An anonymous e-mail shook up city council Tuesday morning, claiming that Bixi paid employees bonuses and a bill owed to a private communications firm just weeks before it claimed bankruptcy protection.
The general manager of Bixi reportedly confirmed giving December bonuses to all of its employees, as much as $232,000 to its 39 permanent staff members.
Bixi is $47 million in debt and owes $31.6 million to the city of Montreal.
It was just two years ago that the city of Montreal propped up the bicycle rental system with $37 million in loans and $71 million in loan guarantees.
The Public Bike System Co., the company that runs Bixi, still owes the city of Montreal the $31.6 million, said Mayor Denis Coderre last week, adding that Montreal is covering approximately $11 million in loans for the company.
The company said it is owed $5.6 million from various clients, affecting its cash flow.