Times-Advocate, 1982-12-08, Page 2Tins -Advocate December 8, 1982 Say 5845,136 in taxes circumvented
•
A SPECIAL AWARD — former Exeter -fireman Bill
Musser received o 30 year service medal recently at
the Ontario Fire College at Gravenhurst. Making the
presentation at the _right is Solicitor General George
Taylor. '
Council adopts
new procedures
.A new set of procedura
policies was approved in prin
ciple.by Exeter council. Mon
day. consolidating a variety
of pre% ions by-laws which dic
tated councils procedures
All. former .bylaws were
rescinded; and the. new 'pro-
cedural
p
cedural bylaw will . be
presented for ratification at
the next meeting'
The new policies were, not
made public. although' Mayor
Bruce Shaw indicated they
were-. few changes from
us
previorules: .
One of the major .changes
outlined ina brief review by
'council was the ruling that
1. -during a council vote:
Members who abstain will
- have been considered to have
voted • in the negative
- Previously. they had been
coni idered to have voted in
the affirmative and Shaw sug-
rn- gested this may cause some
problems
Reeve Bill Mickle wanted to
know what was considered a
"'reasonable time.' in the •
reference to that time frame:
•e: being required ir. calling a
_special nieetirtg. He said a •
special meeting had been •
called at time with only 45
minutes notice and added that.
he didr..t think that was a
reasonable time. •
Shaw suggested it shouldbe
a "couple of days" but noted
it 'would depend on the issue
over which the special .,i
meeting is required. a
Arrears
Conti ed from front page .
;cheated tire'` were in agree-
ment with the principle of the
matter as they suggested a
letter be sent to the Ontario
Association'of Municipalities
voicing the town's concern
and suggesting the AMO
move to have the tax system
changed so the burden of un-
collected taxes doesn.'t fall•
solely on the municipalities;
That was . carried
unanimously. as was a motion
presented by Morley Hall that
the town circulate a petition
to all municipalities in Huron
suing support for their poli;
tion of municipalities -
withholding the portion of un •
-
collected taxes in the board of
educkiion levy
Riddell, Peterson outline
Non-resident foreign in-
vestors are buying up Ontario
farmland and avoiding the
Ontario Government's 20%
land transfer • tax, Liberal
members of the Legislature
• have revealed.
Opposition Leader David
Peterson and agriculture
critic Jack Riddell Huron -
Middlesex I.cite theexample
of 3.585 acres of productive
farmland in Huron and Bruce
which was sold in the last
year to 'overseas interests.
In these sales alone. a total
of 5845.136 in land transfer
tazees were circumvented
:We believe these pur-
chases reveal sizeable flaws
in existing Ontario legislation
regarding speculation in
farmland:". Peterson said:
"They also • d'emonstrate a
neglect by the Ontario
Government of a growing
problem --the increasing
takeover of farmland by non-
residents for speculative
purposes. "
• In the Legislature. Revenue
Minister George Ashe conced-
ed he does not know how
much land ' is ins'o1ved
province -wide; or. how much .
in land transfer taxes have
been lost through an existing
loophole which ''enables
foreign investors to take over
farmland through a -corporate
structuring of farms.
Agriculture Minister Den-
nis Timbrell assured the
Liberals that the loophole:
would be closed. but Peterson
was skeptical. He said the
Conservative Government
has been aware of the pro- '
blem since 1954 and has fail-
ed to act. • ' .
Ina joint statement on the
issue. Peterson and' Riddell
said the farmland purchases
n Huron and Bruee counties
re probably symptomatic of
hat is happening in prime
gricultural areas across the
rovince. • • •
They stated; .
"We find these transactions
tanning. because we feel
that they are only. a small
flection of a much larger
He said the ` policies em . ._
phasized that the press was to- a
be invited to special
meetings.
• Ironically. later in the
meeting. members decided to a
have 'a special . meeting on
December 16 to discuss the re
Personnel Management:
A_ssbciates study on town re-
otganization .with represen=
tatives of the employees: -
Councillor • Gaylan`
Josephson asked if that would
be a meeting open to the press
and publics and Shaw replied
in the negative. .swing i}
would be • an in -camera
session -
DENTURE
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saw•nor cameos Noose rink arwe Cascraecr
•
Riddell
is ousted
Liberal agriculture critic
Jack Riddell was ' ejected
-from the legislature Monday
during a. philosophical tussle
• over farm interest rates with
his NDP counterpart. •
.The Huron -Middlesex:
MPP i-eftised to withdraw
remarks that New. Democrat
Mel Swart. "deliberately
distorted facts" about
something Riddell once said.
Swart. • his party's
,agriculture critic. said earlier
. during the evening session
that Riddell "advocates high
interest rates for farmers".
Riddell said thatwasn 't so
accused Swart of lying .and
was immediately ordered by
the Speaker to withdraw the
remark. • considered un-
parliamentary. When Riddell
refu ed. he was ordered out of
the chamber. • . • •
Outside. Riddell accused
Swart of deliberately con-
voluting what he said in a
speech earlier this fall.
"All I ever said was high in-
. terest rates are the result of
a restricted monetary policy
advocated by some govern-
ments. Tell me -how that gets
turned` around into •ad -
vacating high interest 'for -
farmers. which I would never
do. •• - -
Swart said Riddell and the
Liberals '!advocate high in-
terest rates generally and
he's never said specifically-
thathe don't advocate them
for farmers "
•-l. must admit I've con-
tinually needled and prodded
him about it " 11
Normally: accusations that
a member hashed are laun-
ched from the opposition ben-
ches at.the government Ver-
bal scuffles between two op-
position members. especial!}
hose with the same critic's
portfolio. are unusual
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EXETER
235.2420
GRAND BEND
238-8484
CLINTON GODERICH
482-9747 524-2118
problem The fact is we don't
know how much land we hale
lost to non-residents. We don't
know because the Ontario
Government has failed toade-
quately monitor this situation.
"l'nder the existing legisla-
tion. foreign purchasers are
required to pay 30 percent of
the purchase price in com-
pliance with the Ontario Land
Transfer Tax By. com-
parison, resident buyers are
required to pay only two-fifths
of one percent of the first
$45,000 and four-fifths of one
percent on the remaining pur-
chase price.
"The spirit of this legisla-
tion is clearly being violated.
And this is how: •
(a A farmer who agrees to
accept a lucrative offer from
a non-resident is instructed to
incorporate an Ontario
numbered company. All legal
costs are borne by the foreign
buyer.
b I. The farmer then sells
his farm to his own corpora -
PARADING CHEER LEADERS — Participating in Saturday's Santa Claus parade were
South Huron District High School cheer leaders Angelo Simpson, Denise'Renning,
Nellie DeKoker, Lori Lewis and Tracey Coward. T -AP hoto
A ;500 used weed sprayer
could become 'priority one
• A $500 .used weed sprayer
could become the priority
item in the 1963 budget for the
Exeter works department
committee. - -•
It: was act.uallv- at the bot-
tom of the- quarter -million
dollar list of projects recom-
mended by the out -going
works department commit -
Damage
runs high
• Drivers and occupants of
two cars sustainedminor in-
juries in a collision at the
Huron and Main 'St. intersec=
tion. Sunday.
Driversinvolved were Rev.
Donald McMaster. 89 Charles -
St.: London. and Janet Kints.
RR 3 Exeter. Damage was
Misted at $6.000 by Constable
Jim Barnes.
Two thefts were reported•to
Exeter 'police .this week. On
Thursday. a cassette -deck
was stolen from a motor vehi-
cle owned by Mark Stire. 39;
Main. and on the same date
Andy. Debeer of• Sun Service
•Centre reported the theft of a
tire and wheel from'a tt•,,ehicle
parked on his lot In atiliition.
anattempt had been made to
break in to the station via the
front door. -
•
Sales in Huron, Bruce
foreign land deals
non. of which he holds one
share and is the President
N I The shares of the cor-
poration are then transferred
to lawyers acting on behalf of
the foreign buyer.
"In the transactions we are
making public today. taxes
totalling, $30.864' were paid,
while. a total of $876.000 in
taxes were avoided.
"In each case the farmland
was purchased by a person
we believe to bean agent for
West German and Austrian
investors. ' •-
"He is Wolf von Teichnlan
of the law firm of Tikal. andv'
Associates Ltd., -390 Ba
Street. Toronto. Themt or-
porate names used in ma of
the transactions is Austro -
Canadian Enterprises Inc.. a
-company' which has recently
changed its name to Algon-
quin Farms Limited. Mr.
Teichman was identified. as
,the Director of the company
- intil Nov..3, 1981: The current
,president is identified as
Helmut Sieber of RR 2 Blyth.
"These transactions
underscore the need for
Government action. We can-
not allow prime agricultural
land. in Ontario to be used by
outside interests for
speculative purchases or as a
hedge against inflation. •
"Not only is eland being
removed from the hands of
Ontario residents and falling
from production. but the
• speculation is driving up the
value_ of farmland and .mak-
ing it difficult for • young
farmers to pursue their life
choice.
"The Government has all
but abdicated its role in this
regard. To quote Revenue
Minister George Ashe in the
Legislature yesterday. the
• • • ' Government doesn t know
tee. but Mayor Shaw told
• chairman . Don MacGregor
they may want to alter the
priorities to put the weed
sprayer at the top.:
His reasoning was based on
the fact he had received a bill
• for the weed sprayer that:
very day and suggested it
would be embarrassing for -
the
\1: ommittee if the item end-
ed:tlp being dropped -off The
Iist.wben it:had already been
purchased...
. Gaylan Josephson asked
. why_the spra jier had been in=
eluded in the tentative budget:.
when..it had already been
purchased.
"When did you get the
bill MacGregor asked.
-Today.'-" Shaw replied.
• MacGregor then explained
• that last. year's committee.
had seen the need to buy a
• sprayer. but money was not
available in the budget. and.
they .had made a tentative •
agreement with the owner 6f •
the equipment to have it in-
cluded in this year's budget
and "the, sprayer has been
stored in, the works depart
ment building since that deal
was made.
Council finally agreed with
a suggestion from • Deputy •
-
Reeve Losse Fuller that the
works department budget go
back to the new committee
for further study.
•
Construction of the south-
west storm drain at a cost of
$190.000 had been set as the
top priority in the works
department budget for the
new year.
Other • projects and 'the
order in which the committee
recommended they be under-
taken. were . as follows:
reconstruction' of Pryde
Boulevard. 586.000: culvert on
Marlborough St ..• $35.000:
curb• .cuts on Main St. for
• aiding handicapped people.
-$600••per corner: weed
sprayer. ZOO \..
A culvert on.Carling St. was.
set as a high'priority for 1984
and it was suggested that
preventative maintenance be.
undertaken this coming year.
it was agreed to establish a
reserve fund for the purchase .
of equipment and an enabling
• bylaw- Was passed Monday
with $5.000 being set aside
from the 1982 budget! •
The committee also recom-
mended that Mill St..be clos-
ed at the CXR.tracks in keep -
ting with a recent suggestion
from a Transport. Canada of-
ficial who had been in town to
view the railway crossings
following a train -truck colli-
sion in September. •
However. the Mill St. -cross-
ing will. only be closed if
signals are installed at the
Huron St, crossing
how much land is involved.
although he said: "We frank-
ly don't think that it is an ex-
tremely large loophole..." Ili
WHAT TO DO?
What do a group of *ground-
ed' boaters do after all boats
have been hauled out of the
water. and put away for the
winter'?' •
The .Grand Bend -Cruising
Club decided to kick Off their
'land -locked' season by
organizing a Grey Cup party.
About 26 members and guests
joined in the fun Sunday after-
noon at the clubhouse to cheer
on their favourite team.
For the past two months the
club has been selling tickets
on a Sony Beiamax Video
cassette recorder. •
To end a fun filled day. local.
marina operator. Dennis
Snider. representing the
'-village of Grand Bend. drew
• the winning ticket.
Jack Woodcroft of London
was the lucky winner. •
fact, the Revenue Minister
claimed the Government was
not even aware that these tat,
Hp were being 'used by
f ign investors to take over
Ontario farmland and avoid
the 20 percent tax. To quote
Mr. Ashe: "In real terms; we,
in the past, have not known
about it."
"The Government has been
.aware of this situation for
years. In the '1974 Budget ,
Treasurer John White stated
"Where a non-resident ac
quires control of a corpora-
tion which owns land. in On-
tario• this will be deemed to •
be a transfer of land and the
tax will apply." •
"Two courses of action are
urgently required. First, the
Government . must in►
mediately move to close the
loophole' through which nein-
resident foreign investors are
violating the spirit of the On
tario Land Transfer 'l'ax tie
cond. the Government must
• take Ido t'k of our farmland
andn- wIIIce an inventory in
whk'h �� a �'nn have fruit and.
on wlurh we call base reason-
ed public 1N1111'}'
(6 the CO opelhlott
INSURANCE
SERVICES
* LIFE - HOME
i AUTO >^r FARM
*COMMERCIAL
Ca Il
Verna
Gingerich
314 Main St,
Exeter T'
Clinton Community
Credit Union Office
Residence 435.1104 Business
Jhan
Crediton and Uistric t .tions (I(jb thank
'the lollotvinl; Stephen . township
businesses for their donation to our Se--
cond
e=cond Annual Fowl Bingo held 1)ee( ember
6; 1982
•
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- hlrr: i !y l irodhr... /_�:Q,,,rrr/r/ ;Co
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hr' `rn�rr . 1//J/. -r .•/,., / ar�r •.).ul
(11„C„/
;;'f • ,, // „lr., _Sir „HL/.r
I�
7arrll �i,,, l' a(/ ' (flruu i11. _.•bdu . 11 rr. �rrl -
'// 1/ S'� '/a�;. �.,r..J, (f:.,rr i:., / f,
-Lifer/ - ( .MJ 41„/, ,/ - )i �JIJ - �'l.r rr .,t •,/
_T7/rr I'. .r/aunmr - / �arr era/ i �rrirli,
/oa/red • . ,ref/on (inagr- • '
7hanb u
The Exeter Lions Club and Exeter Cen-
tral Business Improvement area wish to-
thank
othank everyone who contributed to the
success of this year's Santa Claus
Parade.
Special thanks to Tuckey. Beverages,
Frito Loy, Hostess Potato Chips and Semi -
Fob Industries.
ALBATROSS FLOAT Yoking second. prize in the com.merciol.diviion n Sotur.
s Santo Claus parade was the Albatross Tavern entry. T-A•photo
UCW meet, at Greenway
ly ANNE WAIPER
La- mer The story presenta- \►cholas holly anti IV%
:.on What Child is 'This • There are many others ;r.
x a; presorted bl` the children addition to these A piano silo
of the Sunday School under Star • of the . East: and
the direction of Mrs Jear. -White C-hr;strias': xac
Isaac and Mrs. Wendy•Rile). played by 01;v -e Steeper
Re. Moore spoke to the follov.ed h} a poem Khat is
c::dyer. and parents and Christmas-
special Christmas music was
provided by the choirA quiz or. Christmas was
l (lt' meet handed out aryl ich member..
\Ir►eteer, members met at was giver a (twice to'ste h
Nineteen
a+►
n
::k!riva much she rerrrernbered •
Lager erf frr Prayer closer; this part of the
the December meeting The meeting
r,)i: Ca..; was answered with a
socio) t o the heart fund Pres )dent 1sttt;' Bliiiox•k
:e
Steeper and Genre prided for • the!r,.n;ness
F;c�K rca:e the devotions and Nflnutes were res: and the .
°"-'4
;i- — ed they Christmas reasurer s r`yr'" as g';rr
TheilLwn s A thank }oiu•rrote was rereJt-
ce-ebrated the:r i1.Kh w.eddirr Be:hiee O Lh►em asittle prayedToby• ed from Jrhn act t'Siarsi;'n•
arruverser. a: a per.% head ir. alive Steeper softly in the 3tnithers fair ire Y,rt le that
their 'honour at the West background while Gertz told had been give' '✓• therf-,
i�tlhams Corr--ir.;:; Centre `rhe story surrounding its.
Saturday everonft ‘...he
The 19821 K?t::e Gift Service .A reading on •"chill:tmas
was held Ir. the Listed Mirth Tradrt>ota around the world.•
Sunda}. The second Advent rerru tied to of the C'hnstmas
candle w as lt: , by Tara tree cards. plants. baking.. St
v"EE-nT
Graham; and
Eagleson and family atter,:.
ed the Exeter United Church
Sundae hen their .Erand-.
daughter Jack:yn M!cnelle •
daughter of Roger and Jamce
Dougall was baptized •
Ron and Wend: Rtle1 have
opened a bulk food store ,c
.Parkhill •i: called The
Cour.tr. Store • jte x;
•
them :uck \\
Jerre and Karen G;Crz t-er
Kitchener spen:las' weelte-e.4,
w::h Cec:. and E.:e-
Sr,:ther= •
Crrgratula:1or.s to Mr and -
Mrs George • M;tche:: -. x•
Other btitirlras .' as dispens-
ed with and foliva-Ing gray{.a
special Christmas lunch was
served by Lillian l --liens and
Iva L•agerwerf arrl a social
time folkf el
Les Batt Manager of Zehrs Market Exeter presents a Zehrs Save -A -Tape
cheque for $540.60 to Beth Prouty and Karen Tigani, Exeter Pentecostal
Ladies Bible Club whose organization redeemed Zehrs Cosh Regikter
topes in order to purchase Church supplies.
Our sincere congratulations to all who participated in this very commen-
dable project.
Zehrs Save -A -Tape Plan
T -.s exciting offer is open to any non-profit organization, church or.
schoo' group. service club or charity. Each $300• worth of Zehrs cosh
register•tapes is worth one dollar. For example, if your club wishes to
raise $250 towards o project 575.000 worth of Zehrs topes would be re-
quired. Complete details ore contained in o helpful brochure available
of any. Zehrs Market.