STATEMENT
DECISION NOT TO APPEAL BANKRUPTCY RULING
Fisheries and Oceans Canada (DFO) has decided not to appeal the Newfoundland Supreme Court’s decision with regard to the value of DFO's
proof of claim. This means that the court is likely to approve Nautical Data International’s (NDI) bankruptcy proposal, and NDI will continue operating.
We stand by our actions on January 4 to terminate our agreement with NDI. We sought to terminate the Canada/NDI agreement because
of NDI’s less-than-satisfactory performance under the contract, concerns about NDI's solvency, and multiple complaints concerning the
license and NDI’s performance. The complaints came from recreational boaters, dealers, value-added resellers (NDI's sub licensees),
the industry, other government agencies, and creditors.
Minister Regan has been very clear about his commitment to keep the work in Newfoundland.
NDI is incorporated in Newfoundland and began its contractual relationship with DFO in 1993. However, in 2000, there was a change in
ownership and control, and it is now controlled and managed from Toronto. There have been a very large number of complaints about
NDI since the change in control of the company in 2000 when the new Toronto management took over.
The decision to terminate was taken after careful consideration, but we believe it is a decision that was in the best interest of digital
chart users, the people of Canada, including those in Newfoundland and Labrador, and in the public interest generally.
The court has issued an order restraining us from terminating the agreement and we will respect that order, pending the outcome of our appeal of that order.
In the meantime, DFO will be vigilant in ensuring that NDI meets its obligations under both the bankruptcy proposal, and the licence agreement.
DFO is committed to doing everything within its power to ensure that we provide the best possible nautical charts and service to
recreational boaters and the commercial shipping industry.
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