Judge won’t end secrecy around U.S. Steel deal

U.S.Steel Canada files for bankruptcy protection

 

A judge has decided he doesn’t have the power to force the release of details of an agreement that led the federal government to drop its lawsuit against U.S. Steel in 2011.

Ottawa approved the takeover of Stelco by U.S. Steel in 2007 in return for promises the company made to maintain production and employment levels at its plants in Hamilton & Nanticoke.

But in less than a year, the company had broken every one of those promises, citing the collapse of world demand for steel.

The government sued U.S. Steel in 2009, but dropped the case in return for more promises. The city of Hamilton, the Steelworkers union and retirees wanted to see details of that deal in order to protect their interests in the company’s current restructuring.

But the judge in the company’s creditor protection case says only the Industry Minister has the authority to release details of the controversial deal — something that James Moore has steadfastly refused to do.

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