Canadian parliament summons Nortel

Published: June 16, 2009 at 4:02 PM

OTTAWA, June 16 (UPI) -- A Canadian parliamentary committee in Ottawa wants to hear from the chief of Nortel Networks why executives got bonuses during bankruptcy protection.

Earlier this week, the Finance Committee requested Chief Executive Officer Mike Zafirovski to explain why the millions of dollars in bonuses were paid as employees' and pensioners' benefits were delayed, the Canwest News Service reported.

The Toronto company declined, saying it would be inappropriate while the communications giant is before bankruptcy courts in the province of Ontario and the United States.

However, Tuesday morning, the committee voted that it has "supremacy," and ordered Zafirovski to appear Thursday, the report said.

Nortel has laid off some 5,000 people since November, although no severance or benefit extensions have been granted, the report said.

"The fact that there are legal proceedings involving its insolvency has nothing to do with their inability to testify," said committee member Thomas Mulcair of the socialist New Democratic Party. "It was a transparent attempt to avoid having to avoid explaining why they voted ... millions of dollars in bonuses for themselves when people were being denied their severance."

Nortel had no immediate comment, Canwest said.

© 2009 United Press International, Inc. All Rights Reserved.
Order reprints



Additional News Stories
Roethlisberger to miss Ravens game (21 min)
Brain study points to jet lag help (35 min)
Masseuse reaches out and touches someone (43 min)
COL FB: Virginia Tech 42, Virginia 13 (46 min)
Hotels hope cyber-shoppers will check in
Sheep shoppers caught on camera
COL FB: Florida 37, Florida State 10
fark
Drunk drivers eclipsed as greatest threat on roads by iPod zombie cyclists
Every year parents struggle with which toys to buy their kids for Christmas. Well, here's fifteen...
Old & busted: Bloggers steal from MSM. New hotness: Bloggers report actual news while MSM covers...
The Teflon Son: John Gotti Jr. not convicted again
New England's last military air base shuts down. In case anyone from the Soviet Union is reading...
Photoshop this building under wraps