LaSalle College obtains creditor protection after being fined $30 million

LaSalle College obtains creditor protection after being fined $30 million

There are just three days to go before the new school year, but on Monday, there was still uncertainty over whether classes will start as planned at LaSalle College.

The college says it owes Quebec $47 million and is asking the Superior Court for creditor protection while it tries to reach a deal with the government.

“What I can tell you is that starting classes solely rely on the decision of the Premier of Quebec, Madam Christine Fréchette,” said Claude Marchand, the general director of LaSalle College.

“That’s really a consequence of the unfair, unprecedented fines of 30 million that were charged to LaSalle College in the last two years from the Quebec government.”

Cherihane El Maqri said, “The government needs to respond and take action, whether it’s positive or negative. At least do something so students don’t end up in what I think is a really difficult situation.”

Fabio Jimenez said, “So it’s bad for the students, bad for the people. And I think it’s sad.”

Christopher added, “I know other students at other schools who are in similar situations, not for the same reasons, and I put myself in their shoes and it’s really not easy.”

The college faces $29.8 million in penalties for exceeding the English-Language enrollment caps, plus another $17.2 million in government funding Quebec wants repaid.

The college is also asking the government to reinstate subsidies for the coming academic year that were withheld because of the fines. 

The provincial government imposed limits on the number of students in English-language college programs as part of a new language law passed in 2022.

LaSalle College exceeded that limit in the two academic years after it came into effect. 

“The government did not send us the subsidies that they were supposed to in July, neither in August. So right now we don’t have the Treasury in order to pay for the salaries and to get the semester going,” said Marchand.

The Quebec Ministry of Higher Education told CityNews it will not comment for now, and Premier Christine Fréchette’s office has not responded at this time.

Last year, LaSalle College warned it could be forced to close and delayed the start of classes by a day while talks with Quebec continued. Now, with another school year about to begin, the college is once again looking for a last-minute agreement.

“I think it should happen tonight. So we can start classes on Thursday. She has an election to win. Let’s go, Madame Fraisette. Let’s get the students in classrooms and let’s kick off that campaign,” said Marchand.

-With files from the Canadian Press