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CBRM tow truck bylaw on hold over fraud concerns

Jun 21, 2021 – Insurance and towing industry officials are raising the spectre of fraud and corruption — and higher insurance premiums for consumers — while weighing in on opposite sides of a proposed tow truck bylaw in Cape Breton Regional Municipality.

In a letter to CBRM, the Insurance Bureau of Canada says it favours a bylaw because the unregulated towing industry is a “feeding ground for the unscrupulous” that includes “kickbacks … and secret payments” that inflate insurance costs.

Seven towing company operators signed a letter to CBRM saying they are against provisions in the draft bylaw and “should not have to pay people off or feel like you need to sleep with anyone to get ahead.”

However, in interviews, both sides backed away from specific allegations of fraud and corruption in CBRM. CBC News reports. | READ MORE