A class action lawsuit against the City of Toronto has dramatically escalated, now seeking $32 million in damages and pulling in a new key defendant: the Toronto Transit Commission. The legal battle centers around allegations of widespread employment standards violations, stemming from the city’s dealings with security contractor One Community Solutions (OCS).
The lawsuit’s expansion follows a swift and decisive move by city hall to sever ties with OCS after revelations surfaced that its security personnel were operating without proper licensing. Employees were abruptly dismissed last Friday, triggering a cascade of consequences for those who relied on their services, particularly at shelters and transit stations.
Despite its relatively recent incorporation in 2020, OCS rapidly amassed a staggering $40 million in contracts with the City of Toronto, alongside additional, undisclosed revenue from managing security at various shelters. This rapid growth is now under intense scrutiny as the lawsuit unfolds.
The amended claim now names a complex web of entities and individuals. Alongside OCS and its founders, Damion Dunston and Jason Segree, the lawsuit implicates Safecity Solutions Inc., Nan Hu (also known as David Hu), Safeway Solutions Inc., Bojan Kladnjakovic, and the City of Toronto itself.
Lawyers representing the plaintiffs report a surge of support from within OCS, with “dozens of whistleblower workers” coming forward since the lawsuit’s initial filing two weeks ago. These courageous individuals have provided critical information exposing the involvement of additional parties allegedly complicit in the employment violations.
The lawsuit alleges that Safecity Solutions Inc. and Safeway Solutions Inc. functioned as “alter egos” of OCS, masking the true extent of the operation. Further allegations point to Bojan Kladnjakovic as being responsible for all human resource matters, including the controversial practice of paying some employees exclusively in cash – a system reportedly managed through a WhatsApp group.
Nan Hu and his company, Safeway Solutions, are accused of handling the recruitment, deployment, and payment of the security guards, known as Community Safety Teams (CSTs). Hu is described as the “owner, director, officer and operating mind” of Safeway Solutions, suggesting a central role in the alleged scheme.
The initial lawsuit, seeking $22 million, focused on allegations that OCS failed to properly compensate its employees and that the city should have been aware of these issues. The claim has now been significantly bolstered by the new evidence and expanded list of defendants.
The TTC declined to comment on the legal proceedings, while the City of Toronto has promised a response Wednesday. Questions regarding the involvement of West Egg Security, which has taken over some of OCS’s former responsibilities, remain unanswered.
Attempts to reach OCS for comment have been unsuccessful, with the company appearing to have shut down its public communication channels. Similarly, the Ministry of the Solicitor General and representatives from the County of Simcoe have remained silent regarding their involvement with OCS and its CSTs.
The Toronto Police Service has stated they are currently unaware of any proactive enforcement or criminal investigations related to the collapse of OCS’s operations. However, the sudden departure of CSTs has already impacted shelter operators like Dixon Hall, forcing them to adapt to maintain essential services.
City hall maintains it terminated its contracts with OCS on January 30th, despite the official expiration date being March 1st. The abrupt dismissal has left hundreds of workers unemployed, and the city, along with OCS, now faces the responsibility of providing severance packages.