An export organisation owned by the Canadian Government will launch legal action against the Bermuda Department of Tourism and marketing firm Evoke International unless a two-year-old invoice for $121,201CAD ($98,063USD) is settled immediately, according to the lawyer representing Export Development of Canada.

The Canadian Government established the Crown Corporation EDC to provide Canadian exporters with financing, insurance and bonding services as well as foreign market expertise. In this instance, EDC has retained the law firm of Barak Sena Sabatine Group to represent one of its exporters ? Oshawa, Ontario-based company General Printers ? and "conduct an asset and liability investigation as well as a fraud investigation against Evoke".

Lawyer Michael Avram has also written to Attorney General Larry Mussenden demanding satisfaction of the outstanding balance for a printing contract General Printers provided through Evoke to the Department of Tourism.

The unsettled invoice dates back to 2003 when General Printers printed 150,000 copies of the 42 page brochure "Where to Stay in Bermuda" for the Department of Tourism at a cost of CAD$183,247. The cost of additional stock for a 250,000 run plus fees for copying files to CD and customer alterations totalled a further CAD$87,172. The company shipped the printed brochures to the United States, Toronto, the United Kingdom, Germany, and Italy as well as to Bermuda.

While General Printers received an advance of CAD$149,217.35 through a purchase order issued by the Department of Tourism, the outstanding balance of CAD$121, 201.66. has remained unpaid since the company invoiced president of Evoke International, Walton Brown, on February 19, 2003.

"Initially we [General Printers, EDC and now his firm were directing our efforts at Mr. Brown, but we got nothing but broken promises from him," said Mr. Avram.

"Every time we speak with him he says next month and this goes back to 2003. Initially, he would claim that he was never paid by the Department of Tourism, but he had according to the department's assistant director of corporate services Lisa Smith. She said that they issued purchase orders and paid Evoke International, but no funds were received by General Printers."

Mr. Brown, who is the second cousin of deputy premier and Minister of Tourism Dr. Ewart Brown, told yesterday that whatever issue he had was a "private business matter" and nothing he was prepared to discuss with the Press.

When asked why General Printers had not received a cent of the outstanding amount, Mr. Brown said that statement was untrue.

On further clarification, Evoke had actually sent a cheque for $500 to the company last month ? an amount Mr. Avram said was "like giving someone $1" in view of the total outstanding.

Mr. Avram understands that it's Government's position that the account has been satisfied.

"Ms Smith contended that they don't have the responsibility and 'do what you got to do' was the quote unquote," Mr. Avram said.

As far as the EDC is concerned, however, the burden of settling the bill ultimately remains with the Bermuda Government.

"All correspondence was between General Printers and the Bermuda Department of Tourism. General Printers never would have granted this much credit had the Bermuda Department of Tourism not been involved. They were assured purchase orders would be issued directly to them," he said. "All correspondence was going back and forth to Bermuda Government from General Printers. They provided the service, they sent thousands of brochures world-wide and they were never paid. We believe clearly that it is bad faith."

Ms Smith told this newspaper to e-mail questions about the situation to her superior Cherie Whitter. Neither Ms Whitter, Attorney General Mussenden nor the Department of Information and Communication responded to queries by Press time.

Mr. Avram said that with the Attorney General, Ms Smith and Mr. Brown not responding to his firm's requests for settlement including an offer to reduce the amount of the bill in order to settle it, litigation is the next step.

"If a lawsuit is filed the Bermuda Department of Tourism and Evoke International would be named," he said. "It is a straight collection account. Non-payment! Do we believe that Mr. Brown committed a fraud. We're looking into that. Clearly General Printers were led to believe that the Bermuda Government would be paying them directly."