An Indian-origin businessman is being forced to relocate his medical manufacturing operations from Canada to the United States and India after surrendering a nuclear license, a move that will cost hundreds of high-tech jobs.
The Business and Its Struggles
Krishnan Suthanthiran, owner of Best Theratronics, a long-established medical manufacturer in Kanata (a high-tech suburb of Ottawa), said surrendering the license would lead to "the loss of 200 high-tech jobs." This decision comes after Canada’s nuclear regulator, the Canadian Nuclear Safety Commission (CNSC), took action over the company’s failure to meet license conditions.
Best Theratronics was once a Crown agency and helped develop the world’s first cancer treatment machine. However, the company has struggled in recent years under private ownership. Suthanthiran said he has lost millions of dollars since buying the business from MDS Nordion in 2007.
The firm also faced a long labor dispute, with workers striking for nearly 10 months over pay.
Regulatory Actions and Financial Issues
On Friday, the CNSC confirmed that Best Theratronics is in the process of removing the nuclear materials it used to manufacture cancer treatment devices. The company has secured export licenses to ship its Cobalt 60 and Cesium 137 sealed sources out of Canada.
In November last year, the CNSC issued formal orders after discovering the company’s financial guarantee had expired. The regulator required Best Theratronics to set aside $1.8 million to cover potential cleanup costs if the site were to be decommissioned.
Suthanthiran did not comply. He told CBC in October that the regulator was wrong and that he did not have the funds to restore the guarantee. Instead, he said he would abandon the nuclear license and shift the company towards non-nuclear activities.
Relocation Plans and Deadlines
In an email to CBC, Suthanthiran said the decision was forcing him "to relocate to the USA and India," and that the cost of maintaining the nuclear license was too high.
The regulator has ordered the company to submit monthly updates on its progress. However, it missed a December reporting deadline. Company representative Manny Subramanian told the commission the delay was due to Suthanthiran being out of the country.
"We ended up sending about a day late or two days late because Krish, the president of the company, was travelling. We couldn’t get ahold of him," Subramanian said.
The next deadline comes on Tuesday, when Best Theratronics must submit an initial plan to decommission its Kanata plant.
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