ORNGE founder Chris Mazza terminated

ORNGE has fired air ambulance founder Dr. Chris Mazza.

TORONTO STAR FILE PHOTO

Bankruptcy has consumed two for-profit ORNGE companies, and founder Dr. Chris Mazza and his two most trusted lieutenants have lost their jobs.

Former ORNGE president Mazza, and vice-presidents Maria Renzella and Rhoda Beecher were all terminated — new ORNGE boss Ron McKerlie does not want to use the word “fired” — and have not been offered a severance package.

The decision to terminate the three executives was discussed at recent meetings of the new ORNGE board of directors, a volunteer board that replaced the paid board after a series of stories in the Star beginning in early December.

The most recent meeting was Wednesday. On Thursday, ORNGE lawyers were in court putting two companies (ORNGE Global GP and ORNGE Global Inc.) into bankruptcy. These companies started out as ORNGE PEEL, a shell used to house high-paying executives and shield their salaries from the public.

With the companies ruled bankrupt, and trustee Duff and Phelps appointed to wind up their affairs, the executives were then officially terminated.

Mazza and Renzella had been on indefinite medical leave for the past month. Beecher, vice-president organizational development, had been given the task over the past two weeks of firing numerous middle managers and junior officials at ORNGE. Beecher will stay on in her post until Feb. 9.

Renzella is listed on the ORNGE website as a vice-president but ORNGE described her Thursday as chief operating officer of the ORNGE Global companies. Renzella is one of the numerous ORNGE executives who received an ORNGE-funded executive MBA. Renzella’s was valued at $110,000 and part of her studies included a trip to Belgium, where she later remarked on how tasty the waffles and chocolate were.

The bankruptcy trustee is now probing the ORNGE Global companies to assess their assets and liabilities. For-profit companies at ORNGE were majority-controlled by Mazza, and other executives and board members held shares.

The for-profit companies were the recipient of at least $6.7 million from an Italian helicopter company after taxpayer-financed money was used to purchase $144 million worth of choppers from the same firm. ORNGE Global also received smaller consulting fees, but how much is not known.

Health Minister Deb Matthews called the bankruptcy of the firms “vitally important and necessary steps needed to restore the confidence of Ontarians in the leadership team responsible for Ontario’s air ambulance service.”

Matthews said “the forensic audit continues and we look forward to their findings and the auditor general’s value-for-money audit.

Progressive Conservative MPP Frank Klees said the firings are far from the end of the saga.

“That head office is filled with individuals — who are still there — who were part of the decision-making process who benefitted from the decisions that were made. Why are they still there? What is taking so long?” he said.

Klees said he remains troubled by the $6.7 million payment by helicopter maker Agusta-Westland for a binder’s worth of marketing advice.

“There is nothing that was delivered for the $6.7 million that someone in a Grade 12 economics class couldn’t put together in that binder.”

NDP MPP Jagmeet Singh (Brampton—Gore—Malton) said the housecleaning at ORNGE is a start, but more must be done to clear the air.

“Faces are changing at ORNGE, but if the public is going to be served we need to know details the government still refuses to share,” said Singh.

“When will we see Mr. Mazza’s contract and other documents the minister of health refuses to release?” he said.

 http://www.thestar.com