Industry Minister Mélanie Joly has doled out $1.9 million in taxpayer cash to the Just For Laughs Festival — a Montreal comedy staple that’s currently drowning in bankruptcy proceedings.

“Congratulations!” Joly chirped, as if handing out millions to a company that owes creditors $23.7 million is something to celebrate, Blacklock’s reports.

Go Ad Free

.@MelanieJoly OK's $1.9M grant to company in bankruptcy court that already owes taxpayers millions. "Congratulations," she told producers of Just For Laughs Festival.  https://t.co/QsdZuOeZJg @CdnHeritage @justforlaughs @ISED_CA pic.twitter.com/zkEPjsFbR5

— Blacklock's Reporter (@mindingottawa) July 22, 2025

The reality for Canadians is that this isn’t funny, it’s a fiscal facepalm. Just For Laughs, which has already pocketed $15.3 million in federal subsidies over the past four years, told Québec Superior Court it can’t pay its bills.

Among its creditors is at least one Crown agency, the Business Development Bank, which is owed $1.9 million.

Yet, Joly’s response is to throw more money at the problem, claiming it’s to “support the promotion and marketing” of the festival. Because nothing screams “economic recovery” like propping up a failing event that’s been bleeding cash since 2018.

Canada has an "overreliance" on the US for trade and national security, says Industry Minister Mélanie Joly.

"Therefore, we want to become closer to Europe ... and some key Asian partners as well," she says, calling Canada the "most European" of non-European countries. pic.twitter.com/5HvGWfmuje

— Rebel News (@RebelNewsOnline) June 17, 2025

The festival’s lawyers were clear in their bankruptcy court filings: rising labour costs, high interest rates, inflation, and a drop in consumer demand have turned live comedy into a money pit.

Sponsorships have dried up, leaving the festival unable to break even.

Melanie Joly responds to President Trump's announcement that 35% tariffs will be imposed on Canadian goods on August 1st.

"While the U.S. is becoming weaker, we will become stronger and we will diversify and turn ourselves towards Europe," she says. pic.twitter.com/gaXzu0GoiT

— Rebel News (@RebelNewsOnline) July 11, 2025

So, the Liberal solution is to ignore the red flags and write another check. No word from Joly’s office on what safeguards are in place to protect taxpayers from this black hole of a subsidy. When you’re this out of touch, explaining yourself is optional.

Just last summer, after Just For Laughs hit rock bottom, the Liberal cabinet pivoted to funnel $600,000 into a rival comedy festival, ComediHa!, to fill the “niche” left by Joly’s pet project. Apparently, Montreal’s summer programming is so vital to the nation’s identity that it requires not one, but two government-funded laugh fests.

Meanwhile, Canadians are scraping by, facing sky-high grocery bills and housing costs.

This is classic Liberal governance: splashy announcements, zero accountability, and an inability to learn from past mistakes.