I have a return to oral question asked by Mr. O'Brien with respect to the Immigrant Investor Fund.
Both funds have been very successful to date in raising capital for investment. The Aurora Fund (1996) has signed 139 prospective investors. The Aurora Fund (1996) had closings and has issued notes to 66 investors. This gives the fund over $15 million, $10.5 million of which is available for investment in eligible NWT businesses.
As I previously reported to you January 27, 1998, $7.8 million was loaned to seven northern projects. On August 28, 1998, the fund's board approved loans for another six projects totalling $14.4 million. These loans are in the process of being finalized with the borrowers. These projects are:
1. NWT Cooperative Development Fund - for the purchase of fuel delivery vehicles for domestic fuel delivery in communities.
2. The Shoe Store Ltd. - for the purchase of two aircraft.
3. NWT Development Corporation - to broaden its investment capabilities in, and support to, eligible NWT businesses.
4. Yellowknife Golf Club - to expand the golf course facility to an 18-hole layout.
5. Regency International Hotels Limited - to renovate, upgrade and refurbish the Explorer Hotel.
6. 2822636 Canada Incorporated (operating as Continental Helicopter) - for the purchase of a helicopter.
To date the fund has approved over $22 million in loans. These loans have met the fund's goals of maintaining and creating employment and providing alternate financing to businesses in the Northwest Territories.
The fund continues to explore lending opportunities with northern businesses. The fund has presently lent the maximum permissible amount under its offering memorandum until further investors transfer their full subscription amounts. As further funds become available, we will be concluding lending arrangements with other potential borrowers who have indicated an interest in a loan from the Aurora Fund.
The supply of money to the fund is dependent on the rate at which subscribing investors transfer the full value of the note proceeds to the fund. Once an investor transfers the full $250,000 and the note is issued (termed a "closing"), the fund has only 75 days to lend the money. If that time limit is exceeded, the GNWT could be prohibited from launching further funds until the violation has been corrected.
As I stated in January, I am pleased with the success to date of these two funds. I am confident that they will continue to be successful and that the benefits provided by these funds will be felt for many years to come.
--Applause