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Libya, pay a fairly hefty $280 million fine over five years, and all of the rest of the charges they were facing were withdrawn, and they wouldn’t face debarment from future contract work for governments.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).