Conservatives demand an accounting of unfulfilled vaccine contract

At Monday's Commons Health Committee, conservative members implored their NDP colleagues to support a motion to investigate at least $150 million in losses related to an undelivered contract by COVID-19 vaccine manufacturer Medicago.

The vote on the motion is expected Wednesday.

Medicago was contracted to deliver 76 million doses of the company's proposed Covifenz vaccine and received $173 million in handouts to upgrade its existing manufacturing facility in Quebec City and develop the vaccine.

Medicago's facility was located in Health Minister Jean-Yves Duclos' riding. The facility shuttered in February, leading to the layoff of 600 employees.

The company was paid $150 million in a non-refundable payment by the Canadian government as part of the contract, which was quietly terminated by "mutual consent." 

The details of the losses were uncovered in an investigation by The National Post into losses posed by the Public Health Agency of Canada.

Duclos had previously claimed allegations of waste within his ministry were "unfounded."

Medicago's emergency authorization of its vaccine was pulled after criticism of the company's partnership with tobacco company Philip Morris International Inc.

Philip Morris, the maker of Marlboro cigarettes, divested its 21% stake in Medicago in December 2022.

Covifenz was proposed to be a "plant-based" vaccine, and the sale of Phillip Morris' shares of the company was promised to get the vaccine to international markets. Instead, the company's Quebec facility closed just 30 days later.

Sheila Gunn Reid

Chief Reporter

Sheila Gunn Reid is the Editor-in-Chief, Alberta Bureau Chief, member of the board of directors, and host of The Gunn Show at Rebel News. Sheila also serves as President of the Independent Press Gallery of Canada. A mother of three and longtime conservative activist, Sheila is the author of bestselling books, including her most recent release, Independence Blueprint: What Alberta Can Learn From Quebec.

https://mybook.to/sheila

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