[Airline Security, November 8th, 2001]

Mr. Speaker, the hon. member obviously has not been reading his mail because we have issued a number of communications since September 11 detailing the very strict measures that have been put in place, measures put in place under existing legislation.

The hon. member talks about incidents of security lapses and he refers to one that is in one of the newspapers today. This is a very serious allegation. It will be investigated, it is being investigated, and if the facts warrant, disciplinary action will be taken.

[Airline Security, November 8th, 2001]

Mr. Speaker, the hon. member should be aware that under the Aeronautics Act the Minister of Transport and his officials have all the appropriate powers to deal with security measures that occurred not only in the aftermath of the September 11 but obviously for the security issues that were there before September 11.

We plan to bring in further amendments to the Aeronautics Act, but there has been no need for legislative changes to put in place the very tough measures that have been in place since September 11.

[Airline Industry, November 8th, 2001]

Mr. Speaker, on the assumption that the judge grants the application, the matter is now being supervised under a statute and we have to let the process take its course.

[Airline Industry, November 8th, 2001]

Mr. Speaker, the hon. member has to get her terminology right. Canada 3000 sought an application before a judge for protection under the Consumer Creditor Arrangement Act.

As I said previously, the Government of Canada was prepared to consider a loan guarantee, if that company met a number of conditions, including a restructuring plan, investor injection and a business plan that showed viability. Those conditions are still in place.

[Airline Industry, November 7th, 2001]

Mr. Speaker, the hon. member should remember that Bill C-26 strengthened the hand of the competition commissioner and gave him the cease and desist powers which he sought to deal with these kinds of situations. The law is there and the law can be applied.

[Airline Industry, November 7th, 2001]

Mr. Speaker, the board of directors of Canada 3000 has come to the conclusion, due to changing circumstances over the past 10 days, that the business plan originally submitted to the government would not meet the government's condition of liability.

That is why the board is meeting right now. Given that it is meeting, it is unwise for me to make any substantive comment. However I should inform the House that the announced loan guarantee has not been finalized and there is no financial liability to the taxpayer of Canada.