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Is the NDP encouraging illegal political donations?

The main donations page for the NDP seems to follow the rules. But there is another page, the "Working Families Fund", that is quite different. You can get to it via the NDP newsletter.

The fund (copyrighted for 2007) is clearly a form of political contribution:

Stephen Harper has turned his back on Canada’s working families. Big business is benefiting, not ordinary Canadians like you. Maybe that’s why he gets so much money from his corporate friends.

Now you and your friends and co-workers can even the playing field for ordinary Canadians

Donations to the NDP are tax creditable. You get up to 75% of your donation back.

But here's the odd thing. The Working Families Fund encourages group donations via unions and other groups:

Sign up now, individually or as part of your union local or progressive team. Launch your NDP fundraising campaign today.

That is simply not allowed by the Canada Elections Act:

OTTAWA, Tuesday, January 2, 2007 — The Chief Electoral Officer of Canada, Jean-Pierre Kingsley, announced today that Elections Canada is prepared to implement election financing changes resulting from the passage of Bill C-2, the Federal Accountability Act. The Act received royal assent on December 12, 2006.

The new legislation reduces annual contribution limits to political entities. Furthermore, only individuals (Canadian citizens or permanent residents) may now make political donations.

Amendments to the Canada Elections Act that came into effect on January 1, 2007

  • Only individuals who are Canadian citizens or permanent residents can give a contribution to registered parties, candidates, nomination contestants, registered associations and leadership contestants
  • A ban on contributions by corporations, trade unions and unincorporated associations to registered parties, candidates, nomination contestants, registered associations and leadership contestants

The NDP is offering for prizes for donations well in excess of the legal limit:

Top team or local by election day: Jack will present your top prize.

Over $5000 raised: Free black NDP shirts for all sponsors.

No mention is made that the number of sponsors must be sufficient such that the donation, split evenly, is less than the $1,000 limit.

But what is more disturbing is the role of unions. One of the top donors right now is United Steelworkers Eastern Ontario Area Council. The council has one sponsor (itself, I suppose), and a goal of $5,000. And it is clearly acting in its capacity as a union:

The United Steelworkers Eastern Ontario Area Council is proud to support Jack Layton, the NDP caucus members and the whole NDP team. The NDP truly works in the best interest of working families in Canada. The Party's numerous achievements on behalf of working families are outstanding, and their continued effort on Parliament Hill fighting for workplace fairness is remarkable. The whole NDP team truly is a friend to labour, and they deserve our support as they continue to make progress. Please make a donation.

A union is not allowed to make donations, and no donation can exceed $1,000 per individual. This statement by the Eastern Ontario Area Council appears on the NDP website. The NDP ought to know better.

Perhaps there is a spin on this that I don't see. But it certainly looks like donations from unions. At the very least, the site should explain how these donations conform to the law.

The Conservative Party donations page offers no prizes, and the form and accompanying text only asks for individual information. There is no notion of "teams". And there is certainly no question of the money coming only from individuals, as required by law.

And one more thing. Remember what I said about the donation page on the website conforming to the rules? This Working Families Fund page seems to be accessible only from the newsletter. I find that really interesting, since the newsletter presumably ends up in the inbox of supporters, while the website is far more public. So if I wanted to promote something shady, I wouldn't put it on the website where everyone could see it, but on a newsletter that is seen by far, far viewer people, the overwhelming number of them being motivated and loyal NDP supporters.

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