Eleven months ago, Essar Steel Algoma Inc. completed its restructuring. Now, the Canadian company is suffering from tight covenants, liquidity problems and a very serious contract dispute. The contract dispute involves Cliffs Natural Resources, which supplies iron ore to Essar.
According to a lawsuit filed by Canadian National Railway, an ex-employee shared confidential information with its rival Canadian Pacific. Canadian National claims the sharing of secret client information was an act of corporate espionage, CP used the data to steal business from the railway.