The Corporation of Hamilton has posted its 2016 Financial Statements online, showing more than $19.6 million in revenue over expenditure.

The bulk of the revenue comes from the derecognition of the $18 million loan guarantee to Mexico Infrastructure Finance for the failed Par-la-Ville Hotel project.

A statement from the municipality stated: “On May 12, 2017, the Court of Appeal upheld the November 2016 Supreme Court ruling that the Corporation had no power to guarantee the loan MIF made to Par-la-Ville Hotel and Residences Ltd to build a hotel on the Par-la-Ville car park.

“The court ruled that in providing the guarantee the Corporation acted ultra vires. Therefore, the guarantee cannot be enforced against the Corporation and the Corporation is not liable for the guaranteed sum of $18 million. The Corporation has, therefore, derecognised the liability related to the guarantee of $18 million together with previously accrued interest of $752,548.

MIF has applied to appeal the ruling to the Privy Council in London, with the Corporation stating that it will fight against the appeal.

Revenues for the corporation have increased by $55,000 year-on-year due to income from Goods Wharfage and Dock Charges, which increased by $267,000 and $188,000 respectively. However, those increases were countered by a steep decrease in car parking fees, which fell from $3.3 million in 2015 to $2.8 million last year.

Expenses fell by $333,000, with the corporation crediting a decrease in interest and financial charges due to the reversal of accrued interest on the MIF guarantee. A decrease in street resurfacing led to $479,000 in savings.