Times Colonist: Liquor-price mistake costs millions

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October 15, 2015 | Les Leyne | Times Colonist

“NDP MLA David Eby obtained an April memo to Justice Minister Suzanne Anton about a slip-up that had just been discovered in the LDB’s pricing regime. It pays commercial wineries a seven per cent commission on wine they sell to wholesale customers and the hospitality industry. The idea is that such sales save the LDB the trouble of doing it, so the branch covers their cost of handling product.

“The memo informed the minister that due to a recently discovered system error, the LDB had been overpaying commissions to the commercial wineries on their sales to wholesale customers. The branch had been paying them seven per cent of the retail price, instead of a lower discounted price that should have been the basis of the commission. The slip apparently came to light after the complicated discount system was blown up and replaced by a simpler, more streamlined approach.”

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