The Globe and Mail - 11.09.2019

(Dana P.) #1

WEDNESDAY,SEPTEMBER11,2019| THEGLOBEANDMAILO A


Prime Minister Justin Trudeau is
scheduled to go to Rideau Hall
Wednesday to ask the Governor-
General to dissolve Parliament
and call the vote for Oct. 21, and
the RCMP has a policy to sus-
pend politically sensitive oper-
ations during campaigns.
Justice Department spokes-
man Ian McLeod said the deci-
sion not to offer a broader waiver
for the RCMP “was made solely
by the Clerk of the Privy Council
as guardian of cabinet confidenc-
es.” Mr. Trudeau’s director of
communications, Cameron Ah-
mad, said the PMO was not in-
volved in the decision.
Ethics Commissioner Mario
Dion faced the same obstacle as
the RCMP in his investigation in-
to the SNC-Lavalin affair earlier
this year, stating in his final re-
port that nine witnesses were
unable to provide full testimony
becausegovernment allowed on-
ly a limited waiver on cabinet se-
crecy.
Mr. Dion found that Mr. Tru-
deau breached the Conflict of In-
terest Act. His report said the
Prime Minister and senior feder-
al officials improperly pressed
Jody Wilson-Raybould when she
was justice minister and attor-
ney-general to order the director
of public prosecutions to settle
bribery and fraud charges
against SNC-Lavalin without a
trial.
The Department of Justice
confirmed Tuesday that the
RCMP received “the same access
to cabinet confidences and privi-
leged information” as the Ethics
Commissioner and the justice
committee of the House.
An order in council dated Feb.
25 offered a waiver to Ms. Wilson-
Raybould and “any persons who
directly participated in discus-
sions with her” about the prose-
cution of SNC-Lavalin during her
time as attorney-general. She


was moved to Veterans Affairs on
Jan. 14. The waiver allowed Ms.
Wilson-Raybould to talk to the
justice committee and the Ethics
Commissioner, but did not ex-
tend further.
The Ethics Commissioner’s re-
port said a number of discus-
sions between members of the
PMO, ministerial staffers and of-
ficials at SNC-Lavalin were con-
ducted without Ms. Wilson-Ray-
bould’s knowledge, and there-
fore were not covered by the
waiver. The former minister is
running as an Independent in
the riding of Vancouver-Gran-
ville.
The RCMP has not officially
launched a criminal investiga-
tion. The police force has said it
is “examining this matter care-
fully with all available informa-
tion.” The examination is in the
hands of the RCMP’s national di-
vision, which is in charge of sen-
sitive cases.
Last month, Conservative

Leader Andrew Scheer said “sig-
nificant grounds” existed for an
investigation into whether Mr.
Trudeau’s action constituted ob-
structing justice.
Former RCMP commissioner
Bob Paulson, who retired in 2017,
said it will be difficult for the
Mounties to complete their ex-
amination unlessthe govern-
ment waives cabinet confiden-
tiality entirely.
“The government is entitled to
assert privilege ...” Mr. Paulson
said in an interview. “If [the
RCMP] were serious enough,
they could probably get a search
warrant, but that would proba-
bly be shot down by the courts.
The privilege is pretty strong at
the cabinet level. I have not had
an experience where we suc-
ceeded in getting cabinet docu-
ments that the government
didn’t want us to have.”
He added: “In my experience,
particularly, cabinet privilege is
overasserted and I guess more

ducting a full investigation be-
cause nine witnesses were pre-
vented from sharing information
they felt was relevant. “In the
present examination, I have
gathered sufficient factual infor-
mation to properly determine
the matter on its merits,” he
wrote. “Because of my inability
to access all cabinet confidences
related to the matter, I must,
however, report that I was un-
able to fully discharge the inves-
tigatory duties conferred upon
me by the [Conflict of Interest]
Act.”
These nine people, whom he
did not identify, told him reveal-
ing this information would
breach cabinet confidentiality.
The Privy Council rejected Mr.
Dion’s request for a waiver.
A lawyer for Mr. Trudeau told
Mr. Dion the Prime Minister
played no role in Privy Council
Clerk Ian Shugart’s decision to
deny the request.
Still, Mr. Trudeau has publicly
supported the decision. “The de-
cision by the Privy Council to not
further extend into less relevant
or non-relevant elements of cab-
inet confidentiality or solicitor-
client privilege is an important
one that maintains the integrity
of our institutions and our ca-
pacity to function as a govern-
ment without setting trouble-
some or worrisome precedents,”
he said last month.
Mr. Paulson said RCMP inves-
tigators are entitled to talk to any
witnesses, but can’t they compel
people to talk to them if the gov-
ernment refused to waive cabi-
net confidentiality.
“It is up to the people to either
assert privilege or decline to talk
to us. My philosophy has been to
be aggressive in pursuing the
people who had information and
then having them assert whatev-
er reason they had not to talk to
us,” he said. “The witnesses gen-
erally talk to police unless they
were protecting privilege.”

widely applied than it deserved.”
Mr. Paulson, who said he has
no information on the RCMP
probe, said it makes sense that
the Mounties would focus on ob-
struction of justice.
“It strikes me there is suffi-
cient information to be pur-
sued,” he said. “One need to only
read the section [of the Criminal
Code] on the elements of the of-
fence and to put that against
what the public record is and I
think you have something that
needs to be explored.”
Mr. Paulson said the RCMP
brought in new rules after an in-
vestigation came to light during
the 2005-06 election campaign
that may have contributed to the
defeat of theLiberalgovernment
of Paul Martin. During the cam-
paign, the RCMP sent a letter to
the NDP saying it would conduct
a criminal probe into allegations
that Liberals leaked information
to the financial markets on how
they intended to handle the tax-
ation of income trusts.
The force later announced
that it would avoid discussing
criminal investigations during
election campaigns.
“We have a sensitive investiga-
tion policy that addresses this
very thing. If the writ is dropped
and particularly during the writ
period – unless there is some
compelling public reason to
keep investigating – they are not
going to keep investigating. Cer-
tainly if they are, they would be
wise to just shut up about it,” Mr.
Paulson said.
The RCMP started looking into
the SNC-Lavalin issue after The
Globe revealed on Feb. 7 that of-
ficials in the PMO put pressure
on Ms. Wilson-Raybould to order
prosecutors to negotiate a de-
ferred prosecution agreement in
the case, which would avoid a
trial in exchange for a financial
settlement.
In his report, Mr. Dion said he
had been hampered from con-

SNC:Cabinetprivilegeis‘overasserted,’formerRCMPcommissionersays


JustinTrudeau,seeninOttawainMarch,andhisofficemaintainthatthe
PrimeMinisterplayednoroleinthePrivyCouncilClerk’sdecisionto
denybroadwaiversofcabinetconfidentialitytoeithertheRCMPorthe
EthicsCommissioner.BLAIRGABLE/THEGLOBEANDMAIL

FROMA

NEWS |

NEWYORKThe recent drop in
long-term bond yields below
shorter ones in key sovereign
bond markets is not “a vote of
confidence” in the economic
outlook, the head of the Bank of
England said on Tuesday.
While it is easier now to
invert developed countries’ yield
curves than it had been previ-
ously, it is still no positive signal
for the economy, Bank of En-


gland Governor Mark Carney
said at an event in New York.
Yield curves in the United
States and Britain inverted for a
while in the last month. In the
U.S. case, the phenomenon has
stood as a reliable precursor to
economic recession, although its
track record is less consistent
elsewhere.
Mr. Carney, speaking a day
after the British Parliament

blocked Prime Minister Boris
Johnson’s latest bid for early
elections there amid the contin-
uing Brexit standoff, also said
business investment in Britain is
tracking at a 25-per-cent slower
pace than it was before the 2016
Brexit referendum.
The central bank official also
spoke about the extent to which
Brexit could affect the British
economy, adding that he would

expect inflation to rise and
growth to slow if Britain departs
from the European Union with-
out a deal. Mr. Carney said that
the pound is more volatile and
said the economic impact will
depend on the final terms of
Brexit.
“Sterling volatility, as you
would know, is at emerging
market levels and it’s decoupled
from other advanced economy

pairs for obvious reasons,” he
said. “Financial markets are
going to move substantially one
way or another depending on
the outcome.”
The pound experienced wide
swings over the past there
months but volatility has come
off recent highs amid dimin-
ished chances of there being a
no-deal Brexit on Oct. 31.
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