Roundup: SNC-Lavalin gets a plea bargain

In an unexpected development yesterday, we learned that SNC-Lavalin took a plea deal from the courts – that one of their divisions would plead guilty for fraud over $5000 in connection to their dubious activities in Libya, pay a fairly hefty $280 million fine over five years, and all of the rest of the charges they were facing were withdrawn, and they wouldn’t face debarment from future contract work for governments. In other words, they largely got what they wanted with the Deferred Prosecution Agreement/Remediation Agreement that they had been agitating and lobbying for, and which spun off the whole Double-Hyphen Affair in the first place.

Could of things – first of all, DPAs are not “get out of jail free” cards like they have often been described as. Had SNC-Lavalin been granted the DPA, they would have had to agreed that they committed wrongdoing, paid a fine which would have included remediation for the wronged parties, and would have a structured monitoring regime put into place to ensure better governance going forward, and it wouldn’t have protected any of their executives from future prosecution. One particular law professor, Jennifer Quaid, noted that even though they weren’t a good candidate for a DPA, it would have actually been more transparent than the plea bargain that they wound up with, there is no guarantee of remediation to wronged parties, and it’s unlikely there will be the same structure imposed, so maybe, just maybe, the DPA was the better plan in the first place.

Jody Wilson-Raybould tweeted out in response that the system worked, while Justin Trudeau said in an interview that he may have acted differently had he known this would have been the outcome, but he was trying to do the best he could at the time. And there are certain people screaming about prosecutorial independence, but I keep going back to the conversation that Wilson-Raybould taped with Michael Wernick, and so much of it was them talking past one another – him looking for an explanation and her not providing one until the end of the conversation when she said that she gave a report to PMO months prior, to which Wernick said “That’s news to me.” This key exchange was completely glossed over in most of the reporting because they fell instead for the juicy quotes that Wilson-Raybould had set up in conducting the conversation the way she did. So much of the communications and relationship breakdown is on full display in that call. (That being said, I remain deeply troubled with how much SNC-Lavalin was stage-managing the legislative process around the DPAs, even if lawyers in the field had been demanding that legislation for a decade because we were behind our comparable Western allies in making these kinds of arrangements available).

Meanwhile, certain journalists want to insist that this doesn’t mean that the story is over because parliamentary committees. Erm, except they would need the support of the Bloc to push forward with them, and they have explicitly stated that they have no interest in doing so. (Also, I am a bit concerned that Elizabeth May was conspiracy theorizing over Twitter regarding who this plea deal is “protecting.”)

On a related note, Wilson-Raybould was chosen by The Canadian Press as their Newsmaker of the Year, and make news she certainly did (and still does).

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Roundup: Kenney’s shock-and-awe tour

Jason Kenney is in town on his shock-and-awe tour, with eight ministers and countless staff in tow, intent on making the province’s “Fair Deal” case to their federal counterparts – while those federal ministers smile and nod and say “yes, dear.” Meanwhile, certain credulous journalists and columnists are swallowing Kenney’s presentation whole, as he brings charts and graphs and rattles off figures that they don’t bother to question, never mind that he has a well-known and well documented propensity for lying with these very same facts and figures – and then gets terribly indignant if you call him on it, and will keep reiterating them, bulldozing over his doubters. And we’re going to get even more of that during the media rounds later today – mark my words.

To that end, Kenney’s ever-evolving list of demands continue to be largely unreasonable (as said credulous journalists and pundits nod and say “They’re perfectly reasonable” when they’re not) – things like demanding a solid timeline for the completion of the Trans Mountain pipeline (impossible if there are further court challenges, and Kenney is lying when he says there are mechanisms), along with bringing in First Nations as equity partners (there is little point until the project is completed, which was the whole point of buying the pipeline in the first place – to adequately de-risk it); his $2.4 billion demand for “fiscal stabilization,” some of which he plans to put into remediating orphan wells (never mind the Supreme Court has ruled that these are the responsibility of the companies who owned them); substantial repeals of environmental legislation (because the failed system under Harper that only resulted in litigation worked so well); changing rules so that oil and gas companies can raise revenues (reminder: flow-through shares are de facto federal subsidies); and recognising Alberta’s efforts at methane reduction (I’m going with “trust, but verify” on this one, because Kenney likes to lie about the province’s other carbon reduction efforts). So yeah – “perfectly reasonable.” Sure, Jan.

Bill Morneau, for his part, says he’s willing to talk to his provincial counterparts at their upcoming meeting about fiscal stabilization, but isn’t making promises. While the premiers all signed onto this notion at the Council of the Federation meeting last week, it was because it’s federal dollars and not dealing with equalization which could affect their bottom lines – and Kenney’s supposedly “conciliatory” tone in which he says he’s willing to accept fiscal stabilization changes over equalization is likely a combination of the realization that he’s getting to traction from the other premiers, whose support he would need to make any changes, and the fact that Trudeau publicly called Scott Moe’s bluff on equalization reform when he said that if Moe can bring a proposal forward signed off on by all of the premiers then they would discuss it – something that isn’t going to happen. This all having been said, it also sounds a lot like Kenney wants the rest of Canada to bankroll the province for their decision not to implement a modest sales tax which would not only have solved their deficit but would have provided them with the fiscal stability to help weather the current economic hard times – but that’s an inconvenient narrative. Better to drum up a fake separatist threat and try to play the hero instead.

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QP: New measures not mentioned in the Speech

The first Monday of the new Parliament, and the prime minister was present but Andrew Scheer was not. That left Leona Alleslev to lead off in French, and she lamented the reported job losses from last month, and demanded a new economic statement with new measures and a balanced budget. Justin Trudeau responded that the first thing they did in 2015 was cut taxes and they were doing so again, and they were supporting Canadians and the economy. Alleslev read the same question in English, and got the same response. Alleslev read more doom, saying that the country was on the verge of recession (reminder: Not according to the Bank of Canada), and Trudeau reminded her of the plan to invest in Canadians, which is what they would continue to do. Erin O’Toole was up next, demanding retaliation against China for the two detained Canadians, being the one-year anniversary of their captivity. Trudeau assured the House that they were continuing to engage the Chinese, and that he had spoken to President Xi directly. O’Toole then raised the protests in Hong Kong, and Trudeau spoke about their support for the one-country two-systems principles and reiterated their calls for de-escalation. Yves-François Blanchet asked about healthcare, and Trudeau responded in general platitudes about the system, and they went for a second round of the same. Jagmeet Singh was up next, and in his new style of alternate French and English sentences, demanded that the upcoming tax cut be more targeted in order to use the savings to pay for national dental care, and Trudeau reminded him of how many people the tax cut would help. Singh demanded increased health transfers, to which Trudeau reminded him that they had worked with the provinces to target specific needs in the last parliament and they would continue to do so in this one.

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QP: Begun, this 43rd Parliament has

The first Question Period of the 43rd Parliament just happened to be on a Friday, and for the first time in my memory, all of the leaders were present. The PM at Friday QP? Unheard of! And yet, here we are. Andrew Scheer led off in French, mini-lectern reliably on his desk, and he raised this morning’s job numbers and the 71,000 reported job losses, calling it a “crisis.” Justin Trudeau, without script, told him that their plan was about creating jobs and investing. Scheer tried again in English, and Trudeau made points particularly related to the jobs created by the construction of the Trans Mountain pipeline. Scheer insisted that other countries were increasing investments in natural resources, and Trudeau reminded him that blaming foreign activists didn’t get pipelines built. Scheer said that of all the divisions in the country that Trudeau allegedly created, he stated that provincial premiers were united in opposition to Bill C-69, and Trudeau reminded him that the previous Harper environmental regime didn’t work and singled out two projects that continue to face delays. Scheer then worried about a vote around Israel at the UN that he called “anti-Israel,” to which Trudeau took up a script to reiterate the country’s support for Israel. Yves-François Blanchet was up for his federal debut to worry that the government ignored the call by premiers to increase health transfers to the provinces. Trudeau responded that they had committed to some increases related to getting people family doctors and implementing pharmacare. Blanchet then demanded that provincial environmental assessments get priority over federal ones, to which Trudeau spoke about partnerships on the environment. Jagmeet Singh led off for the NDP, and concern trolled that the prime minister was not brave enough to stand up to pharmaceutical companies and implement pharmacare. Trudeau, without notes, said that they were committed to pharmacare but it was an area of provincial jurisdiction and needed negotiation. Switching between English and French in the same question, Singh demanded the government stop taking Indigenous children to court, and Trudeau assured him they were committed to compensation.

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Roundup: A security incident?

While Jagmeet Singh went to Toronto and Brampton to hold “get out the vote” parties with the advance polls open, and promising to find new jobs for oilsands workers, Andrew Scheer was similarly in Burnaby where he outlined his priorities for his first 100 days in office – should he win the election – and named the co-chairs of the committee he plans to use to cut corporate welfare (which seems a bit presumptuous).

Justin Trudeau held a rally in Mississauga, which wound up starting 90 minutes late and when it did happen, Trudeau was surrounded by visible security and was wearing a bulletproof vest – and his wife was not on stage with him as had been planned. The party later did say that there was a security issue, but everyone was fairly vague about the whole thing, which is not unsurprising, but still alarming, particularly given that we have yet to see clear denunciations of threats of violence against the prime minister from those federal and provincial leaders who have been stirring up a great deal of anger for political gain, and who have put forward this notion that Trudeau is deliberately destroying the country.

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Roundup: Secrecy and sticking with damaged goods

It’s (English) debate day, which means that it will be a low-key day as leaders are busy with debate prep. Yesterday, Andrew Scheer took the day off, while Justin Trudeau went to Plainfield, Ontario, to plant another tree, which I suspect will be the new go-to photo-op of the campaign. There, he accused Scheer of keeping his full platform and costs secret ahead of the debates, and compared him to Doug Ford given Ford’s lack of a platform during the Ontario election. During a later media availability, he said that he was sticking with the Cape Breton candidate despite his past racist and misogynist posts because he had apologised (which is the standard that most everyone has since adopted in this election).

As for Jagmeet Singh, he was campaigning at a farmer’s market in Ottawa with Ed Broadbent.

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QP: The Mark Norman conspiracy theories get airtime

While Justin Trudeau was in town, he was not in QP today for some reason, while every other leader was. That also meant no proto-PMQs today, so take that for what you will. Andrew Scheer led off, wondering why anyone who says no to the prime minister winds up with a target on his back. David Lametti knew exactly what this referred to — the stay of prosecution in the Mark Norman case — and stated that the Public Prosecution Service made its own decisions to prosecute and stay the proceedings. Scheer spun a wild conspiracy theory and wondered what was so damaging in the documents, while Lametti assured him that all documents were disclosed and the Public Prosecution Service was independent. Scheer switched to French to accuse the government of scapegoating Norman, and Lametti repeated his assurances in French. Scheer switched to English to say it was too bad that Trudeau didn’t have the fortitude to answer the questions himself, and Lametti repeated his response in French. Scheer repeated that Trudeau didn’t have the backbone or fortitude to answer for this, and accused them of trying to interfere in the case. Lametti kept up his response in French to assure him that there was no role for the Privy Council in this affair. Jagmeet Singh was up next, and he worried about the loss of biodiversity and the apparent lack of action. Catherine McKenna assured him that they were engaged, not only domestically by protecting more areas, but also internationally. Singh switched to French to lament the plan to go ahead with Trans Mountain, to which Patty Hajdu assured him that they were carrying forward with meaningful Indigenous consultations. Singh then raised the Norman trial, alleging PMO interference, and Lametti repeated that the government played no role in the prosecution. Singh repeated the allegation in English and demanded an independent investigation into the matter. Lametti repeated that there was no interference, and that the Director of Public Prosecutions stated so herself.

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Roundup: Beating one’s chest over China

The current dispute with China doesn’t seem to be getting better, as the canola issue is apparently about to be compounded with things like soybeans and peas, and word has it that the Chinese government has been compiling a list of Canadian targets within the country that could face further retaliation, because we all know that this is about the arrest and extradition of Meng Wanzhou. While Trudeau says that more help for canola farmers is coming “in a few days,” China is taking its time in visa approvals for the scientific delegation Canada is trying to send in order to get answers from them on the supposed pests they found in our canola shipments.

Enter Andrew Scheer, who has declared that Justin Trudeau hasn’t done enough, and he demanded that a new ambassador be appointed (because that can happen at the drop of a hat), that the government launch a trade complaint against China at the WTO, and that the government pull its investment from the Asian Infrastructure Bank (never mind that Canadian companies are starting to win bids through it). Because beating one’s chest is obviously the way to deal with China, and there would be no possible consequences for doing so.

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One gets the impression from watching this that Scheer – or whoever is advising him – has no serious ideas for how to deal with complex situations like this. I mean, Scheer has also insisted that he somehow could have gotten a better New NAFTA deal and that he could have somehow gotten the steel and aluminium tariffs lifted by now, which is ridiculous, and yet here he is, demonstrating how “serious” he is about foreign policy, this time with China. Even more risible is the way in which he characterises the current government’s position as “appeasement.” Erm, except appeasement would have meant that they would have freed Meng by now, or did that “crafty” thing about warning her before she could have been arrested so that she could have avoided the trip altogether (as certain former political players in this town later told the media that the government should have done). You would think that the person who wants to lead the country would try to be a bit more serious about his foreign policy, but this is where we are.

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Roundup: A trio of justice issues

There were three major law-related stories in the news yesterday, starting with the announcement that Supreme Court of Canada Justice Clement Gascon has opted to retire early, citing “personal and family reasons.” This was quickly followed by Justin Trudeau announcing that a replacement process would be launched, and would again be headed by Kim Campbell, while the Conservatives followed a few hours later with a demand that this process not go ahead until the leak from the previous process was investigated (though the Privacy Commissioner is already on that case). The thing to remember of course is that there is something of a deadline here, being the election, and it’s more than possible that the Conservatives want this delayed so that they have the possibility of naming the next judge if they should happen to form government in October. For what it’s worth.

The second story was that of the carbon tax reference at the Ontario Court of Appeal, which was live-streamed for the first time in its history. The province’s argument apparently is that if the federal government is allowed to impose a carbon tax, that they’ll start intruding into other areas of provincial jurisdiction, which is…dubious. And it sounds like the judges weren’t having much of that line of reasoning either.

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The third law story of the day was the revelation that the directive around civil litigation involving Indigenous people that Jody Wilson-Raybould instituted as one of her last acts as justice minister has been fiercely contested within the department because it many cases, it amounts to litigating badly and not actually getting the courts to resolve the legal questions that are at issue, which they argue doesn’t actually help reconciliation because you’re not dealing with underlying issues that require resolution. The piece also noted the frequent and direct political interference that Wilson-Raybould exerted on civil litigation (which she can do as Attorney General, unlike the arm’s length nature of criminal prosecutions), sometimes undermining the arguments that Crown attorneys were trying to advance in the middle of cases. It’s fascinating reading and yet more insight into what was going on with Wilson-Raybould in the lead up to her being shuffled.

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Roundup: Foreign policy complacency

There has been some musing of late about Canada’s place in the world, and a couple of things jumped out at me. First is Paul Wells’ most recent column, which responds to a Globe and Mailop-ed from a former trade negotiator that wrings its hands at the way the current government is handling China. As Wells points out, said former negotiator is all over the map in terms of contradictory advice, but most gallingly, suggests that we break our extradition treaty with our largest and closest ally in order to appease China. And Wells quite properly boggles at this suggestion we break our treaty, while at the same time taking a moment to reflect on how there is a different way in which Ottawa seems to operate when it comes to these matters, particularly in an era where major corporations with investments in China are no longer calling the shots by way of political financing.

At the same time, Stephanie Carvin makes some particularly poignant observations about Canada’s foreign policy complacency in this era of the Americans retreating from their obligations on the world stage (never mind the Brexit-mired UK). We talk a good game, but have no follow-through, and in the past, she has quite rightly pointed to the fact that we won’t invest in the kinds of things we talk about the importance of globally (most especially “feminist” foreign aid). The government’s actions in Mali are another decent example – putting on a big song and dance about how important it is we go there, spend a few months there doing low-risk medevac, and then refuse to extend the mission for a few extra months so that our replacements can get properly established, meaning there will be a gap in services there.

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I do have to wonder about some of the crossover between what Wells and Carvin are talking about – that Wells points to the rise of crowd-pleasing populism freeing governments from the go-along-to-get-along complacency, but Carvin points to the fact that we are not actually free of that complacency, though perhaps there are different sorts of complacency that we are grappling with when it comes to our place on the world stage. Something to think about in any case.

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