Ontario Liberals refuse to accept responsibility in slush fund scandal.
Toronto - In a rare show of unity, Ontario's opposition parties banded together Tuesday to demand the provincial auditor investigate a growing scandal surrounding what they allege is a Liberal political slush fund."I believe that at the heart of what we're here to do is to oversee the proper and responsible allocation of taxpayers' money," said Conservative Leader John Tory. "We're just asking him (Auditor General Jim McCarter) to embolden himself and take this on."
For the past few weeks, opposition New Democrats and Conservatives have trained a laser-like focus on an unnamed program that handed out about $32 million over the past two years without formal application processes or oversight.
"That is the classic definition of a slush fund, where a minister gets to dole something out, no questions asked," said Tory.
The program was supposed to be aimed at immigrant-settlement organizations. However, in several cases, grants were directed to organizations with Liberal ties.
For instance, $200,000 was handed to an Iranian-Canadian organization that boasted a Liberal candidate, a Liberal riding association president and a good friend of Liberal Finance Minister Greg Sorbara on its board. All seven board members had donated to the party, records show.
This week it was also revealed that the government gave $250,000 to the Chinese Professionals Association of Canada. One of its directors was a former adviser to Citizenship and Immigration Minister Mike Colle.
New Democrat Leader Howard Hampton said the joint request to the auditor general represents an "unprecedented" level of co-operation by the two opposition parties. "I think it indicates the gravity of the situation," he added.
Hampton noted that the spending program was not publicly advertised, effectively shutting the door on hundreds of legitimate organizations working with immigrants.
"It would appear a significant amount of money went to groups that have a limited history in the community but are very closely tied to the McGuinty Liberal party," he told reporters. "And we think the public deserves a full accounting."
An investigation by the provincial auditor can be triggered by a resolution of the legislature or a motion by the public accounts committee. Colle could also request that the auditor to take a look at one of his programs. However, the minister appeared reluctant to do so, noting the auditor has the authority to examine any government ministry he chooses.
Premier Dalton McGuinty, meanwhile, stood by his minister Tuesday. He dismissed as a mere intern the Colle staff member who sat on the board of the Chinese organization that had secured a generous grant.
The premier also said the government made changes to the program after it became an issue in the legislature.
Observers say McGuinty has been consistent in fending off demands for the heads of his cabinet ministers. For instance, he refused to axe former transportation minister Harinder Takhar and Infrastructure Minister David Caplan when they found themselves in hot water. Only Finance Minister Greg Sorbara, who was implicated and subsequently cleared in a criminal investigation, stepped aside for a time. He later returned to cabinet.
"They stand by their man," said pollster Greg Lyle, managing director of Innovative Research Group. "Because if nobody resigns then what sort of scandal was it? If somebody resigns then it must have been true."
Ottawa Citizen
I thinks it's also worthy to note that the public was not made aware that there was money available, nor were organizations given notice or allowed to apply. And there was now review process, they weren't investigated as to how they were going to use the money either. How it was done is that the Premier asked members of his party to put forth names. They also directly lied to certain organizations that asked if there was grant money available like a Hindu temple in Toronto that was burned down post 9/11.
And so far the liberal party has ducked the issue, refused to call for the auditor general to over look their books or for any investigation.
This is twice within the last 3 years the liberal party has been involved in financial scandal. I hope they don't win the next election.