Roundup: Fallout from the ITO

In the aftershocks of yesterday’s revelations in the ClusterDuff affair, everyone is still sorting through the pieces, trying to make sense of it all. Kady O’Malley digs into that ITO and finds three particular dangling threads in the documents that are begging for answers (and you really should read this). Aaron Wherry looks into those documents and finds the voice of sanity, Chris Montgomery – one of Marjory LeBreton’s staffers (apparently paid for out of the PCO budget, which seems to be the source of confusion for people who have said that he’s from PCO) who objected to the process and the interference of the PMO in the Senate’s operations. CBC has their own look at Montgomery in this video piece (with text from The Canadian Press). Senators on both sides of the aisle are reeling from the revelations that PMO was trying to pull the strings of the Duffy audit, because they feel strongly about the chamber’s independence – as well they should. That PMO thought that they could get away with it speaks to the level of control that this government is trying to impose on parliament as a whole, and which parliamentarians themselves should be resisting – as clearly a few in the Senate were, much to the PMO’s frustration. The RCMP are questioning the credibility of Senators LeBreton, Tkachuk and Stewart-Olsen based on their interviews with them, and the quality of that testimony. The auditors from Deloitte are going to be hauled before the Internal Economy committee in order to answer pointed questions about the independence of that audit given the revelations that Senator Gerstein was trying to influence it, though Deloitte has come out to say that there was an ethical wall around those auditors to protect their information from any leaks. As part of that revelation, Charlie Angus is casting aspersions that some of Deloitte’s other work may be politically influenced, like the audit of Attawapiskat’s books (though I’ve heard from my own contacts at Aboriginal Affairs that there are definite governance problems in that reserve). The Law Society of BC is also considering an investigation into the conduct of Benjamin Perrin, the former PMO lawyer who is also implicated in this affair.

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Roundup: Premiers still saying no to Kenney

The premiers met in Toronto yesterday, and the Canada Jobs Grant programme was again up for discussion, and it should be no great surprise that the premiers are still united in their opposition. In fact, they said that they are looking for some clear alternatives from Jason Kenney, if he is serious about there being flexibility in the programme. The premiers also wanted some clarity around foreign investment rules, never mind that Harper has previously said that he doesn’t want too much clarity in order to have wiggle room in the event that they want to block any acquisitions they find to be undesirable.

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Roundup: A record year for privacy breaches

The Privacy Commissioner tabled her annual report yesterday, including a separate audit of the Canada Revenue Agency, and it doesn’t have a lot of nice things to say – a record number of complaints, a record number of reported data breaches, and over at the CRA, lax controls allowed employees to access personal tax files for no appropriate reason.

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Roundup: Even the base doesn’t like the unfairness

The motions in the Senate around the suspension without pay of the three embattled senators remains unresolved, and the Senate will be sitting today – a rarity – in order to try to reach a resolution. As this happens, more cracks are forming within the Conservative Senate caucus, as Senator Don Plett – a former party president and not of the Red Tory wing – came out against the suspensions as being against due process and basic fairness. Oh, and if anyone says it’s about trying to please the party base, well, he is that base. Down the hall in the Commons, MP Peter Goldring also encouraged Conservative Senators to vote down the suspensions and wants the Governor General to step in if necessary. As the debate wore on, it not only touched on due process, the lack of guidelines for why this suspension was taking place, and even the definitions of what constitutes “Senate business,” which is something the Auditor General gets to grapple with. It is all raising some fundamental questions about the institution that it never really had to deal with before, and one hopes will help create a much clearer path for the Chamber going forward.

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Roundup: Duffy’s scorched earth policy

Well, that was…interesting. After Senator Carignan, the leader of the government in the Senate, spent over an hour laying out the case against Duffy, Wallin and Brazeau, and after a couple of other Senators from all sides expressed their reservations about this move and the lack of due process – let alone the setting of dubious precedents – the real bombshell dropped. Senator Duffy got up to speak to his defence, and he took the scorched earth approach, crying that he didn’t want to go along with this conspiracy “foisted” upon him, that he should have said no, that his livelihood was threatened, and that it all led back to Harper and the Senate leadership. If anything, it made it harder for Harper’s version of events to stand up to scrutiny, which the NDP spent the evening gleefully putting press release after press release about. It’s also going to make QP later today to be quite the show. Of course, what Duffy neglected to mention was his own wrongdoing. He protested that he hadn’t done anything wrong – which is not the case. Both the Deloitte audit and the subsequent RCMP investigation have shown that his residence is not, in fact, PEI, and that’s a constitutional requirement, no matter what LeBreton or Wright told him. A retired constitutional law professor from PEI says that Duffy never actually met the residency criteria, given that when the constitution says a Senator “shall be a resident of the province for which he is appointed,” and that shall means “must” in legal terms, Duffy’s qualification never was valid to begin with, which is how this whole sordid affair got started in the first place. While Duffy may be trying to play the victim, he is still under investigation, no matter that the cover-up has now become worse than the alleged crimes. The same with Brazeau, though there wasn’t really much cover-up there. We shouldn’t forget that, no matter the speeches they gave.

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Roundup: Yet another Duffy revelation

Oh, Mike Duffy. As soon as RCMP investigators started digging through his financial records, something else caught their eye – some $65,000 paid out to one of Duffy’s friends as a consultant for which the friend admits to doing little or no work. (Insert all of the wise-asses of the world joking about how that’s all a Senator does – and those wise-asses would be wrong, but I digress). But more curious is that the money that was paid out seems to also have vanished, because that friend is also on disability and couldn’t take the money without losing his benefits, and his wife and son, listed as president and director of his company, aren’t talking. Add to all of this is the look into Patrick Brazeau’s housing claims, for which his Gatineau neighbours thought he worked from home because he was there so often. They’re also investigating his tax filings, as he listed his address on his former father-in-law’s reserve even though he didn’t live there. Kady O’Malley’s search through the court affidavits and comparing them to the timeline turns up what she thinks may be references to those emails being turned over to the RCMP along with some redacted diaries.

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Roundup: Flaherty’s national regulator, take two

While the attempt to eliminate interprovincial trade barriers has been on the government’s agenda since 1867 (no, seriously), Jim Flaherty took yet another stab at creating a national securities regulator – despite being shut down by the Supreme Court the last time. This time, however, he’s not imposing a system from Ottawa – he’s working with provinces to create a “cooperative capital markets regulatory system,” that ensures that each level of government give up their own powers to this new body, and he’s got Ontario and BC signed on, meaning it has oversight over some 90 percent of industry in the country already. While most other provinces will likely come aboard in short order, Quebec and Alberta remain opposed for the time being. It will likely be discussed further this weekend at a federal-provincial finance ministers’ meeting. John Geddes looks at Flaherty’s journey to this point, while economist Stephen Gordon points out that our patchwork of regulations may not be our biggest problem – but a national regulator can’t hurt.

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Roundup: Another heavyweight for Trudeau

Justin Trudeau announced a new advisory council yesterday, co-chaired by MP Marc Garneau and retired General Andrew Leslie, former commander of the Canadian Land Forces Command, and later the author of a report on how to best transform the Canadian Forces in an era of fiscal restraint (most of which has yet to be implemented). Leslie noted that his decision to become a Liberal was cemented last week when Trudeau was the only leader to come out unequivocally against the Quebec Charter of Values, and he certainly puts a big dent in the Conservative claim that the Liberals are bad for the armed forces. Leslie is also considering a run for a seat in the next election, but his high-profile role at this point is a signal that Trudeau is gathering some heavy-weights to his team, which will bolster his credentials in advance of the next election.

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Roundup: A refresher course in open nominations

Nomination races are the backbone of our democratic system, yet are probably the least understood component – thanks of course to a pretty shite job of civic education in this country that does little to teach people about it. And as Alice Funke of Pundit’s Guide points out, we’ve been out of the habit of proper open nomination races in this country since about 2004 (blame the period of minority governments and the need to be “election ready” that protected incumbents), which means that these particular democratic muscles in the Canadian electorate have become pretty flabby. Fortunately, she’s penned a fantastic guide about getting back into shape, which everyone needs to read. And no, I’m not kidding – everyone needs to read this. Okay? Good.

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Roundup: The PBO and parliamentary fixes

In this week’s Maclean’s, Aaron Wherry talks to Kevin Page about his new job at the University of Ottawa. In a separate but related piece, he talks to parliamentary scholar Donald Savoie about the PBO, and Savoie says some very cogent things about the office – that it is unnecessary because it allows MPs to fob off their homework onto someone else who can be seen as more “pure,” but it simply creates a new unaccountable personality that caters to the media rather than forcing parties to do the serious work of scrutiny and policy that they should be doing. Savoie’s solution is that parliament work to fix its own mess around the estimates process than work to fix the Parliamentary Budget Office, and it’s a position that I think is eminently more sensible if we want responsible government or the Westminster system to mean anything.

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