In a stunning twist to the Jian Ghomeshi scandal, new details emerge from the reporter who broke this story that cast doubt on the professional integrity of his investigation. On or about December 11, 2014 and after charges were laid against Ghomeshi, Jesse Brown provided a friendly interview to Ed The Sock that raises considerable issues (clip appears below).
Ed The Sock is a provocative puppet personality and a former fixture at CityTV. The character was played by Steven Kerzner who no longer stars on MuchMusic, but he maintains an obscure podcast to keep in touch with nostalgic fans. Kerzner previously ran for the Progressive Conservative Party of Ontario before supporting the NDP, as well.
With fewer than 1,200 listeners, Brown admitted numerous details he withheld from the Ghomeshi exposé, that was eventually published in conjunction with the Toronto Star. A hearty dose of laughter accompanies this discussion about Brown’s “recriminations”, that may precipitate a need to examine his involvement.
Personal & Professional Conflicts at CBC
Jesse Brown begins by confessing he is a personal friend to Kathryn Borel, the former CBC producer who alleges Ghomeshi threatened to “hate f–k” her during a business meeting at Q. It is unknown whether Brown failed to disclose his personal conflicts, or if the Toronto Star agreed to withhold the information in light of Ms. Borel’s intention to remain anonymous at the onset. Neither Brown nor the Toronto Star would respond to questions about this matter.
Not only were Brown and Borel friends, but they were also coworkers. Jesse Brown failed to disclose his relationship with CBC as a radio host, in competition with Ghomeshi, at the very time Borel confided in him about the alleged harassment. The three were CBC colleagues and Brown now admits he was the employee who didn’t come forward to report the abuse. He goes on to suggest that all men need to have this conversation, about why they remain silent as he did and what is required of men to protect women in modern times.
From Brown’s perspective and due to the shrinking pool of available jobs in journalism, he felt that reporting Ghomeshi would result in losing his position for rocking the boat and forcing CBC to confront its workplace issues. No events were mentioned to cause this apprehension, but Brown freely admits his own ambition was a factor in staying quiet, as the only person who also confesses to knowing about Borel’s predicament. Every insult and allegation leveled against Q staff and CBC producers was ultimately directed inward.
CBC Complaint & The Missing Witness
The other part of Brown’s explanation for remaining silent raises issues for the internal investigation. CBC hired an outside lawyer to determine what went wrong, because Borel claims to have submitted a complaint that was ignored by the union and broadcaster.
However, the Canadian Media Guild denied receiving a complaint that included sexual harassment allegations and CBC is under fire for failing to discover corresponding records that identify her claim. In the audio clip, Jesse Brown mentions that Borel never made a complaint and he was sworn to secrecy because she didn’t wish to come forward. He says it wasn’t his place to betray Borel’s wishes and he supported his friend by instructing her to keep notes, at least.
Brown adds there was a witness to the former producer’s allegation; but none was mentioned in the Toronto Star report, witnesses were excluded from the Ghomeshi narrative and Brown is continuing to withhold that name. Without it, neither the CBC nor the police and Ghomeshi’s lawyers can investigate.
Kathryn Borel also approached foreign press at The Guardian to finish telling her story, instead of sharing with the immediately concerned Canadian media. In her editorial, Borel adds new sexual assault allegations that accuse Ghomeshi of massaging her upper body and thrusting his private area into her backside (clothed). She claims there was a witness to this event in support of Brown’s recent interview, but doesn’t disclose that name either.
The Toronto Star and Jesse Brown declined to comment about their knowledge of Borel’s newly published allegations. It’s unknown if Borel withheld this information in her anonymous account, or if the investigating reporters withheld these details since the beginning. The more fulsome description that was published in another country isn’t aided by Brown’s confession that he “amended details” about all the women’s stories, due to his self perceived “license” to direct, craft and alter their reports.
This is also the first time a friendship between Kathryn Borel and Jesse Brown was disclosed, by the complainant and not the journalist. Furthermore, Brown admits he was the one to solicit Borel’s allegation for the news. He explains sharing her story with the other women and offering to seek his friend’s support to bolster their claims.
Based on Jesse Brown’s confession, there appears to be a conflict of interest to protect his old job while selectively blaming former colleagues and censoring the bulk of details that include his direct involvement. Ethics forbid this behaviour and the failure to disclose, but Brown admits he is new to investigative journalism and believes that online reporting is allowed to play by ‘different rules’ than the mainstream is required to uphold. These rules are understood by journalists as libel law and issues that concern truth in reporting, vetting and verification.
Were The Women Using Jesse?
In this interview with Ed The Sock, Jesse Brown elaborates on the other female complainants. He describes the initial email from the first woman and says it led to consecutive interviews with the others. Brown nor the Toronto Star would comment if the first complainant coordinated the others, or if these women approached Brown independently.
But he did accuse the females of “using him”. When Ed The Sock realized the inappropriate nature of this comment, he guided Brown to describe the event as washing each other’s hands, as opposed to being used. Brown responds by agreeing and admits his professional position was compromised, that he crossed into “sticky territory” as a supportive and friendly therapist. There were questions if the women were “pissed off”, that Brown used their friendship to obtain a story – one they didn’t wish to be told. He describes a process of having to remind the complainants about his status as a reporter, when they shared details about their relationships with Ghomeshi.
To achieve the females’ consent, Brown admits he amended details and yet there were still “certain places they didn’t want him to go”. He admits altering more than their names and “all sorts of stuff” was withheld. This suppression occurred in concert with censorship that Brown demanded, because to him this wasn’t about a sex scandal. In his license and authority to reconstruct the narrative, he admits fighting with the Toronto Star to bury and exclude information that would shift from his focus on violence and CBC as a sick institution.
Regarding acts of sexual violence, Jesse Brown reports the women questioning their memories and if they could trust their recollections. According to the interview, he describes having to “push and pull” the complainants to obtain their information and admits “media proofing” them prior to the Toronto Star‘s publication.
Strombo Equated With Ghomeshi, Levant On A Pedestal
Expanding on Brown’s view about the real problem surrounding Jian Ghomeshi, he blames the CBC for creating stars when they’ve done nothing to earn that prestige. To him, this wasn’t about the criminal charges and rather the success of talent that he doesn’t deem worthy. Brown goes on to discuss his greater performance and believes he lost his position at CBC because they’re not looking for skilled staff of his caliber.
For some time Brown rants about the employment of George Stroumboulopoulus and claims the same case can be made against him as Ghomeshi. It’s not that Brown is alleging sexual misconduct, but this drives the point home that his concerns about Ghomeshi didn’t focus on the women or the alleged assaults. To him, this was strictly about the future of CBC, his own access to employment and ratings.
It’s Ed The Sock who feels compelled to defend George Strombo and he appears surprised by Brown’s attack. The clash occurs again when Brown slurs “they could never wash the CityTV off” and then accuses CBC of poaching unmerited celebrity from competitors like MuchMusic and bands like the one Ghomeshi starred in.
To provide context, Jesse Brown lavishes Ezra Levant with admiration for his exceptional talent at pushing everyone’s buttons. Two weeks before this commentary, Levant lost an $80,000 lawsuit that was filed against him for defamation. The judge cited his “reckless disregard for the truth”, but this had no effect on Brown’s perception of successful news personalities, versus the substandard celebrity he attributes to the CBC and the vast majority of Canadian entertainment.
Politics & Jeffrey Dvorkin
In another interview with J-Source that slightly pre-dates the Ghomeshi story, Brown describes himself as a bitter and disgruntled, ex-employee of the CBC. He says Canadaland was losing money and the show’s more generous sponsorship had come to an end. At the midpoint of a Ghomeshi investigation, Brown told The Walrus he was struggling so badly that filmmakers and comedy writers were being added to cover the gap in entertainment. He felt the podcast had become poisonous to his connections and career.
These commentaries span a few months and mere weeks before the Ghomeshi story broke, he lamented about a need for stable funding to continue. Brown attributes some optimism to daily encouragement he received from other journalists, specifically naming Jeffrey Dvorkin.
Dvorkin hails from Calgary, Alberta and now serves as the Director of Journalism at the University of Toronto. Before that, he held positions in Canada at CBC Radio and on the stateside at NPR. In 2010, he accepted an assignment from the U.S. Department of State, to lecture Niger and Guinea on the role of press in elections. This was followed by a similar mission to teach Turkish reporters about their powers in 2011, despite the widespread incarceration of journalists and a government-media scandal that ensued.
Dvorkin is also a major force behind the push to remove CBC from television airwaves, converting solely to internet production and the often debated Canadian Netflix. He was making this case at the same time Jesse Brown began the Ghomeshi investigation.
Before any news about the sexual allegations surfaced, Dvorkin appeared on Canadaland to encourage support for the dismantling and reconstruction of CBC. During this interview with Jesse Brown, Dvorkin scoffs at senior CBC staff for suggesting that Justin Trudeau’s Liberals would restore funding to cure their ills. He closes by citing cuts from Liberal governments as the reason he left CBC for greener pastures in the United States.
This viewpoint appears to influence Jesse Brown’s position, as heard in the audio clip with Ed The Sock. At length, he parrots the same talking points and goes on to assert the CRTC should plan for obsolescence too. This rant is peppered with much criticism for Canadian talent and programming, with a dig at ACTRA forming part of the exchange.
It should be noted that Lucy DeCoutere, one of the Ghomeshi complainants, is also one of these Canadian actors that Brown carelessly disparages with gusto, in addition to his description of feeling used.
Friends & Eyes Wide Shut
Less known is Brown’s entry into the lucrative tech business, as the co-creator of Bitstrips. This app was once popular on social media and allows users to express their lives in cartoon caricature versions of themselves. It’s still popular in the school system and the company received a $3 million investment, but articles about Bitstrips fail to mention Brown and he’s the only source to assert this relationship. He declined to answer questions from FreeThePressCanada about this issue.
In his other pursuits, Brown’s investigation of Ghomeshi benefited from an allegation that arose from Professor Jeremy Copeland. The Toronto Star published that Copeland shunned his students from pursuing internships at Q due to inappropriate behaviour, but Western University denied this was possible and so did the student newspaper. Other journalism programs then came forward to deny issues or complaints about Ghomeshi at their facilities. The matter was never questioned or readdressed by the press.
Cautiously and coincidentally, Jeremy Copeland worked with the U.S. government to fill a similar role as Jeffrey Dvorkin. The former was the American spokesperson for out-of-country voting in Iraq and he trained Iraqi journalists how to cover their election after the war that responded to 9/11 attacks. The same as Turkey, this country descended into chaos and lost the battle for message control. Both are now mired by ISIS and political-media issues, along with the greatest threat to the survival of journalists.
Jesse Brown describes this cast of personalities as the media version of Eyes Wide Shut in his discussion with Ed The Sock. He claims the community is Toronto-centric and he singles out neighbourhoods from Beaches and the Annex, as those who know and contribute to the decline by playing along. Brown believes they’re all friends or married to one another and he admits being part of this dysfunctional but influential posse, that determines the narrative for Canadian views.
Brown describes the group as inbred and David Akin reminds everyone that Sun TV was pursuing a ‘hotbed’ of sexual harassment suspicions at CBC since the year before. He used the Ghomeshi scandal to suggest that CBC mislead parliament when it responded to accusations in the last round. In that example, the broadcaster was accused of processing 1,454 sexual harassment complaints in Toronto and Ottawa alone (proven untrue, see link for details). Regardless, Ezra Levant from Sun TV appeared on Canadaland a few days ago.
Cash Flow Returns, But Politics Remain
In Jesse Brown’s history with the CBC, he once faced a dispute about the right to republish work from The Contrarian on his own website. The broadcaster has a policy to archive online materials after a period of 2 years, thereby causing the content to become inaccessible. As Brown attempted to save his creative input from the compression pile, he received a takedown notice from CBC management and today these shows are nowhere to be found on the internet. When the same issue arose regarding Jian Ghomeshi and the public’s sensitivity toward archiving programs from Q, Brown was at the forefront pushing for this content to be relegated in the same manner.
After the Ghomeshi story broke, the Globe and Mail reported Brown’s income had risen to more than $9,000 per month. The Columbia Journalism Review went one step further and tracked these increases on a monthly basis since October – the same month Brown’s crowdfunding campaign went live and the Ghomeshi allegations were published.
One month after that major headline, Ed The Sock was a guest on Jesse Brown’s Canadaland in a role reversal. During this interview, Steven Kerzner (aka Ed), is asked about sexual misconduct allegations involving Moses Znaimer at CityTV. Odd behaviour is discussed, but Kerzner declines to contribute to any rumour mills.
When Brown visits Kerzner less than two weeks later, they discuss Jesse’s pitch to all the major publishers for an earlier version of his media criticism program. Brown reports he was prepared to be ‘more responsible and sober’ and ‘not a satirical’. These blanket denials to provide him with a venue resulted in the establishment of Canadaland, described in the audio clip as kicking people in the shins, in lieu.
When the income generated by Brown’s podcast hit the $10,000 per month benchmark, he intended to hire staff. Brown declined to answer questions about his income, but Sean D. B. Craig was employed to break the Amanda Lang story on behalf of Canadaland more recently. Craig is unknown as a journalist and no bio can be found online. Originally he promoted himself as a CBC producer on social media, but later apologized for the humorous misrepresentation, due to the commotion and confusion it caused. Brown then introduced his new hire as a “pinko comrade”. The term pinko is commonly directed toward supporters of the NDP, both fondly and as a slur.
Jesse Brown, CBC, the Toronto Star and lawyers for Jian Ghomeshi were contacted.
The CBC was approached with this audio clip and a proposal to run the story. Director of Government Relations, Shaun Poulter, was exceptionally helpful to facilitate contact with others at the broadcaster. The Head of Media Relations, Chuck Thompson, also took a concerned interest to facilitate discussion. The latter agreed this information should be forwarded to the external investigator, but a decision to print the story would need to come from the news department directly.
Thompson involved the senior producer of CBC News, Ian Kalushner. After three days of debating the story without hearing the file, he declined any proposition to provide coverage. Mr. Thompson was then re-approached and encouraged to review the clip before another publication was canvassed, in lieu of the broadcaster’s response.
At this time Thompson attended the news department to discuss the clip with Kalushner. A compromise was reached and the reporter regularly assigned to the Ghomeshi file was asked to evaluate the evidence, as the most knowledgeable person about these developments on staff. CBC News expressed hesitation to publish freelance work, despite the fact that FreeThePressCanada had a history of reporting politics for the broadcaster in years past.
After another five day lapse, CBC journalist Ioanna Roumeliotis accepted the file for review. Both she and producer Ian Kalushner responded,
“You would be accurate to describe my assessment of the audio clip as material that is not newsworthy.”
Chuck Thompson responded,
“… I don’t make editorial decisions for CBC News and I know you have been in touch with them. It’s their call as to whether or not they want to go further with what you have discussed.”
Jesse Brown was notified about the impending article and presented with 42 questions for comment. He declined to provide answers and politely rebutted,
“The story of my investigation of Jian Ghomeshi is an important one that I will tell the public in detail.
It will take a lot of work and care. Here’s what I need to be mindful of:
Protecting my sources’ identities. Presenting a full account may expose them, so I need to go over everything very carefully, consulting with them where possible to remove identifying details.
Legal concerns. The professional and personal behaviour of many people will be discussed, so this story needs to get lawyered.
Accuracy. This is a complicated story, key aspects of which unfolded rapidly. I need to go over hundreds of notes and emails and dozens of public documents. Since I see no immediate urgency in reporting this story as soon as possible (I’m not finished with the investigation of Jian itself yet!) I’m going to take my time and tell it as precisely and as well as possible.
Finally, I am in the news business, so of course my intention is to save all this stuff for my own report.”
The Toronto Star was provided with a similar opportunity to comment and 25 related questions. Multiple attempts were made to contact investigative journalist, Kevin Donovan, and the newspaper’s editor, Michael Cooke. Both were informed they are the only source that refuses to respond, beyond Mr. Donovan’s messages to inquire about the nature of these questions on social media.
That silence was broken by an unrelated Toronto Star columnist, Jack Lakey, who proceeded to insult and intimidate FreeThePressCanada for approaching his colleagues to send the email inquiry.
Henein Hutchinson LLP accepted the audio clip quite recently. The law firm representing Jian Ghomeshi hasn’t received a reasonable amount of time to examine and comment. If a statement is forthcoming, this article will be edited to include that response.
The Clip: Jesse Brown & Ed The Sock
Please be advised this audio contains profanity and racial, religious jokes that some may find offensive. Originally published by Ed The Sock’s Soundcloud account, December 11, 2014. This is re-posted for news reporting and fair comment purposes (original source).
Also, this investigation isn’t meant to detract from the seriousness of allegations against Jian Ghomeshi, a police investigation, or the equitable court process. It is not meant to discourage victims from seeking justice, through professional, compassionate and capable members of law enforcement. This investigation only reflects the techniques of a journalist and ethical reporting. No inference or suggestion about the female complainants or Jian Ghomeshi is made by FreeThePressCanada.
Ontario residents have been kept in the dark, but Canada’s most populous province is about to become an unlikely and international battleground. After all, how many times does the Great White North threaten the drinking water of more than 40 million people, including their neighbours in America?
Legislators from south of the border have already taken issue with plans for a deep geologic repository. Less than a mile from the shores of Lake Huron, Bruce Power intends to store 200,000 cubic meters of nuclear waste within the natural rock formation. Senators and congressmen shared their dissent with the Canadian government, but the fed responded by sending police to the homes of eco protesters, in what some would call an act of intimidation.
(photo credit: Ontario Power Generation)
It will take at least 300 years for the nuclear waste to decay, to a point that radioactive catastrophes are not a threat to human populations. This Kincardine, Ontario location was also chosen for its low seismic activity, reducing the likelihood of water and soil contamination by earthquake.
This much we’ve always known, due to the federal environment assessment that required public consultation. The Harper government has since levied time restrictions to speed the process along, but this is one project that was too big and too perilous to keep from the radar at all.
Seemingly unrelated, the controversy over fracking and in-situ technologies to harvest oil has been raging around the world. Ohio experts claim it causes earthquakes. Texans say it releases benzene and hydrogen sulfide in the air, causing everything from cancer to nosebleeds and skin rashes. British scientists say it causes radioactive contamination. Researchers at Duke University say it makes water flammable in Pennsylvania and New York, where investigators cite enough contamination to blow up homes with families in them. In Canada, the Idle No More movement continuously defends First Nations from plans to frack their tribal territory and there’s still the argument of numerous toxic chemicals used in the extraction process.
(photo credit: HBO, GasLand)
The topic of hydraulic fracturing is so polarizing that countless provinces, states and cities have sought a moratorium. The mayor of New York City added his voice to the opposition, with strong reservations about the impact to water safety. By contrast and north of this shared water source, scientists from Canada were abruptly silenced by the federal government and environmental laws were gutted, so there is no mechanism or freedom to complain above the forty-ninth parallel any longer.
This much we also knew, but how could it possibly relate to a nuclear waste dump?
Critics warned that sweeping changes to de-monitor water, curtail public input and failure to assess smaller power projects would have a grave and lasting impact on the Canadian ecosystem. They denounced newly legislated secrecy and threw their hands in the air when the government conducted a good old-fashioned, scientific book burning. They went so far as to accuse the Harper administration of oppressing Canadians for the sake of Alberta oil profits, meant to benefit the Prime Minister’s friends at a cost to every other industry in the country. With few studies or consultations required anymore, the public wouldn’t be privy to projects that conflict with each other either.
It was a Nostradamus moment that wouldn’t take a thousand years to come true. It’s just that our first example arises in Ontario, further east than they predicted when pitted against bitumen, LNG or coastal pipelines as the likely candidates. When people think about oil, they don’t naturally imagine the Great Lakes region as an epicenter for this development.
No one can blame residents for being remiss, when information became inaccessible to the public and for that matter to Americans who are impacted by Canadian activity. Former Ontario Premier Dalton McGuinty claimed there would be no fracking until the province studied evidence to determine if the practice was safe. The new premier has never commented and no elected officials have alluded to anything different.
With all this government subterfuge from provincial and federal levels, the only way to learn about energy projects is through private company investor reports and knowing which ones to research now.
Bruce Power, meet Dundee Energy Limited. The former is an Ontario nuclear giant and the latter has the largest stake in Ontario oil. The two may operate side by side, but you’d never know from asking any level of government including municipal managers. These companies also favour the same rock formation, but for very different reasons.
Nuclear proponents believe the shale is strong enough to store radioactive waste, while oil competitors have chosen the area due to rich deposits and the porous nature of the same rock, making it a perfect specimen for fracking. It’s hard to see how both could be correct, but everyone drinking water along the Great Lakes is in the crosshairs of this corporate aggression.
From Neil Young to Yoko Ono, concerned stars have raised alarm bells regarding each of these topics, but no one thought to consider the impact of running these operations together. Fracking beside nuclear waste is a new concept for sure. The consequence of either practice is still a new frontier and combining them won’t be studied in Canada, nor will anyone be informed to care.
This situation is complicated by a few key players. Nuclear behemoth Bruce Power is technically owned by TransCanada Corp, that is better known for the KeystoneXL oil pipeline and tribulations visiting the White House. It’s also owned by Cameco, recently accused of tax evasion related to uranium sales. This partnership is completed by the retirement funds of municipal employees and the Power Workers Union, otherwise known as an affiliate of the left-wing labour movement and CUPE. As these strange bedfellows negotiate long term destruction of the environment for short term gain, the public is none the wiser because every brand of elected official appears to have taken a vow of silence.
In the case of Dundee Energy, it’s a subsidiary of the Dundee Corporation and federal Labour Minister Kellie Leitch was implicated in an alleged conflict of interest with this very consortium. While sitting on a board of directors for Dundee (REIT), Leitch was also debating legislation that impacted her environmentally averse tenants. In addition to meeting the needs of numerous oil clients under the Dundee real estate umbrella, this MP’s company position included an asset-based relationship with the National Energy Board (pgs 20-26).
The National Energy Board is Canada’s environmental regulator and the body that oversees public consultation in a situation like the Bruce Power nuclear waste dump. It no longer needs to conduct environmental hearings related to Dundee’s oil pursuits, as a result of the Labour Minister and Conservative government’s plight to de-monitor water and “streamline” approvals.
It’s now come to light that Leitch’s business associate was buying considerable land for oil extraction, with an eye for the riding she continues to represent. Dundee Energy also purchased junior speculators with rights to harvest oil in Ontario, around the same time she was named a trustee to the sister company with shared executives.
For context, the Labour Minister’s family established the Fort McMurray oil sands town in Alberta, before her career was transferred to Ontario where the process may be repeating. This time brings us to Collingwood, Ontario and begins with thousands of acres around Blue Mountain that the oil industry took an interest in.
This location boasts a farming heartland and world class ski resort, with waterside tourism in the summer. It’s unlikely Intrawest realizes the surrounding property is on the fracking horizon. It doesn’t bode well for stable snow formations if earthquakes are indeed caused by fracking. Yacht owners may pull their boats from oil-slicked waters and tourism around the protected Niagara Escarpment Biosphere may soon resemble the tar sands on this deregulated trajectory. The groundwaters sustaining agriculture in the bins at your local grocery store may also become poisonous if the experience of early adopters is any indication.
To manage a complex and conflicting set of developments, here’s a recap to give clarity that illuminates who might have known what.
1857 – 1863: Canada’s first shale gas operation was founded in Collingwood, Ontario. It originally supplied the market in Toronto. This enterprise eventually failed due to competition from Lambton County and this local history would be forgotten, until the present day when it’s repeated.
April 2008: Bruce Power begins drilling boreholes to test Collingwood, Blue Mountain, Georgian Bay and Manitoulin shales, in preparation for the nuclear waste deep geologic repository. A layout of the project is included, depicting the proximity to Lake Huron and a railway passing directly above the proposed radioactive location.
September 2008: Mooncor begins aggressive acquisition of Ontario shale oil assets. They have access to 23,000 acres with the ability to develop Collingwood and Blue Mountain formations.
November 2008: The Ontario Petroleum Institute holds an annual conference. Sponsors include Talisman and Torque Energy, as well as Enbridge, Haliburton and the US Energy Development Corp. Exhibitors include the Government of Newfoundland and the Ontario Ministry of Natural Resources. The latter presents “Shale Gas Opportunities in Ontario” during the session dedicated to fracking. The Ontario Power Generation also speaks about the Bruce Power waste site. That seminar is sandwiched between the effect of petrochemicals and how to fight back against eco protesters.
February 2009: A Calgary based oil and gas consultant is hired to conduct seismic testing for the Ontario Bruce Power nuclear site. Data is borrowed from a nearby Texaco well and Shell oil pipeline. Many gas wells are noted in the area and previous studies failed to indicate a seismic fault line. With newer technology however, faults were discovered around the nuclear site and this information will be submitted to the National Energy Board.
May 2009: The federal government finalizes a process of environmental review for the proposed Bruce Power nuclear waste site.
November 2009: The Ontario Petroleum Institute holds an annual conference. Sponsors include Torque Energy, Talisman Energy and Enbridge. Shale gas opportunities are promoted in Ontario and the Minister of Natural Resources is a keynote speaker this year. Numerous reps from the Ontario government provide seminars as well as a report for oil companies, enticing hundreds of new explorations. The Collingwood and Blue Mountain deposits are given special attention, closest to the nuclear waste site. Health Canada is also an exhibitor.
March 2010: Central Ontario oil was predominantly owned by Mooncor and Talisman Energy. The Dundee Corporation purchases “the largest accumulation of oil and natural gas assets in Ontario” for $131 million from Talisman, to overtake their interest in the area.
June 2010: Simcoe and Bruce Counties experience an uncharacteristic earthquake. The area surrounding a proposed nuclear waste dump and fracking locale, shakes enough to startle half the province awake.
October 2010: The Ontario Petroleum Institute holds an annual conference. Sponsor information was withheld this year, but exhibitors include the Canadian Consulate General and various members of the Ontario government. Keynote speakers include disgraced Congressman Chris Lee (R-NY) and seminars are provided by the Ministry of Natural Resources, in addition to the Ministry of Northern Development. Dundee Energy updated their progress in purchasing Ontario shale assets, as the government updated its list of shale assets for promotion. Additional seminars were offered regarding hydraulic fracturing and the difficulty moving enough sand, water and chemicals to supply the fracking industry.
April 2011: The Bruce Power nuclear site tests for the presence of gas. It’s found in the Collingwood, Blue Mountain and Georgian Bay formations, among others. Upon detailed analysis, the highest concentration of oil is noted in the Collingwood shale samples (closest to the nuclear repository), while the highest gas concentrations can be found in the Blue Mountain companion. This study and many more were submitted to the National Energy Board.
April 2011: Mooncor creates spinoff company DRGN Resources to handle its Ontario shale oil and gas assets. The long term strategy includes overtaking smaller companies to become a major player in the province.
May 2011: Kellie Leitch is elected Member of Parliament for Simcoe-Grey, after accusations of being parachuted from out of town. This riding consists of Collingwood, Blue Mountain and much of Georgian Bay. She still works with Dundee REIT and will not resign the executive position until the end of the next quarter, representing both the public and a corporation at the same time.
June 2011: Dundee Energy Limited establishes 100 percent ownership of its Ontario oil assets, further retained by the Dundee conglomerate as the parent company. New horizontal wells are planned for extraction.
June 2011: Several fish begin dying in Lake Simcoe. It’s part of the same glacial movement that created the Great Lakes system and it’s a 30 minute drive from the shores of Lake Huron. A magnificent amount of oil and gas tests are occurring at the same time (from government, the fracking and nuclear industries), but this is not considered a possible culprit because the public is unaware.
August 2011: Dundee Energy purchases Torque Energy – a former sponsor of the Ontario Petroleum Institute and a remaining holdout competitor. Torque Energy includes oil assets in Ontario and the acquisition helps to pad Dundee’s dominant market share.
September 2011: Mooncor retains a small amount of stock in Torque Energy, now owned by the Dundee corporation (pg. 12). At the end of this month, Member of Parliament Kellie Leitch resigns from her position with Dundee’s real estate branch as well.
October 2011: The Ontario Petroleum Institute holds an annual conference. Sponsors include Dundee Energy, Torque Energy (under Dundee ownership) and Mooncor (with stock interest in Dundee). Keynote speakers include the Mayor of London and First Nations elders. Seminars are provided by the federal government’s Indian Oil and Gas Canada agency, the Ontario Ministry of Natural Resources and the Ontario Energy Board. Topics covered Aboriginal affairs and fracking, with a hydrofracturing demonstration to close the event.
October 2011: Six thousand dead birds and fish scatter the shores of Wasaga Beach. It’s the longest freshwater beach in the entire world and lines much of Georgian Bay, connecting to Collingwood at Lake Huron. Both shale formations were being tested for oil and gas reserves, but botulism is the suspected culprit with little explanation regarding changes to the lake’s chemistry. The area never saw a die-off like this before and experts were left to guess a reason.
November 2011: Mooncor engages the Dundee conglomerate for help to raise $5 million toward expansion.
November 2011: An executive lawyer for Bruce Power and the nuclear waste site is appointed to the Ontario Centre of Excellence, to guide the provincial economy. This centre is funded by the Ontario government and Bruce Power continues to be owned by the same curious partners.
May 2012: Thousands of dead fish appear on the shores of Lake Simcoe. The second time is worse than the first. The Ministry of Natural Resources waited a number of months before informing the public of a widespread infection and no detailed cause was ever given.
September 2012: The Ontario government promotes shale fuel extraction at a conference in the United States. Collingwood, Blue Mountain and Georgian Bay formations are the focus, with 31 percent oil saturation and 77 percent gas saturation to encourage deeper investment. One of the wells cited is adjacent to the Bruce Power nuclear waste site. (A similar situation between oil wells and nuclear generators occurs in the Pickering location on Lake Ontario.)
September 2012: Dundee Energy invests $13.7 million in Ontario assets. Another $3.4 million is spent to acquire maps with seismic data, needed to plan the next harvesting sites. Inland extraction has become a priority to increase production, that offsets lower gas prices affected by greater American penetration and the Canadian petro dollar. A rig is purchased to assist with new drilling, allowing expansion in the Toronto gas market. In the process, they reserve $3.3 million for the Ontario Ministry of Natural Resources, in anticipation of future environmental costs.
October 2012: The Ontario Petroleum Institute holds an annual conference. The sponsor list is excluded again, but the Ministry of Natural Resources, Conservative MPP Bob Bailey and a National Post editor were mentioned as speakers. Embattled Liberal Energy Minister Chris Bentley was invited to give the keynote address and topics narrowly focused on pipelines, fracking and promoting Ontario’s shale assets for exploration.
November 2012: The Ontario government releases a comprehensive report (490 pages) meant to attract investment, reform applicable laws and assist corporations in negotiating with First Nations. Shale gas and oil in the Collingwood, Blue Mountain, Georgian Bay, Nottawasaga and Manitoulin areas is given special attention (pgs. 222-240), with specific mention of fuels (pgs. 275-286). Each is promoted as having the best potential for fracking related extraction. At least 360 samples were tested from wells and new boreholes in the years preceding, as part of the larger “shale gas assessment project” the public was never informed about. Groundwater mapping for Simcoe County is thoroughly noted (pgs. 295-306) and includes data from Lake Huron to Georgian Bay, Lake Simcoe, the Nottawasaga River, Newmarket Till and Oak Ridges Moraine. It is further identified as one of the most significant glacial aquifers, responsible for drinking water obtained from the Great Lakes and every connecting path from Canada to Chicago, Illinois.
November 2012: At the same time Ontario promoted shale extraction, Premier Dalton McGuinty informed the media there was no reason to worry about fracking in the province. He offered this reassurance despite public objection to Dundee Energy and Mooncor buying land for the same purpose. This message was supported by the Ministry of Natural Resources when they confirmed one new shale well was drilled, but denied any knowledge of plans to continue. All political parties responded as if the premise of fracking was hypothetical, but each shared a connection to this series of concrete developments. The Liberal government spent millions to encourage fracking extraction and accepted millions from interested companies. Elected Conservatives spoke at fracking events and/or occupied an executive table with the most aggressive corporation. The NDP also enjoys considerable input from the labour movement, as business partners with an oil giant involved in testing the area.
June 2013: Dundee Energy plans to invest $13.2 million in new Ontario wells and exploration to increase production. Another $2 million will be spent to map 314 kilometers of prospective shale opportunities. The corporation pays an extra $270,000 to the Ministry of Natural Resources in anticipation of future abandonment costs (pgs. 8, 28). This expansion is again reported to offset losses incurred by the American market and complication from the petro dollar (pgs. 10-13).
September 2013: Dundee’s rig is used in Lambton County, Ontario to fracture-stimulate a new well. Additional projects are planned for summer the next year.
October 2013: The Ontario Petroleum Institute holds an annual conference. This time it’s at the Windsor casino and sponsors are dwindling as companies are bought up, but Dundee Energy has attained the gold level. Seminars are provided by the Ministry of Natural Resources and Dundee itself, regarding radial jet drilling and its benefits to the fracking industry. This talk was followed by a presentation regarding the Blue Mountain shale formation and the majority of that day was dedicated to hydraulic fracturing topics. The smaller event was then closed by the Ontario Minister of Rural Affairs. It should be noted that a few days earlier, First Nations made international news with a government standoff against fracking. A Chief close to Bruce Power was also protesting the nuclear waste dump.
In other curious developments, the Ontario Ministry of Natural Resources defers to the oil industry as its spokesperson. Visiting the government internet page to learn about provincial resources not only misinforms about Ontario’s history (forgetting Collingwood as the first producer), but it also directs readers to the “Discovery Education Centre” as the government’s source for facts.
It just so happens the Discovery Education Centre is owned by Discovery Drilling Funds. They were purchased by LongBow Energy Corp and this business is steeped in the Alberta oil sands. Head office is located in Calgary, Alberta and one of the key executives is a former Koch Petroleum manager (of Koch Industries fame). It’s unclear why a private group of five western oil companies is now speaking for the Government of Ontario.
Regarding competition between fracking and nuclear waste, the town of Walkerton, Ontario is located at the midpoint between them. Driving half an hour west, residents will arrive at Bruce Power and driving half an hour east, they’ll arrive at the heavily promoted Collingwood oil deposits. If they dare to drive south, they’ll arrive at Sarnia’s petrochemical industry and advanced plans for fracking in Lambton County as well.
This tiny hamlet was foisted to world news when the water supply was contaminated and more than 2,300 residents became severely ill. Several died. Criminal charges were laid. The Conservative government of the day was blamed for legislation that privatized the testing of water safety. Now the same families may serve as a test, to see what happens when government policy allows fracking beside nuclear waste, fourteen years later in a repeat performance.
Everyone who obtains drinking water associated with the Great Lakes will also be affected, if any part of this experiment goes wrong. And despite Ontario denying plans to frack, taxpayers footed the bill to produce widespread tests for shale oil, in addition to yearly seminars designed to entice extraction.
These water tables come from one of the most important Precambrian aquifers. It supplies the local area and stretches deep into the United States. This underground water highway also supports Toronto and all the towns branching out along the way. The only thing that doesn’t appear to support 40 million North Americans, is politics north of the border and its friends in the energy industry. If all bureaucracies have skin in the game, who’s left to speak for the water?
Will the Ethics Minister Investigate this MP’s Failure to Disclose Her Income?
Surprising developments continue to challenge the Harper government and it doesn’t appear the recent cabinet shuffle was enough to contain the party’s troubles. In July, the prime minister embarked on a public relations makeover to soften the blow from repeated allegations of criminal activity and impropriety against a growing number of Conservatives.
To quell chatter about Duffy and the senate spending scandal — followed by charges against Del Mastro, the Prime Minister appointed a fresh batch of faces to populate his inner circle. In this rejuvenation process, a faithful MP from Simcoe-Grey was promoted to Minister of Labour and Minister of Status of Women. It seemed a safe bet, as the member was not only a minority female but also a paediatric surgeon who proved her loyalty by supporting the export of asbestos. Surely her silence in the face of criticism from the health care industry could merit responsibility for two portfolios in a beleaguered government.
Doubly minted Minister Kellie Leitch keeps a low profile with the local public, but she’s been a staple in the Conservative party since the days of her youth. The doctor wasn’t familiar to residents of Simcoe-Grey until the 2011 federal election, because she normally hailed from Sick Kids Hospital in Toronto and the University of Western Ontario in London. Leitch’s life was centred many hours away and she survived this controversy with stellar endorsements from CPC stars like Jim Flaherty, Peter MacKay, Hugh Segal, Julian Fantino and Stephen Harper. The campaigning efforts of Pamela Wallin weren’t quite as glowing, since her visits have become a point of contention in the senate investigation (see April 26 and 29, expanded to include Jan. 17).
This prominent attention must have felt remarkable. In a rural region known for farming and rustic getaways, the area was transformed into a political Hollywood for the election. The only caveat is it required this much effort to help Leitch overcome the toxic atmosphere she was about to inherit. Her predecessor in Simcoe-Grey was also a Minister for the Status of Women, but Helena Guergis was in the process of being turfed as her replacement was parachuted by the Prime Minister. It was a timely campaign of false and tawdry allegations. Ms. Guergis saw her career destroyed to create a vacancy in the riding and much of the local executive quit to protest their loss of democracy.
Amid the many accusations against Kellie Leitch, it became apparent she would need to open up and endear herself to the locals. In a rare interview with the tiny Wasaga Beach newspaper, a limited number of constituents received a glimpse into the world of our prospective Labour Minister. This included a rare epiphany explaining just how far she traveled. In her own words, Kellie Leitch professes it wasn’t in her plans to become a doctor and she was keen to build on her father’s legacy as a founder of Fort McMurray.
The Alberta oil sands are more than a stone’s throw from the shores of central Ontario and according to Leitch, her family should be credited with bringing the oil rush to Canada because they’re the ones who built the infrastructure to make the harvest area inhabitable. This MP was proud of the environment she helped create, despite Neil Young’s comparison of Fort McMurray to Hiroshima. Of course the latter was banned from the former’s radio station, so perhaps Minister Leitch will never hear about the opposition.
This brings us to the ethical hurdles facing the Conservative party and whether Harper’s judgement would improve in time for the cabinet shuffle, meant to save the government’s reputation. These new ministers should be impervious to criticism, or rather investigation. Ideally they would lead the way by filing items properly and insulate the Canadian Parliament from any more questions of fraud or conflicts of interest. Or contempt. Or bribery. Or voter suppression. Or criminal charges. With such a turbulent track record, it only seems reasonable the Prime Minister would benefit from hindsight and wisdom in selecting his next executives.
It was previously reported that Minister Leitch was in good standing with the Ethics Commissioner and she did not declare any additional income in her report for the public registry. This is the information she provided to media in a congenial, receptive email. But that registry and the Canadian Securities Regulators at Sedar appear to have a different opinion.
The following is a public version of events, expressed in a timeline with commentary:
May 4, 2010 — Kellie Leitch causes a stir with Conservatives in Simcoe-Grey, when she attends private meetings as a star candidate who was parachuted from Toronto.
May 6, 2010 — Kellie Leitch becomes a paid trustee at Dundee REIT (see also May 10, 2010 – report of voting results). As part of a Declaration of Trust, she must agree to a non-competition clause with the company. She is not permitted to acquire an interest, even indirectly from commercial real estate, without first allowing Dundee the option of purchasing said investment (see page 37).
Dundee REIT is a subsidiary of Dundee Corporation and Ned Goodman is the owner, occupying a seat at the same table as MP Leitch. Mr. Goodman is better known as one of the richest people in Canada (see page 18). The REIT is better known for its main accounts, as landlord to the Government of Canada, Government of Ontario, Government of British Columbia, Government of Alberta, Government of Saskatchewan, Government of Quebec, Government of Northwest Territories, Enbridge Pipelines and SNC Lavalin. This is in addition to the Canada Revenue Agency, Canadian Food Inspection Agency, Cities of Edmonton and Calgary, Alberta Health Services, CAE and Ministry of the Attorney General (see page 20).
In media it’s not mentioned that Dundee REIT is behind the Toronto Pan Am village, but annual filings detail the company’s $15 million investment, with an expected profit of $50 million when the properties are finally sold (see page 12).
In the same report Mr. Goodman shares his executive insight with underlings like Minister Leitch. He says,
“Inflation is a certainty because without any other reasons, and there are many, it is a political and financial tool that allows for de-leveraging of debt and payment of deficits. In addition, politicians very seldom get elected by causing deflation. Almost everyone likes inflation. If you are a government and inflate prices, then you keep people struggling and working hard to keep pace with inflation. The poorer the people are, the more likely they can be kept under control. In addition, inflation for rich people is taxable and deflation is less so. No government ever has an incentive to deflate, but has incentive in fact to inflate. Voters prefer inflation to deflation.” (seepage 19)
He would have said this while also acting as the Chancellor of Brock University.
May 10, 2010 — The appointment of Dr. Leitch to Dundee REIT is confirmed by Sedar.com (see May 10, 2010, report of voting results).
May 2010 — Kellie Leitch is slated to receive 4,607 deferred REIT units for her services as a trustee in the first year (see April 18, 2011, management information circular – within report, view page 6). Her access to sensitive information about the company and advice from owners like Mr. Goodman is granted (view page 9). The compensation structure is outlined and as a trustee, Dr. Leitch will play a role in determining these amounts, including the amount of payment due to Mr. Goodman and approval of deferred units like she received (view pages 12-13). In addition to receiving property investments and a personal stake in government tenants, Leitch receives $21,000 in cash for meeting fees (see page 18). It’s important to understand this compensation was negotiated at the onset, but actual payment would be received into the next year. The deferred units go through a 5 year vesting period, with parts maturing at each anniversary. This would provide Dr. Leitch with steady income for a minimum of 5 years (view page 16).
May 2010 — Dundee REIT confirms it will invest $20 million to construct a building for the Government of Canada in Yellowknife, fully leased to the government for 10 years (see May 6, 2010, interim financial statements – within report, view page 21).
December 31, 2010 — Kellie Leitch is confirmed to receive $21,000 in cash, for her services at Dundee REIT (see page 18).
March 21, 2011 — Much of the Conservative riding executive quits in Simcoe-Grey, due to the ouster of Helena Guergis and the parachuting of Kellie Leitch.
March 31, 2011 — As Defence Minister, Peter MacKay visits the riding of Simcoe-Grey to campaign on behalf of Dr. Leitch. On the same day, Dundee REIT releases a business update to Sedar.com that includes important information about its trustees. Leitch is legally reported to live in the municipality of Toronto (see March 31, 2011 – annual information form – within report, view pages 30, 31). This supports the accusation that she was parachuted to another riding.
April 12, 2011 — Leitch’s business partner and Dundee Corporation owner, Ned Goodman,purchases considerable interest in resource extraction from the Ring of Fire – a point of deep contention for Northern Ontario Native communities.
April 19, 2011 — Peter Cosgrove donates $1,000 to the election campaign of Kellie Leitch (see entry 29). If this was a misspelling, a fellow trustee at Dundee REIT also goes by the name of Peter Cossgrove.
May 2, 2011 — Michael Knowlton donates $250 to the election campaign of Kellie Leitch (see entry 69). He was the president, COO, executive vice president and CFO at Dundee REIT. He made this contribution two weeks before retiring from the president’s position.
Most donations were recorded at the last minute. Forty per cent arrived on Election Day and this indicates Leitch was in contact with her business partners from Toronto, while the riding of Simcoe-Grey was busy voting. No trustees at Dundee REIT are residents of this riding, according to available financial records. In addition to these individuals, the majority of political donors hail from the Toronto area and their contributions were accepted on May 2, 2011.
The return submitted to Elections Canada includes donor names such as Lara Zink (136),Dori Segal (106), David R. Wingfield (133), Kevin Warn-Schindel (128), Linda Rorabeck(100), Lori Turik (122), Kim Shannon (107), Michael S. Ras (95), Partick Meneley (83),Frank Magliocco (77), Onorio Lucchese (75), Blair Levinsky (73), William E. Lardner (71),Landon French (49), Victor Dodig (40), Bradley Cutsey (34), William J. Corcoran (28) andRita Ciccolini. It is this calibre of GTA powerhouses that funded an election campaign in rural Ontario.
(To view a candidate’s return within the Elections Canada database, a fresh search must be performed. Once the information for Leitch, Kellie, in the riding of Simcoe–Grey is displayed, select Form 2A to browse donations. Screen captures of this information are also provided below. Please be advised there is nothing improper about the donations, but they did arise from out of town, predominantly on the day of election.)
May 2, 2011 — Kellie Leitch is elected Member of Parliament for Simcoe-Grey, defeating Helena Guergis as a new face for the Conservatives.
May 12, 2011 — Ten days after the election, MP Leitch accepts paid re-appointment to the Board of Trustees at Dundee REIT (see May 16, 2011 — report of voting results). This happened at a specially scheduled event, in the Toronto Board of Trade, East Ballroom. It would have been clear to everyone that Kellie Leitch was celebrating her election, when she accepted their overtures to oversee a business that relied heavily on the favour of federal government (see pages 1, 6).
May 16, 2011 — Kellie Leitch is recorded in the Canada Gazette as being elected to Parliament. According to the Conflict of Interest Code for Members of the House of Commons, she has 60 days from this moment to file her private interests with the Ethics Commissioner for inspection. Since Dr. Leitch was immediately appointed to parliamentary secretary, her ability to engage in private employment would not have been appropriate (seeitem 7). She would not have been able to engage in contracts with the government for which she received benefit, without the Commissioner’s permission and only if the arrangement wouldn’t affect her parliamentary obligations (see items 16, 17, 18). MP Leitch was also required to disclose any income greater than $1,000, including its source, for the 12 months preceding election (see item 21).
May 25, 2011 — MP Leitch is appointed to parliamentary secretary by the Prime Minister.
July 16, 2011 — MP Leitch was due to submit her disclosure of private income and conflicts of interest to the Ethics Commissioner, in keeping with the 60 day mandate. She failed to do this within the required time and remained engaged with Dundee REIT as a parliamentary secretary.
August 15, 2011 — Dundee REIT acquires the Blackstone portfolio for $703 million (seepage 23). It was the largest portfolio ever purchased by a REIT in Canada and this transaction contained significant addresses in the heart of Toronto’s financial district (Bay Street).
2011 — Dundee REIT becomes landlord to the National Energy Board, numerous oil and resource companies, WSIB and Government Services for the Department of National Defence (see pages 20-26). Due to the nature of their tenants, Dundee’s liability for environmental protection and the cost of remediating contaminated sites is considered (seepage 27).
September 22, 2011 — Parliamentary Secretary Leitch resigns from her position at Dundee REIT. The company attributes this departure to her successful election nearly five months earlier. They note she attended four of five regularly scheduled meetings, meaning it’s probable that some of them occurred while she was a Member of Parliament — unless all the company’s business was conducted prior to May 2nd and the federal election. Leitch accepted remuneration for her service in 2011, in the form of $6,000 cash, 35,000 REIT units and 110,000 deferred REIT units, for a reported value of $151,600 (see April 11, 2012 –management information circular – within report, view page 20 – or see alternate source atpage 20, here).
September 26, 2011 — MP Leitch discloses her private interests to the Ethics Commissioner on the public registry. She reports a blind trust and income from the University of Toronto, University of Western and the Ministry of Health. She does not report the $21,000 plus $6,000 received in cash, for her previous twelve months at Dundee REIT, or the current term. She does not report her significant interest in the company’s contracts with government tenants or the oil and resource industries. In fact, there is no mention of Dundee REIT, even though this report is filed four days after resigning the private position and two months after the parliamentary due date.
September 29, 2011 — Three days later, MP Leitch makes a correction to her Ethics disclosure. This time she adds ownership of the Khristinn Kellie Leitch Medicine Professional Corporation, but still there is no mention of Dundee REIT.
2010 – 2011 — During the first year of Dr. Leitch’s tenure at Dundee REIT in 2010, the Government of Canada leased 333,187 square feet from the company (see page 21). Although she was elected to Parliament in May 2011, MP Leitch didn’t resign the position with Dundee until the end of September. During this period of dual representation, the Government of Canada became the company’s largest tenant, increasing their lease to 1,209,973 square feet in 2011 (see page 19). That’s an unprecedented increase in the company’s history of 263 percent, around the same time this parliamentary secretary was working for both entities. Since her departure from Dundee REIT, the federal government expanded their account to 1,658,129 square feet.
2012 — Dundee REIT releases an annual report that cites considerable political influence on their business ventures (see page 44).
As the current Minister of Labour, Kellie Leitch could impact the employment concerns of Dundee REIT. She will continue to receive income until her payment cycle completes in 2016, with incentive to meet their needs. There is no concern from government to abstain from voting in parliament, on matters that affect the company or any of the tenants. There is no mention of the environmental pressures to keep many of these clients profitable. The REIT units owned by the minister are more than security investments and there is nothing to indicate the Ethics Commissioner identifies these holdings as remuneration. Minister Leitch could choose between cash and securities, opting for the latter as a lion’s share of compensation. This relationship is further complicated by Dundee’s political interest in the outcome of government decisions from a number of different perspectives.
January 17, 2012 — Dundee completes their acquisition of the Whiterock portfolio, becoming a landlord to the Government of New Brunswick, Government of Nova Scotia, Quebec public health, Air Canada, provincial hydro organizations, the US Bank, TD Canada Trust, Royal Bank, Molson, PEI Liquor Control Commission, Nova Scotia Liquor Corp and the Saskatchewan Liquor and Gaming Authority (see last pages, B-1 to B-4).
February 14, 2013 — MP Leitch makes the last update to her ethics disclosure file. This time she adds publicly traded securities and an extra blind trust to the assets column. It’s likely these securities arise from her payment at Dundee REIT; but still there is no cash declared, no mention of remuneration and no mention of the company or its interests.
July 15, 2013 — MP Leitch is appointed to Minister of Labour and Minister of the Status of Women.
Minister Leitch has been contacted for comment, but none has been forthcoming. The only question that remains is if the commissioner will evaluate these potential conflicts of interest, the primary address of MP Leitch on Election Day and the apparent failure to disclose earned income.
***February 13, 2014 UPDATE: It is now known that MP Leitch donated to the Rob Ford election campaign. In his financial documents, it lists her home address in the City of Toronto. FreeThePressCanada will not disclose the exact location, but the election documents are a matter of public record, stored online.
(This was previously published by CBC when I was an Occupy Toronto correspondent. All Occupy related articles have since been migrated to the archives section. A live link is no longer accessible and the original would need to be sought by request from the broadcaster.)
It’s a widespread, global phenomenon; the greatest revolution of our time – and yet no one can seem to put their finger on it. The participants haven’t summarized the problem in three weeks’ time and the media isn’t sure where to begin. So what’s this Occupy Movement all about?
On Saturday, October 15th, I will join with citizens from every nation in what is set to be a record breaking event, with the Toronto chapter. Representatives for 99% of the world’s population are intent to be heard, uniting their voices as one. This movement now spans every continent except Antarctica. But is this for teachers, pilots, unionists, the unemployed, middle class, impoverished… or is it a bunch of communists as some corners have suggested?
The first question that begs answering is who are the 99% and how did they get that way. They are you and me and everyone we’ve ever known. Unless you’re part of the 1%, you’re part of the 99 and it’s just that simple. The middle class has a tendency to view themselves separate from the woes of common man, but rest assured the consequences apply to them too – especially them, in fact.
Ultimately the occupation results from “trickle down economics”, to put a very complex set of circumstances in a single nutshell. According to the Conference Board of Canada, the gap has been growing between rich and poor for more than two decades. The disparity grew by the greatest proportion in Canada, where average incomes remain stagnant with levels of the 1970’s. After factoring inflation and debt, our value from wages has actually decreased 10%. The Canadian Centre for Policy Alternatives paints a stark contrast for the top 1%, who happened to increase their value 219 times greater than any of us.
The score is -10 versus +219. This kind of disparity hasn’t been seen since the Great Depression and even then society’s wealthiest only controlled 8% of income growth, whereas they control an entire third today. In response to that historic calamity, governments were forced to respond with public policy that addressed fair taxation and wages. The goal was to redistribute prosperity even-handedly to prevent another collapse of the country. Presently however, they control as much as 42.5% of our wealth and government has insisted on lowering their taxes, again to levels not seen since the Depression. It’s apparent those lessons have been forgotten and astute historians are intent on getting the message out before lines under Salvation Army signs quadruple.
The theory to cut taxes for the 1% says this will result in trickle down benefits for the other 99. It’s supposed to create jobs and cause the market to remunerate us properly based on natural forces. It’s supported by both the IMF and OECD in the global view of financing. Except all data shows the benefactors continue to pocket the overwhelming profits and fail to invest in our workforce. They’reinvesting 40% less in their businesses than they were before the gift of major tax reductions. That means our so-called stimulus is filtered straight to their bank accounts and they’re taking even more from profit margins.
This is like asking us to ignore an elephant in the room. There have been 11,724 foreign takeovers of Canadian companies in the last 25 years and all our jobs are exported with them. It was thought through even distribution of global competition that we could replace these countless industries. But we’ve been forced to reckon with the inability to maintain a system of minimum wage, health or safety regulations and remain competitive with countries that don’t have them. We’ve already cut costs at a detriment to safety and felt the repercussions through Walkerton and Maple Leaf. The utilization of employment agencies and repeated attempts at union busting already serve to decrease our wages or any access we had to benefits. All in the name of shining us up, so we look our best for the 1%.
In another bid to win their favour, our governments are deregulating everything from banking to trade, takeovers, wheat, power, food and pharmaceuticals. Canada has been undergoing a personality makeover to morph into the US and it’s been a harsh battle to keep our social network balanced with the shift toward total capitalism.
The FIAT monetary system also bears mention. At the same time a gap defining rich from poor was allowed to establish, so too was this currency adopted. No longer was money gold-backed and instead it became traded on the stock market based on debt, wars, ability to repay, GDP, employment rates, investment and poverty. Since debt is now factored into dollar value, governments have found themselves printing money without the ability to repay it and as a result cause hyperinflation. The history of FIAT currency has ended in complete failure, without exception, since the beginning of money in 800 AD and bureaucracy only turns to this method of calculating wealth in times of trouble to artificially pad their value.
But the moment of truth has arrived and 99% can no longer afford to live within reason. We’re not making enough to afford inflation, depreciation of wages, or repayment of a deficit to cushion the elite. We can least afford the cuts to public services that are sacrificed to maintain this pretense of funny-money in our time of suffering.
Financial industry employment already outnumbers public sector jobs by 4% to 0.82% respectively. By the year 2023 they are predicted to control the majority of employment across Canada, should present trends continue. For every doctor, teacher, police officer, fire fighter, social worker, EI counselor, garbage collector and soldier – there are four stock brokers, insurance agents and bankers to steer our agendas and speak for our needs.
This is how pressure becomes placed on our governments to accommodate deregulation that increases prices, again in an effort to pad the 1% at our expense. They’re the folks who do the advising, they approve loans for governments in trouble and they fund a majority of major political parties. Talk about a conflict of interest! And yet the current Canadian federal government is making laws to end subsidy based on votes and force every party to embrace financing from the 1%. They also do what they can to prevent unions representing public interests from participating.
When that wasn’t enough, the deregulated markets took up the art of speculating. For those who don’t understand, speculation is the process of buying something (in large quantities) without the need or perhaps intention to sell it. This artificially manufactures shortages and drives up prices for the 99%. You’ve watched the result of this activity unfold at the gas pump increasingly throughout the years. We’re paying the same price per barrel of oil today, as we were when it cost 79 cents at the gas station. The price has only risen to $1.30/litre now, specifically because of speculation.
Since middle class incomes haven’t risen effectively for more than a quarter century and the cost of living has gone through the roof, we also lost our buying power – which is essential to keep a capitalist system functioning. We were thoroughly supported by manufacturing to meet our own demands, but can only need so many TVs, cars or new clothing patterns and our ability to purchase them on a whim has diminished.
So enters the business of speculation and commodities. We still must eat, drive and light up our homes. Again through deregulation and privatization, we’ve seen hydro, insurance and interest only climb and once those avenues were saturated they started tinkering with our food. The 1% is now gambling with our ability to eat, the same way they did with hedge funds and everything else that bubbled over.
Global markets are now speculating on corn, grains, sugar and water – the basis we need to make all else. Like clockwork it’s already doubled our prices at the grocery store, the same as they did with oil. The 1% has run out of things to increase their incomes beyond the 220% benchmark and they haven’t stopped at anything to maintain their status quo.
Further complicating matters is the logistical problem with 1% holding everyone’s wealth. We’re told they’re “too big to fail” and have to cover their tab for unbridled, vicious grabs at even more of the economy. They created the internet bubble, housing bubble, finance bubble, food bubble and oil bubble, but the system is set up so they continue to benefit no matter what they’ve done to the economy while you and I are forced to pay for it – WE, the 99%.
Last but not least this eats into our tax base, as they lobby governments for deeper cuts and fewer regulations still. The bulk of our services like health care, child care, education, pensions, EI and housing are on the chopping block because we can’t afford to provide public services while covering the debts of the rich. The 99%’s debts are forever owed to the 1% and the 1% shift their debts to the 99%. It might be brilliant if it wasn’t so blatant.
The result of these high stakes experiments is the disappearance of a middle class. It’s predicted for 2025 in Toronto and most cities around the world are similar. I don’t think there’s any coincidence between financial markets dominating the workforce by 2023 and the collapse of families on its heels 2 years later.
I hope this explains why we’re the 99% and everyone needs to support this movement, no matter which path they take to get there. Ultimately you’re not protesting the people who work on Bay Street, or the police for that matter (they’re the 99% too)! The financial district was chosen as a symbol of capitalism gone awry, without the courage of governments to control them in the best interests of their people. And make no mistake; while Canadian banking is more regulated than our counterparts, the entire act of trading, speculation, lending and borrowing is still done on the same global playing field, to the same rules and repercussions. The attitude of governments is how to become a bigger player in that game, as opposed to moderating the Billionaires Gone Wild before we’re manipulated to ruin.
The Occupy movement is not asking for “a” program. They’re not asking for “a” tax rebate. What they’re asking for is fundamental change within our system and readdressing priorities like our forefathers had to do in times of disparity past. This is no easy task on a global scale, but it’s precisely why we elect governments and it’s their job to enter an open discussion in favour of solutions. The gig is up and 99% of us are ready to take our balls home – or stare through windows in every financial district until they have the courage to notice.
This isn’t a fringe group of radicals or anyone holding a grudge from the G20. This is Grandma, Grandpa, Mom and Dad; Suzy, Bobby and Rufus too. The most people ever documented in history will be joining together to begin a dialogue with their governments on Saturday. We can’t afford what amounts to trickle down economics to support the 1% anymore. Two thousand new entries were made on the critical housing list in Toronto just last month. 40% of our food bank users are now children. A full third of many communities are already dining there.
When situations were radically unfair and unmanageable in the 1960s, our families united and led the way for reluctant governments then too. Call them hippies, call them whatever you like. But I call them honest and courageous, agents of positive change. No one in history will argue they didn’t do something necessary that shaped our future for the better. The time has come for us to show the same care to our children.
***Added February 13, 2014 for educational value. Please see this fantastic animation that makes the economic situation crystal clear.
Was Rob Ford Talking About Drugs on the Danforth?
This weekend marks a staple celebration in Toronto, and the mayor of Canada’s largest city was there. Rob Ford attended Taste of the Danforth; not as a proper ambassador, but rather as a patron intent to enjoy the festivities intoxicated.
YouTube users have been flooding the site with video evidence of their concerns, prolonging the mayor’s woes with media inquiries into his suspected struggles with substance abuse. The Toronto Star as well as the Globe and Mail have addressed the recent spectacle, but what seems to be overlooked is a poignant entry that may indicate a reference to cocaine.
As Ford poses for pictures with festival goers on the street, he comes across a fellow who he repeatedly refers to as “brother”. Amid the intoxicated slurs, the mayor appears to ask if someone in the group is looking for “blow” and confirms that he has some (although what he claims to possess is unproven). See this clip at 0:17 (UPDATE: The Toronto Star enhanced this audio and found Rob Ford said “cologne” not “blow”)
(Video now removed from source, a copy can be found at the Toronto Star)
Blow is a nickname for cocaine, raising new suspicions about the infamous crack video first covered by Gawker. The fallout has claimed numerous members of the Ford political entourage, as they departed from City Hall and the world at large encouraged the mayor to seek help for drug addiction.
The newest “drug video” has been viewed nearly 18,000 times on some sites, as listeners attempt to discern a controversial quote attributed to Rob Ford,
“You want some blow? I’ll get you some blow. I have it, seriously!”
These words do appear to be uttered by Toronto’s mayor and whether Ford raised the issue of drugs with constituents or one of them inquired about his troubles, it should be noted that he didn’t condemn the conversation. Instead it was a jovial and carefree moment that substances can induce, when a user isn’t sober enough to realize the consequence of their words and actions.
Toronto is a world class city that deserves to be represented in kind and regardless of any smack talk about illicit drugs, there is still the issue of alcohol to contend with. Sarah Thomson previously accused the mayor of inappropriate behaviour while under the influence and despite his denials, the Danforth reinforces similar concerns.
Another resident posted video citing worries the mayor was drunk and had driven to the festival. In fairness to Ford he does say that he isn’t driving when pressed on the issue, but others reported him by the vehicle later in the evening.
Ford used his party time to seek the spotlight while posing for countless pictures. He knew all eyes were on him because he was smiling for the attention. He knows the cloud of suspicion that surrounds him is darkening the city’s reputation and causing dysfunction within city council. He didn’t use this opportunity to speak about responsible drinking or provide a good example, nor did he address the economic and cultural benefits that come from hosting events like Taste of the Danforth.
That was too much to ask from a man who is tasked with managing the concerns of millions and the only business Rob Ford wishes to discuss is where to find the next venue with mind-altering substances. In lieu of drumming up support for business and community, the mayor was concerned with partying. He promoted public intoxication over public safety and couldn’t see beyond enjoyment of self in what some would call a slurring stupor.
So the question begs to be asked, is this the face constituents want to represent their interests while attracting committed business to the metropolis? Is this how the mayor behaves when negotiating deals with corporate friends? Are these the actions of a leader or truly Conservatives ideals? Is Ford’s judgement sound or is it really shaded by addiction?
Let us not forget the mayor is a fishing buddy to our Prime Minister and a previous party to celebrate their pursuit of a Tory trifecta was attended by the most powerful CPC personalities.
They say we’re judged by the company we keep and to date the mayor is alleged to be friendly with convicted, stabbed and/or dead drug dealers. Stephen Harper considers Ford to be part of his inner circle and our country’s leader was surrounded by Mike Duffy, Nigel Wright, Patrick Brazeau, and Mike Sona as well. All individuals are innocent until proven guilty, but can we name another Prime Minister who was dogged by so many illicit allegations in his entourage, or intoxicated partners who repeatedly star in questionable videos?