Inside Politics

UPDATED: NDP claims "gaping hole" in conflict of interest laws

by Kady O'Malley Posted: September 19, 2012 5:35 PM Last Updated: September 20, 2012 7:00 AM
Courtesy of the Canadian Press, we learn that Ethics Commissioner Mary Dawson has rebuffed a request that she wade into the controversy surrounding a series of appointments to the recently created Oshawa Port Authority, which included several seemingly well connected Conservative supporters, including the former president of Finance Minister Jim Flaherty's riding association. 

(For more background, you can read NDP MP Olivia Chow's letter to the ethics commissioner here, which was sent with the full support of Oshawa's mayor and city council.) 

In her letter to the minister, Dawson stated that NDP transport critic Olivia Chow had failed to establish "reasonable grounds to believe" that Flaherty had breached the Conflict of Interest Act, as her complaint made no reference to any action taken by the minister himself. 

"It is not in my mandate to review government processes in general," the commissioner noted.  

The full text of that letter, which was provided by Flaherty's office:

Dear Minister: 

I am writing to you in relation to a letter that Ms. Olivia Chow, Member of Parliament for Trinity--Spadina, wrote to me on August 29, 2012. 

In her letter Ms. Chow raises concerns related to you in connection with the creation of the Oshawa Port Authority, the appointments of members of its Board of Directors and the subsequent approval of the construction of an ethanol refinery on the Oshawa waterfront. In particular, Ms. Chow writes that several members of the Board and two individuals associated with the refinery were afforded preferential treatment, given their relationship with you. 

As Ms. Chow has made her concerns and her request public, I am informing you of my response to her. 

I informed Ms. Chow that it is not in my mandate to review government processes in general, and that I could only do so if there were reasonable grounds to support allegations of a contravention of the Conflict of Interest Act (Act). I advised Ms. Chow that her letter did not set out reasonable grounds to believe that you had contravened the Act, as required by section 44. The letter did not describe any actions taken by you in connection with this matter. I informed her that I would therefore not commence an examination under the Act at this time. 

Sincerely, 
Mary Dawson 
Conflict of Interest and Ethics Commissioner



UPDATE: Although her office wasn't able to release the letter itself, here's a statement on Chow on the commissioner's decision not to proceed with an investigation:

There is a gaping loop hole in the Accountability Act. The Conflict of Interest and Ethics Commissioner has no "mandate to review the government appointment process."‬

‪All appointments are done in secret in an unaccountable fashion, therefore we can't prove what private action was taken for the appointments of Jim Flaherty's friends on the board of the Oshawa Port Authority.‬

‪The government appointment process is broken and leads to rewards given to insider friends. That's why the NDP insists on toughening the Act and put in place an open and transparent process. All federal appointments should be done through an arms-length agency to avoid all potential conflicts of interest and to ensure the best person gets the job.‬


Flaherty spokesperson Chisholm Pothier added this:

 We always believed this was a baseless politically-motivated smear, and the ethics commissioner's response bears this out. We're not at all surprised by this outcome.


Tags: blackberry jungle, ethics commissioner mary dawson, olivia chow, oshawa port authority