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Gomery Report GOMERY REPORT: ANATOMY OF A SCANDAL Introduction On November 1, 2005, Justice John sions, had been paid to advertising and Focus Gomery released the first part of his communications companies operating This News in Re- long-awaited report on the sponsorship in Quebec, often for work that was not view story focuses on the Gomery scandal. Gomery began his investiga- even done. All of these companies were Commission Phase I tion into the scandal in September 2004. known to be close supporters of the Report on the His report pointed an accusing finger at Liberal Party in Quebec. In response to sponsorship scandal some prominent figures inside the a massive public outcry, Prime Minister that plagued Paul administration of Jean Chrétien, includ- Martin promised a full investigation Martin’s minority ing the former Liberal prime minister into the scandal. He fired Gagliano Liberal government for over a year. The himself. However, Paul Martin, the from his new position as ambassador to report cast a dark current prime minister, was totally Denmark and he promised to resign if shadow on former exonerated. The scandal involved the there was any evidence that he had been prime minister Jean misappropriation of millions of dollars involved in any fraudulent activity, or Chrétien’s legacy. of taxpayers’ money that had been had even known about it while he Our story summa- rizes the main illegally channeled into the pockets of served as finance minister in Chrétien’s findings of the advertising executives and others close administration. He also dismissed the report, assesses its to the Quebec wing of the Liberal Party heads of three Crown corporations that possible implica- in the period following that province’s Fraser’s report had found were involved tions, and examines 1995 sovereignty referendum. The in the transfer of money through ques- its likely impact on the federal election extremely narrow federalist victory in tionable means to Quebec advertising to be held in that vote had convinced Chrétien and agencies during the sponsorship pro- January 2006. his advisors that the federal government gram. needed to embark on an aggressive The opposition political parties, marketing campaign to sell the benefits especially Stephen Harper’s Conserva- Did you know . of remaining in Canada to Quebec tives, eagerly seized on the sponsorship The 1995 Quebec voters. In order to promote national scandal as evidence of deep-seated referendum was unity, millions of dollars were ear- Liberal corruption and exploited the won by federalists marked to sponsor events and activities issue aggressively during the 2004 by the narrowest of inside the province that would show- federal election campaign. But despite margins. In fact, 49.4 per cent voted case the federal government. The the widespread disgust the scandal had “yes” to start the project fell under the administration of triggered in the minds of many voters, process of separa- the federal Public Works Department, Martin’s Liberals were able to squeak tion from Canada under the direction of Alfonso through to victory with a minority and 50.6 per cent Gagliano, a Quebec Liberal cabinet government. A year later, as even more voted “no.” A few minister who was also Chrétien’s damning evidence of the extent of the thousand votes were the difference. lieutenant in the province. scandal began to emerge from For many years, unproven allegations Gomery’s inquiry, it appeared that of abuses in the spending of public Martin’s government was in danger of funds in the federal sponsorship pro- being ousted in a non-confidence gram had swirled around Ottawa. Then, motion. Although the Liberals narrowly in early 2004, Auditor General Sheila survived that challenge, they knew that Fraser delivered a damning report, once Gomery’s report was made public, finding that approximately $100-mil- they would face another backlash of lion, in the form of fees and commis- public outrage and political attack. CBC News in Review • December 2005 • Page 6 To pre-empt this, Martin promised Gomery Commission Phase I Report Definition that he would call a federal election that his party would no longer support Crown corporations within 30 days of the release of the the Liberals in Parliament. The NDP are corporations owned by the second part of Gomery’s report, ex- would vote with the other opposition provincial or fed- pected in February 2006. This section groups to defeat Martin’s government eral governments. will lay out specific proposals for the on a non-confidence motion. Thus, by In effect, this government to act on, in order to pre- late November 2005, it appeared almost makes their citizens vent any other such scandal from ever certain that Canadians were heading for the true owners. occurring again. But Martin’s pledge the polls after an election campaign that did not satisfy the opposition parties, would span the holiday season. It who were pressing for a federal election seemed highly likely that the findings Did you know . much sooner. The Bloc Québécois, of Gomery’s report, and the allegations A “non-confi- whose popularity had surged in Quebec of corruption and abuse of public funds dence” motion is a motion designed to in the aftermath of the scandal and were they entailed, would become a key issue test whether a eager for another election, lined up during the ensuing electoral battle that legislature supports solidly behind the Conservatives. would determine the fate of Paul the existing gov- Finally, NDP leader Jack Layton an- Martin’s Liberal government. ernment. In Cana- nounced shortly after the release of the dian parliamentary tradition, if a government loses a To Consider motion of non- 1. What is the “sponsorship scandal”? confidence, it should resign immediately. 2. Why has the sponsorship scandal posed such a serious problem for Prime Minister Paul Martin’s Liberal government? 3. What impact has this scandal exerted on federal politics in Canada since the details of it first emerged? What are its further implications likely to be for 2006? 4. Do you think that the federal government should spend millions of dollars advertising the benefits of Canada to Quebecers? Explain. CBC News in Review • December 2005 • Page 7 GOMERY REPORT: ANATOMY OF A SCANDAL Video Review 1. What political party is frequently called “Canada’s natural governing Answer the ques- party”? Why? tions as you view the video. Check with your teacher to ensure that you understand the 2. Who is Sheila Fraser? What did she find in the report she issued in Febru- questions and have ary 2004? correct responses. 3. Who is the civil servant in the Public Works Department who “blew the whistle” on abuses of public funds in his department? For what senior bureaucrat did he work? What happened to him after he made his revelations public? 4. What are two specific examples of misuse of public funds under the fed- eral sponsorship program that are referred to in the video? 5. What evidence is there that funds illegally directed to the Quebec Liberal Party as a result of the scandal may have influenced the result of the 1997 federal election? 6. What role did each of the following people play in the sponsorship pro- gram? a) Chuck Guité _______________________________________________________ b) Jean Brault ________________________________________________________ c) Alfonso Gagliano __________________________________________________ d) Jacques Corriveau __________________________________________________ 7. What degree of responsibility for the scandal did Gomery attribute to former prime minister Jean Chrétien? CBC News in Review • December 2005 • Page 8 8. How did each of the following political leaders respond to the findings of the Gomery Commission Phase I Report? a) Jean Chrétien b) Paul Martin c) Opposition Leader Stephen Harper d) NDP Leader Jack Layton e) Bloc Québécois Leader Gilles Duceppe 9. What recommendations will be included in the second part of the Gomery report? 10. What impact might the Gomery report have on the next federal election, in January 2006? 11. In your opinion, what lessons can be drawn from the sponsorship scandal? 12. How has the sponsorship scandal influenced your view of Canadian poli- tics and politicians in Canada? CBC News in Review • December 2005 • Page 9 GOMERY REPORT: ANATOMY OF A SCANDAL Timeline of a Scandal October 30, 1995 – The Quebec May 23, 2001 – Federal Ethics Coun- Review the timeline sovereignty referendum results in an sellor Howard Wilson clears Gagliano of major events in extremely narrow victory for the feder- of any conflict of interest in awarding this somewhat complex case and alist “no” side. In response to this threat contracts to advertising companies in then respond to to national unity, the Liberal govern- Quebec under the sponsorship program. ment of Prime Minister Jean Chrétien the questions that September 2001 – Communication follow. initiates a program to promote federal- Canada is created, assuming responsi- ism inside Quebec and hires advertising bility for the sponsorship program from and communications companies. the Public Works Department. Update November 1997 – The federal spon- As of May 2004, the January 15, 2002 – Prime Minister sorship program is created, to be man- Ethics Counsellor Chrétien drops Gagliano from the had been renamed aged by the Communications Co- cabinet and appoints him ambassador to the Ethics Commis- ordination Service Branch of the federal Denmark. He denies that the move has sioner. For further Public Works Department. Chuck any connection to the sponsorship information about Guité, a senior bureaucrat, is named scandal. this person, visit director of the program. www.parl.gc.ca/ May 8, 2002 – Federal Auditor Gen- oen/en. August 1999 – Guité retires and is eral Sheila Fraser releases a report replaced by Pierre Tremblay, former charging that the federal government chief of staff to Alfonso Gagliano, “broke just about every rule in the Further Research federal Public Works Minister.
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