Roundup: All about Erskine-Smith

As was not a surprise, the Ethics committee met on the matter of hearing from Jody Wilson-Raybould and Jane Philpott, and the Liberals on the committee voted it down. The lead for the Liberals was Nathaniel Erskine-Smith, who is a more maverick Liberal in the ranks, and yet he said this motion was premature, said it was better to wait for Wilson-Raybould’s submissions to the justice committee, and stated bluntly that they weren’t the best committee to deal with legal issues. Oh, and he also stated that he got zero input from PMO, and he’s one of the more believable Liberals on that front, so it muffles some of the inevitable cries of “Cover up!” – especially as he says he’s of the opinion that the PM should give the blanket waiver of confidences so that the two resigned ministers can say their piece, because this whole affair is damaging the Liberal brand. So, frank speaking, but that won’t change the narrative any, unfortunately.

In the fallout from Monday’s leaks, the Canadian and Manitoba Bar Associations have put out statements condemning them, as did several MPs including Erskine-Smith. (It also emerged that Justice Joyal withdrew his name after Trudeau rejected it, for what it’s worth). Trudeau himself wouldn’t answer any questions on the leak, even to say that he would investigate where it came from (which should be a bare minimum considering the seriousness of it).

Meanwhile, the Star decided to host competing op-eds about whether dissident Liberals should be allowed to remain in caucus, with Sheila Copps saying no, and Erskine-Smith saying yes. Copps did raise a few interesting points about things that Wilson-Raybould has omitted from her repeated statements, but Erskine-Smith did have the better articulation of what it means to be an MP. Neil Macdonald also has little time or sympathy for the drip-drip-drip approach and wonders why journalists are going along with it, but does offer some historical perspective on MPs who work against their leaders and walk-outs. Susan Delacourt praises Erskine-Smith for his handling of the situation, and the frankness that PMO should be employing. Chris Selley rightly points out that the attempt to drag Justice Joyal into this Affair as a new low, while John Ibbitson says it’s a sign that those inhabiting the PMO have little regard for the rule of law. Paul Wells brings some more righteous fire to this whole debate, torching the cries to purge the party, the leaks of confidential information, and the underlying accusations of system-rigging.

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Roundup: More documents, more drips

Another day, another drip in the ongoing Double-Hyphen Affair fallout. This time, it was a letter from Jody Wilson-Raybould to the chair of the Commons justice committee saying that she plans to forward new evidence to him in the form of emails and text messages – evidence which will be translated, checked over by committee members, and then made public once that’s done. But she also stipulated it was the period within the waiver, so I’m sure this will lead to another round of accusations that she’s not being allowed to tell “her full truth,” and people will believe it. Justin Trudeau, for his part, insisted yet again that he gave her the ability to give a full airing of the issue, reiterated later in a town hall meeting in Thunder Bay, where he also talked about needing to do a better job in how he manages “those conversations” with people with strong ideas in the future. Trudeau also appointed a new caucus-PMO liaison, which may go a ways to soothing caucus tensions, given that there is a lot of grumbling that part of the problem has been that he hasn’t been listening to them and their concerns – but it’s just another staffer and not him personally, inside the caucus room, so we’ll see if it helps.

In related news, the past secretary general of the OECD wrote a piece in the Financial Post to explain the whole language around “national economic interest” that so many people (many reporters included) are getting hung up on. The intent of the phrase – and he was at the OECD at the time – was to prevent countries from using the excuse that bribery was necessary to protect their export markets – and it wasn’t about protecting jobs. And hey, he’s even got context about the state of international trade in 1995 when this was an issue. Imagine if we’d had some better reporting about this history weeks ago! (Also, here’s a thread from a former OECD public sector integrity official who also gives context to the rules and why a DPA was not only a valid tool, but so is seeking outside counsel on the suitability of offering one).

Meanwhile, Chantal Hébert is coming to the conclusion that if Wilson-Raybould and Jane Philpott keep stoking the controversy without adding new facts that their target is the prime minister. Philippe Lagassé gives a more complete recounting of the issue of parliamentary privilege and what Wilson-Raybould and Philpott can avail themselves of in this situation, and the broader moral obligation of the fact that the privilege exists to hold government to account without fear of consequence, and if they feel that there were constitutional violations in the Affair, they have the choice to avail themselves of the opportunity to speak.

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Roundup: Procedural warfare denied (for now)

If the Conservatives were hoping for procedural tactics to try and delay the budget speech on Tuesday, well, they were outplayed by the government, who used their ability to control the timing of those Estimates votes to Wednesday instead of Monday. If you recall, the plan was for the Conservatives to force line-by-line votes on the Supplementary Estimates, so that they could delay the budget speech, which I will also remind you is a tactically stupid move, and doesn’t prove any point. And yet here we are. This having been said, I fully expect them to try some kind of dilatory tactics including a privilege motion of some variety on Tuesday in order to move the budget speech, because they’ve tried it before in the past, but once again, we’re a long way from the times that people who were good at this kind of thing were in charge.

Meanwhile, you can expect the next two days to be replete with bleating admonishing that the Liberals are going to try to use a “shock and awe” budget to drown out the Double-Hyphen Affair, as though the past five weeks of breathless reporting will evaporate in a single night. Come on.

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Roundup: The Republic of the Northwest wank-off

With an election soon to be called in Alberta, we’re going to start seeing all manner of ludicrous stories related to it, and lo, Maclean’s brings us an imagining of the future history of the “Republic of the Northwest,” which is apparently what a would become of a future Alberta-Saskatchewan-Manitoba-parts-of-BC-and-the-North seccession from Canada. The piece should have instead come with a mature content warning, as it’s basically the two authors jerking one another off to the masturbatory fantasy of a “more prosperous, freer, and more patriotic” future that is never going to be. Why? Because they simply glossed over all of the hard things that such a future would entail, the biggest and most obvious obstacle being the fate of the Indigenous populations. Sure, all of their environmental concerns are just “Laurentian Canadian” bureaucratic meddling. Apparently once Ottawa was out of the way, this new Republic (and curious that such a “patriotic” imagined country would not retain the Crown, if this is supposed to be some kind of small-c conservative fantasy that doesn’t involve being immediately swallowed up by the US), all kinds of pipelines could get built in mere months, with no obstacles whatsoever! Sure, the tidewater is all in Northern BC because the southern coast wouldn’t separate with them, but that won’t affect things! There weren’t any domestic environmentalists in this new country – they were apparently either all figments of Ottawa that were rained upon them, or they were all subject to mass arrest in this “freer” country. There were no Indigenous protests. There were no concerns about actual economic viability of these pipelines with relation to future capacity, or the fact that there is an ongoing global supply glut of oil and dumping more Alberta crude into the world economy wouldn’t be subject to yet more price declines because of basic laws of supply and demand. Nope – it’s all just freedom and prosperity!

And that’s not even to talk about how much they glossed over in terms of what separation would actually mean for the country, from fiscal arrangements, armed forces (do you think they’d just let them take half of the fighter fleet and a chunk of the Navy for their strip of Northern BC Coast line?), and again, the reality of treaties with Indigenous peoples with the Crown of Canada. Honest to Hermes, my eyes could not stop rolling the entirety of this piece. And the worst part is that there is a cohort of Albertans who think this is a plausible vision of the future. They all need to give their heads a shake, and the pair who wrote this piece need to wake up to reality.

On a related note, Jen Gerson digs into the looming problem of Alberta not really preparing for a future with a decreased oil demand, as they prefer instead to keep waiting on the next oil boom. (As the bumper sticker says, “Please God, give us another boom, and I promise not to piss it away this time.”) Yes, the province’s economy has diversified somewhat, but it’s still very dependent on oil revenues. That said, the Bank of Canada did note that the share of GDP that the oil sector is responsible for has diminished a fair amount since the 2015 oil shock, and it’s now less than IT services. The big problem the province is going to have is what to do with all of its under-educated young men, who either quit school or barely got their high school diploma while counting on lucrative oil sector employment. Those days are dwindling, and there will need to be plans to help them transition, sooner than later.

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Roundup: The OECD is watching

Because the Double-Hyphen Affair continues to roll along, the news yesterday was that the OECD is keeping an eye on the proceedings around the SNC-Lavalin prosecution, given that our anti-bribery rules are part of a concerted OECD effort to stamp out the practice, and much of the language in our laws – including the Criminal Code provisions around deferred prosecutions – contain OECD language. And lo, suddenly everyone was bemoaning this international attention, and it was a sign that we were all the more suspect, and so on. Err, except the OECD doesn’t have any regulatory jurisdiction over Canada, and they’re monitoring the processes ongoing already in Canada. You know, the ones that are examining the very issue. Almost as though the system is working.

On a related note, it was revealed that SNC-Lavalin signed a confidential deal with the government days after the Throne Speech in 2015, that allowed them to keep bidding on federal contracts while they would subject themselves to compliance monitoring for their ethical obligations, at their own expense. I’m not sure that we can consider this something nefarious, but certainly an acknowledgment that they were aware of their issues and were taking steps to deal with them in advance of any prosecution.

In today’s punditry on the matter, Matt Gurney suspects that the international attention will be harder for this government to shake off. Chantal Hébert details the coming crunch time for the main players in this whole Affair. Vicky Mochama writes that if we try to treat Jody Wilson-Raybould, Jane Philpott, and Celina Caesar-Chavannes as paragons of virtue out of a sense of gender essentialism, that we diminish the action and rhetoric of women politicians.

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Roundup: A policy without details, part eleventy

Earlier this week, the Conservatives unveiled a new election policy, which was about removing the GST on home heating. For those of you who remember, this used to be an NDP policy that never went anywhere. It’s populist in that its economically illiterate and won’t help those who need it most, but gives a bigger break to the wealthy. But over the past couple of days, economists have been digging into just what this entails, so I figured I would showcase some of that discussion, to get a better sense of a promise that comes with few details about implementation. (Full thread here).

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Double-Hyphen Affair developments

There was a slightly unexpected development in the Double-Hyphen Affair yesterday when the Federal Court decision on SNC-Lavalin’s request for judicial review of the Director of Public Prosecutions’ decision not to offer them a deferred prosecution agreement was released, and to the surprise of nobody who has paid the slightest bit of attention, it was denied because this isn’t something that is reviewable by the courts. So that means the prosecution goes ahead, barring the Attorney General issuing a directive that would override the DPP’s decision. In related news, here’s a deeper look at just who SNC-Lavalin was consorting with abroad, and for all of his demands for Justin Trudeau’s resignation, Andrew Scheer says he won’t introduce any non-confidence motion. Hmmm…

And because the hot takes are still coming on this, Chris Selley wonders whether there will be utility to prosecuting a company if it takes four years to even decide whether to prosecute, during which time the company has undergone an ethics and compliance overhaul. Andrew Coyne wonders why any company would bother with the courts when they can lobby as effectively as SNC-Lavalin has (but perhaps it’s because SNC just plays that game better than anyone else). Martin Patriquin supposes that Trudeau may be playing this whole Affair that will benefit him in the long term. Colby Cosh (rightly) clocks the Liberals’ supposed commitment to internationalism also taking a beating in light of the Affair given that it is centred on SNC-Lavalin’s corrupt practices in Libya.

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Roundup: No contrition

Despite the Liberals having floated that the notion that Justin Trudeau may be striking a more conciliatory tone over his handling of the Double-Hyphen Affair, when he called an early morning press conference before getting on a plane to Iqaluit (and having to turn back because of weather), Trudeau was decidedly not conciliatory. Or apologetic. But he did say that they were always learning lessons, and this too was one more of them. Of course, I’m not really sure how conciliatory he really could be – he has basically boxed himself into a corner where he can’t admit wrongdoing, because that would mean he undermined the rule of law, but he also has to look like he’s sensitive enough as to why Jody Wilson-Raybould resigned while still trying to brazen it out. It’s one hell of a juggling act, but nobody seems to be buying it. And so, while mouthing words about leadership styles and trying to put forward the notion that Wilson-Raybould didn’t come to him with her concerns where the door was open, one of his soon-to-be departing MPs, Celina Caesar-Chavannes tweeted that she tried to do so, twice, and was apparently rebuffed (and then refused all media entreaties to clarify). So there’s that.

In related content, some Indigenous and Métis leaders say that Wilson-Raybould could have effected real change had she taken over the Indigenous Services portfolio that she rebuffed. Here’s a list of outstanding questions we have after discrepancies between Wilson-Raybould’s testimony, and that of Gerald Butts and Michael Wernick. And since the opposition members of the justice committee have seen fit to recall the committee next week, they may have the opportunity to call past witnesses back…again. The National Postrounds-up the international and Quebec reactions to the ongoing story. And of course there are the premiers of Saskatchewan and Alberta (and Brad Wall) whinging that this shows special consideration for Quebec-based jobs, while conveniently ignoring that Trudeau bought a pipeline and has been shovelling federal dollars into the energy sector of late. Here’s a look at what a 10-year ban on federal contracts could mean for SCN-Lavalin, as they are now lobbying for leniency if they are convicted, and updates to the integrity framework could be flexible enough that they could avoid debarment.

In pundit reaction, Chris Selley is having none of Butts’ explanations for the Cabinet shuffle math. Jason Lietaer offers suggestions as to how Trudeau could have fixed the situation (but that would mean showing contrition, which is risky for him to do). John Geddes makes the point about how Trudeau promised not to centralise power in his office, but certainly appears to have anyway. Robert Hiltz has a hard time figuring out just what lessons Trudeau says he’s learned, given that he seems oblivious to it all.

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Roundup: Hunkering down in the PMO

The Double-Hyphen Affair took a bit of a breather yesterday, but will be back in full gear today as Gerald Butts and Michael Wernick testify at the justice committee. It will be interesting to see how they try to refute (or at least nuance) Jody Wilson-Raybould’s testimony last week, without trying to cast her as the villain or the problem. Meanwhile, Justin Trudeau cancelled an appearance in Regina yesterday and returned to Ottawa to hunker down, and his office is floating the news that he’s going to try for a more conciliatory tone – with some new lines that he tested out at the Toronto audience on Monday night. Elsewhere, Liberal MP Steve MacKinnon had to walk back his comments that SNC-Lavalin was “entitled “ to a deferred prosecution as a poor choice of words (no kidding), but said that they remain a candidate for one. More Cabinet ministers are giving their reassurances to the media, such as Chrystia Freeland did yesterday, including the assurance that yes, Trudeau is still a feminist leader. Also making the rounds was former Liberal deputy prime minister Sheila Copps, who took the aggressive line that Wilson-Raybould and Jane Philpott were unused to the rough and tumble of government because they hadn’t spent any time in opposition, and she urged Trudeau to kick them out of the party (which I think would be an even bigger mistake, but what do I know?) We also learned that David Lametti has asked for outside legal advice on “issues raised” by the current Affair – but not the question of the deferred prosecution agreement itself, in case anyone thinks this is him buckling to the kind of pressure that Wilson-Raybould was alleging.

For context, Tristin Hopper talks to a number of legal and constitutional experts about what has transpired in the Affair, and lo, this is largely a political issue that will have a political solution. Imagine that. Here’s an examination of how the playing field remains tilted against Wilson-Raybould because of her status as an Indigenous woman in what has been a field dominated by white men. Here’s a look at how the Liberals could turf Trudeau (but seriously, if you want a better discussion on this, read my book).

In pundit reaction, Susan Delacourt wonders why Trudeau keeps finding himself surprised by these recent events, particularly the resignations. Jason Markusoff warns that the Liberals appear to be gearing up to use “the other guys suck” as their campaign platform. While there is no hint of a backbench revolt (no, seriously), Kady O’Malley nevertheless games out how such a revolt could bring down the government. Philippe Lagassé expands on his previous post to talk about how this whole Affair proves that our system of parliamentary accountability is actually working. My column assesses the state of play for Trudeau, and how his way out of this Affair is going to be extremely tough to achieve.

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Roundup: The Philpott extraction

Because the government’s handling of the Double-Hyphen Affair (as I am now dubbing it) needed another bombshell, it came in the form of Treasury Board president Jane Philpott resigning, citing that she had lost confidence in the government over its handling of the Affair, and because she could no longer abide by the principles of Cabinet solidarity throughout it. It’s a rare resignation on principle, and one that causes no end of damage to Trudeau (and more importantly for his electoral chances, his brand). To lose of his most capable ministers is far harder to try and pretend is just a disagreement over semantics than he could with just Jody Wilson-Raybould off-side.

Trudeau, of course, shrugged it off at his event that evening, still showing no contrition, but he did deploy some lines about “encouraging disagreement and debate,” and that there was “important debate” about how the ministry conducts themselves, which could signal that more heads are about to roll. Maybe. But the Liberals continue to hurt themselves, as parliamentary secretary Steve MacKinnon went on the evening politics shows and made the tactical error of saying that SNC-Lavalin was entitled to a deferred prosecution agreement, because otherwise they were at a disadvantage to international competitors who were able to get such agreements form their own governments. The use of “entitled” set off everyone’s alarm bells, and one imagines he’ll be cringing about it for the next few weeks if this whole Affair carries on much longer.

For context, there have only been two – maybe three, depending – resignations on principle in recent history. Here’s a recap of Philpott’s time in politics.

In punditry, and of course there was no shortage of hot takes, Robert Hiltz wonders how much longer this whole Affair can keep going on, particularly if Trudeau keeps on his current path. Matt Gurney wishes the Liberals luck in spinning the departure (indeed, Trudeau basically shrugged it off), while Jen Gerson says that Trudeau’s handling of this Affair has turned it into an existential crisis for his government. Paul Wells takes it a step further, pairing this with the shenanigans going on in Queen’s Park with the firing of the deputy OPP commissioner, and wonders if the culture of respect for the rule of law is being eroded in this country, sacrificed at the altar of political expediency. (This after Wells also accused Trudeau of essentially being a phony, not governing in the way he presents himself to the world). Chantal Hébert ponders whether Trudeau is capable of raising his game after the past three weeks. Susan Delacourt points out that the way this has played out is so different from previous departures that it leaves Trudeau without any kind of guidebook, and makes the added observation that women are changing politics – but not in the way that Trudeau expected.

In advance of this all, however, Andrew Coyne penned another one of his missives about this Affair, decrying that the system hasn’t worked because it was up to one woman to keep the system intact. Philippe Lagassé pushes back against this particular depiction, and I’m Team Phil on this one.

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Roundup: A plan to run again

In her first media remarks since her testimony to the justice committee last week, Jody Wilson-Raybould told her local newspaper that she feels “overwhelmed and grateful” for the response from thousands of Canadians over the past week, and that she fully intends to run again for the Liberals in the fall. Mind you, people keep asking Trudeau if he’ll let her stay in caucus, and he says he’s still thinking about it, but Wilson-Raybould did secure her nomination last year. Granted, things have changed in the time since, and her riding association may feel differently about her now than they did then, which is certainly one danger from holding nominations too soon. This said, it’s a bit of a dilemma for Trudeau, who likely feels pressure from MPs who feel betrayed by her – though, as John Geddes discusses in this examination of the situation, it has been remarkably free of acrimony compared to previous examples of exits. Trudeau likely also feels the need to appear magnanimous and that there is room for dissent in the Liberal party. Of course, there was already one columnist who said over the weekend that if Trudeau lets her stay in, he appears weak – because why bother having a whip that enforces caucus discipline when you have the media to do it for you? Cripes.

Meanwhile, David Lametti says there may be contexts where it may be appropriate for a government to interfere in a criminal prosecution, but because it’s a TV interview, he didn’t explore that further, and that will likely be spun completely. It’s also being noted in Halifax that Lametti ordered a new trial for a Halifax man who was found to be falsely convicted for a murder he didn’t commit, but that Wilson-Raybould sat on the recommendation for a new trial for a year-and-a-half, whereas Lametti ordered the retrial within a month-and-a-half (and that re-trial lasted five minutes because the Crown had no evidence to offer).

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