According to news coverage that developed after the shutdown, it was revealed that the City of Nashville, Tennessee, had granted IQT a US$1.6-million incentive to build a new 60,000-square-foot call centre and headquarters there to employ 900 locally. One of the conditions of receiving the grant was for IQT to explain to Nashville officials its business strategy in Canada. I guess instead of explaining their strategy to ensure the award of the grant they just decided to get rid of the “obstacle”. In addition to the abrupt shutdown of their Canadian operations, IQT Canada said they filed bankruptcy papers. However, a records search by government officials revealed no official filing of bankruptcy.
Due to the media coverage and social media attention on Facebook and Twitter, the City of Nashville has chosen to withdraw its $1.6 million promise to fund IQT Solutions’ new operation in Tennessee.
Saturday, July 30, 2011
Canadian legal blogger observes Nashville-IQT deal was news to them, role of social media in Mayor's about-face
According to Canada's online legal magazine: