Key officials in the government of former prime minister Jean Chrétien were at the heart of the federal sponsorship scandal, but Prime Minister Paul Martin is not at fault, Justice John Gomery said in his report on Tuesday.

Chrétien is partly to blame for the scandal, which erupted last winter with the release of the report by Auditor General Sheila Fraser.

Gomery lays most of the blame with Chrétien's chief of staff, Jean Pelletier.

Prime Minister Paul Martin (CP file photo)

Gomery sent a copy of his first report to Martin on Monday evening, giving him 16-hours lead time before releasing it to the Canadian public.

The Liberal government of then Prime Minister Jean Chrétien spent $250 million to promote national unity in Quebec. In her February 2004 report, Fraser said an estimated $100 million in commissions in relation to the program went to Liberal-friendly ad agencies for little or no work.

Chrétien has received what is called a Section 13, or a warning letter from the commission there might be a negative finding against him. If so, sources say he might pursue action in Federal Court to clear his name.

Justice John Gomery (CP file photo)

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Martin hasn't received a Section 13, but the Conservatives say he can't escape blame.

"It's political blame, that's what is important here. Canadians will get their ultimate say and they will be the ones who will render a final judgment on Mr. Martin and the Liberal party. There's no separating the two," said Conservative deputy leader Peter MacKay.

The opposition parties, however, won't have access to the contents until Tuesday morning, through their lawyers.

Public opinion polls show Canadians may be growing weary of the affair, but Tuesday's release of the report is likely to revive their interest.

Political watchers say the effect is hard to predict outside of Quebec where the impact has been greatest.

"I think what people expect of Judge Gomery is a perspective between all of these testimonies, many of them contradicting one another," said Foreign Affairs Minister Pierre Pettigrew.

David Mitchell, from the University of Ottawa, says Gomery's reports will have a lasting effect on how government is run.

"Depending on how far he goes with his recommendations this could have a big impact on how politics is managed and how government exercises its authority in the decades to come," said Mitchell.

Others say the real impact of the scandal won't be in the political realm at all, but in the public service.

Arthur Kroeger, an expert in public policy, notes a recent plan by Treasury Board will boost the number of independent auditors and create a new web of accounting practices. But he says no matter how many rules you have in place, if the highest politicians want to break them, they can.

"It's a little like putting three more bolts on the front door when all the business is being transacted through the back window. The auditor general didn't say there were no rules, she said all the rules were broken," said Kroeger.

Gomery cannot issue findings that can lead to criminal charges but his conclusions could certainly damage reputations.

Martin will hold a news conference on Tuesday afternoon to respond to the report.

Justice Gomery is scheduled to release his report in two parts. The first part, which will lay blame for the scandal, is due out on Tuesday at 10 a.m ET. The second part, which will recommend fixes, will arrive in February of 2006.