Angry in the Great White North
The Income Trust Scandal: The Mounties believe a crime has been committed
Wednesday, December 28, 2005 at 07:01 PM

Read other posts by Steve Janke published by the National Post
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From Bourque:

BREAKING: Bourque has learned that RCMP Commissioner Giuliano Zaccardelli has confirmed that the Paul Martin Liberal Government is under a criminal investigation over potential leaks stemming from decisions in Finance Minister Ralph Goodale's department relating to the multi-hundred million dollar Income Trust debable. This, stemming from an official complaint received by the RCMP from an NDP MP. Late today, the NDP indicated that Zaccardelli confirmed that the RCMP has "launched a criminal investigation "regarding a possible breach of security or illegal transfer of information in advance of the federal government's announcement of changes to the taxation of Canadian corporate dividends and income trusts November 23, 2005." The NDP MP who filed the complaint, Judy Wasylycia-Leis, today called on Liberal Finance Minister Ralph Goodale to step aside from his Cabinet role, until the criminal investigation is complete. According to the MP, "Goodale is personally responsible to ensure his office and his department protect average Canadians from the consequences of improper disclosure. "Goodale has stonewalled this issue for a month now, insisting without any qualification that there is nothing to this issue." Developing.

Clearly Finance Minister Ralph Goodale can no longer remain finance minister. As bad as this is for the Liberals in terms of timing, there is no other option.

No finance minister can command the confidence of the marketplace while under criminal investigation for illegal financial practices.

Every editorial in every paper in Canada should be calling for his resignation on Friday if he doesn't resign by tomorrow.

As for the OSC investigation, I stand by my posting. The investigation is happening, and I'm still trying to obtain clear evidence that I am allowed to share with you.

By my count, Ralph Goodale is under two distinct official inquiries into how he and his office might have used their knowledge that income trusts would not be taxed to allow certain traders to profit dramatically.

Both investigations must ask the question whether any of those illegal profits from insider trading, if it happened, made their way to the Liberal Party, a party fighting an election while millions of dollars in debt.

The nightmare scenario? The Liberals squeak by with another minority on January 23, and then soon after the Mounties or the OSC announce their conclusion that illegal money from insider trading was used by the Liberals to finance their election fight. Canada would be faced with what amounts to an illegal government and a constitutional crisis. In that case, I certainly hope Governor-General Michaelle Jean surprises all of us, because my expectations of her are frankly very low.

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