PENTICTON — The City of Penticton and the Lakeside Resort are providing few details, but Penticton’s mayor has confirmed a settlement has been reached in a lawsuit involving more than half a million dollars. That’s how much the business saved in power bills due to a defective power meter, according to court documents.
The notice of civil claim states that from the fall of 2009 to the spring of 2015, the Penticton Lakeside Resort has been underpaying its electricity bill because the meter wasn’t measuring the full usage.
READ MORE: Penticton seeking $630,000 from Lakeside Resort
The city chased after the money, launching legal action but both sides have remained tight-lipped about it.
On Monday, Andrew Jakubeit told Global News that he cannot comment on the terms of the settlement because of a confidentiality clause.
“At the end of the day, it was a good resolution for both parties. I think you could look back and it’s probably embarrassing for both institutions, the city and the resort. For the resort, they should’ve known that their utility bill was significantly lower and for us, we should’ve clued in on that anomaly.”
He says the city has made improvements to make sure that “things don’t fall through the cracks.”
The city resells electricity to residents and businesses. The lawsuit says an inspector estimates the hotel owes the city approximately $631,104.93.
~ With files from Angela Jung