Replies to post #1168 on Cleveland Cliffs Inc (CLF)

[Democritus_of_Abdera]

I doubt that the Naswauck Essar saga is over… just in a new inning..

In John Myers’ discussion of the governor’s press release he notes:

The $67 million from the state was awarded from the Minnesota Department of Employment and Economic Development, through Itasca County, to pay for roads and railroad track as well as gas, water, sewer and electrical lines to the sprawling plant site. The money was an incentive for Essar to go beyond processing taconite and add value and jobs by actually making iron and steel at the site.

While Dayton appears ready to get that money back, the effort may not be as easy as simply filing a lawsuit. Most of the state money was funneled through Itasca County, Nashwauk and the city’s public utilities commission, and those entities would need to agree to pursue the case against Essar.

“We would instruct Itasca County to make a demand on Essar Global and Essar Minnesota, pursuant to the terms of the reimbursement agreement” from 2007, Madeline Koch, DEED spokeswoman, told the News Tribune.

====
Myers’ article: http://www.duluthnewstribune.com/business/mining/3892992-dayton-issues-warning-essar-about-paying-companies-working-nashwauk-site