Angry in the Great White North
Richard Nesbitt: TSX CEO and Income Trust Fund Lobbyist
Tuesday, January 03, 2006 at 11:36 AM

Read other posts by Steve Janke published by the National Post
Leader

RNesbitt.jpg TSX CEO (and registered income trust lobbyist) Richard Nesbitt

Recall the CTV report that was quite brutal in providing evidence that a leak happened just prior to Ralph Goodale's announcement that income trusts would not be taxed?

The allegation of insider trading following that leak has led to a formal criminal investigation by the RCMP into the highest levels of the Paul Martin Liberal government, dealing a body blow to the Liberal Party during this election.

One of the revelations from the CTV report was that Richard Nesbitt, the CEO of the Toronto Stock Exchange, made out very well for himself:

Richard Nesbitt, CEO TSX Group: According to CTV, Nesbitt purchased $759,000 worth of stocks hours before the announcement and made $100,000 in profit the next day. However, he could not be reached for comment, yet his spokesman said that he was only filling up his core holdings before the calendar year end.

What the spokesperson did not mention was that since August 19, 2005, Richard Nesbitt was also a registered lobbyist, and still is today.

What topics did he discuss?

2. discussions with the Department of Finance with regards to fixed income trading.

Fixed income trading includes trading in income trust funds. In fact, it's mostly about that.

Now that the CEO of the TSX talked to the Minister of Finance and his people about income trusts and tax policy is probably fine. But then one wonders whether he really was just "filling up his core holdings" at exactly the right time.

Of course, the fact that part of his team included David Ablett, now VP of Public and Corporate Affairs at the TSX, and formerly a Senior Assistant Secretary to the Cabinet in the Privy Council Office, couldn't hurt. Now that was a long time ago, 1978 through 1983. That doesn't mean that he hasn't had his hand in government business, of course. For example, Ablett helped Jim Peterson write this report on the preparation of budgets, and public participation in that process, in 1995.

Citizen involvement in budget-making was seen as a good thing.

Where is David Ablett's friend, Jim Peterson, today? He's still in government, in cabinet in fact, as the Minister of International Trade. One wonders if Peterson was on the "need to know" list.

Main Story

Search for more opinions from Canadian bloggers on these related keywords