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Home»World»North America»Canada
Canada

Controversy Surrounds Ontario’s Alleged Billion-Dollar Alcohol Scandal Involving Fabricated Figures

June 8, 2024No Comments2 Mins Read
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The Ford government in Ontario announced that the plan to sell beer in grocery stores and corner stores would be dramatically sped up, with a phased expansion beginning on August 1st. This would result in 8,500 new places where people in Ontario could buy alcohol. However, there was disagreement over the cost of this policy. The government stated that a maximum of $225 million had been set aside, while the Ontario Liberals claimed the true cost was over $1 billion. The Liberals argued that the cost would come from money for The Beer Store, LCBO rebate fees, wholesaler discounts, and lost license fees.

The Ontario Liberal Party suggested that the cost of the new alcohol sales policy would be more than $1 billion, including various fees and revenue losses. They estimated that $375 million currently paid by The Beer Store to the LCBO would be lost, and that allowing grocery stores to buy products from the LCBO at a discount would cost an additional $150 million. Furthermore, the Liberals believed that Ontario could have raised $300 million through auctioning alcohol sale licenses. This led them to accuse Doug Ford of favoring wealthy corporations over the people of Ontario.

Minister Bethlenfalvy dismissed the Liberal figures as “made-up numbers” and insisted that the government had no plans to increase fees or taxes to cover the costs. He specifically rejected the idea that $300 million in revenue had been lost by not charging for licenses. Despite the controversy over the cost, Premier Ford emphasized that the $225 million set aside for The Beer Store was not simply money for the company, but to support frontline workers and avoid mass layoffs. Bethlenfalvy reiterated that the government would provide updates on the financial costs of the new policy as it unfolds.

The announcement of the accelerated alcohol sales timeline in May sparked rumors of an early election, which the government has not definitively addressed. Premier Ford defended the policy as a move towards treating adults like adults. He emphasized the support for front-line workers and promised audits to ensure that the funding is distributed appropriately. Bethlenfalvy declined to speculate on the ultimate cost of the policy, stating that the government would provide updates as the market opens. Overall, the debate over the cost of the early alcohol sales expansion continued to be a point of contention between the Ford government and the Ontario Liberals.

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