Sorbara urged to sell stake in two firms

Toronto Star - Thursday, April 5, 1990, p. A7
by Derek Ferguson

Consumer Minister Greg Sorbara should sell his shared of two companies that own four North York apartment buildings seeking whopping rent hikes, a New Democrat MPP says.

"We've always supported the concept of divesting your interest," Dave Cooke (Windsor-Riverside) told reports outside the Legislature yesterday.

Whether it's real or perceived conflict of interest, it's inappropriate and in this case there is a percived problem."

Cooke told the Legislature on Tuesday that the Sorbara family is using a loophole in the province's rent review law to jack up rents by 52 per cent for 650 tenans at 5000 Jane Street and 4001 Steeles Avenue in North York.

Yesterday, he said two other North York apartment blocks owned by the Sorbara family are also seeking hefty rent increases.

Sixty-five units at Red Cedarway and another 62 units at Flax Garden Way face rent hikes of 25 per cent, Cooke said.

But Sorbara said the companies are run by his family and he doesn't know anything about the apartment buildings.

He said he would consider selling his 20 per cent share in the firms if there was any proof of wrongdoing.

He claimed his shares and other financial holdings are kept in a blind trust.