Court gives indebted Grits a break

by **styky** » 02/ 26/ 08 3:55 pm

Court gives indebted Grits a break
JOAN BRYDEN

Canadian Press
<a href=http://www.theglobeandmail.com/servlet/story/RTGAM.20080225.wgritdebt0225/BNStory/National/home>source</a>
February 25, 2008 at 10:27 PM EST

OTTAWA — Stéphane Dion and his former rivals for the Liberal leadership got a break Monday from a Federal Court judge as they scrounge to pay off almost $4-million in combined leadership debts.

Justice Sean Harrington ruled that the party can legally refund the $50,000 deposit plunked down by each contender to enter the 2006 contest.

The ruling leaves one former contender — Toronto MP Carolyn Bennett — debt-free. Indeed, she said once the party reimburses her $50,000, she hopes to have a small surplus of about $17,000 that she can give back to the party.

The ruling leaves Bob Rae, the third-place finisher, with only about $10,000 left to pay off.

The other nine contenders, including Mr. Dion, are still struggling to get out from under debts of as much as $300,000 each. Even with Monday's ruling, one top party insider doubted any of the nine will be debt-free by June 2, the deadline for paying off leadership debts.

Contenders can apply to Elections Canada for an extension for any debts that are not repaid by that time. Elections Canada can also eventually agree to write off outstanding debts.

Immediately after the December 2006 leadership convention, the Liberal party executive voted unanimously to return the deposits to each contender. The party had made a profit on the convention and wanted to help candidates repay their debts within the 18-month deadline.

However, Elections Canada vetoed the move as an illegal cash transfer.

Mr. Rae, who went to court to challenge the election watchdog's interpretation, was gratified by Monday's ruling, which he said “restores my faith in good judgment and common sense.”

“All the candidates worked hard to raise money, the Liberal party made a good profit at the convention and it only seems fair to let (stand) the decision of the Liberal party executive to return the money to the individual candidates,” Mr. Rae said.

Judge Harrington ruled that Elections Canada was interpreting the law too literally when it rejected the party's request to refund the deposits. He doubted Parliament intended the law to be so restrictive.

“It was not Parliament's intent to prevent the party from returning to Mr. Rae money which was his in the first place,” Judge Harrington said.

The Liberals were the first party to conduct a leadership race under stringent new political financing laws, which prohibit corporate and union donations and severely limit individual donations. Most contenders found fundraising a tough slog and ended up taking out sizeable loans.

According to financial statements filed last summer with Elections Canada, Mr. Dion wound up with the steepest individual debt — almost $850,000. Second-place finisher Michael Ignatieff ended up owing just over $777,000 while Mr. Rae ended with outstanding loans of $222,000.

Gerard Kennedy's debts totalled about $567,000, Ken Dryden owed $403,000, Scott Brison $150,000, Martha Hall Findlay $261,000, Maurizio Bevilacqua $296,000, Joe Volpe $246,700, Hedy Fry $160,000 and Bennett $34,000.

Since then, the erstwhile contenders have been holding individual and joint fundraisers in a bid to whittle down their debt load.

Mr. Kennedy, who says his debt is now less than $300,000, said recouping the deposit “is certainly helpful”

“It makes June 2 a lot more realistic,” he added.

Mr. Ignatieff's team figures he also owes about $300,000 and will be able to pay it off by the deadline.

Spokespeople for Mr. Dion's team would not say how much the leader still owes, other than to say that he's been “chipping away” at his debt.

by **Frankie** » 02/ 26/ 08 4:20 pm

Contenders can apply to Elections Canada for an extension for any debts that are not repaid by that time. Elections Canada can also eventually agree to write off outstanding debts.

So how much one spends on an election bid can be completely wiped out?

The other nine contenders, including Mr. Dion, are still struggling to get out from under debts of as much as $300,000 each. Even with Monday's ruling, one top party insider doubted any of the nine will be debt-free by June 2, the deadline for paying off leadership debts.

And these financial wizards want to run Canada? :shock:

Judge Harrington ruled that Elections Canada was interpreting the law too literally when it rejected the party's request to refund the deposits. He doubted Parliament intended the law to be so restrictive.

“It was not Parliament's intent to prevent the party from returning to Mr. Rae money which was his in the first place,” Judge Harrington said.

Then shouldn't the law be changed to be specific and clear instead of having to go to a judge?

by **styky** » 02/ 26/ 08 4:24 pm

The same party that brought us....

http://www.freedominion.com.pa/phpBB2/v ... hp?t=71630

And

http://www.freedominion.com.pa/phpBB2/v ... hp?t=47873

by **styky** » 02/ 26/ 08 7:59 pm

An the news at 6 is that the Liberals will not seek to cause an election.......gosh of darn it all I am am shocked at the news. It's not that they can't afford it's that the can't afford it.

by **styky** » 02/ 27/ 08 12:01 pm

The Liberals apparently have not lost their golden horseshoe when it comes to the media. THey are down to change in their pockets and having to write off debt unable to pay it and it get's three short mentions in the media.
:roll:

http://news.google.ca/news?hl=en&tab=wn ... 1136582359
Liberal leadership race less costly after ruling
Globe and Mail, Canada - 26 Feb 2008
Ottawa -- Stéphane Dion and the other 10 Liberal leadership contestants are $50000 richer after a Federal Court ruled yesterday that the party could return ...
Court ruling helps Dion, former rivals cut debts
Toronto Star, Canada - 25 Feb 2008
OTTAWA–Stéphane Dion and his former rivals for the Liberal leadership got a break today from a Federal Court judge as they scrounge to pay off almost $4 ...
Rae wins battle for leadership race fees
Canada.com, Canada - 25 Feb 2008
By Richard Foot , CanWest News Service Former Ontario premier Bob Rae has won his legal battle to be refunded the $50000 he paid as an entry fee into the ...

by **styky** » 05/ 14/ 08 10:42 am

Elections Canada deadline will be met, Liberal
Toronto Star, Canada -
Former Liberal leadership candidates, including Stéphane Dion, appear to be on track to meet the next Elections Canada deadline on their campaign debts, ... <a href=http://news.google.ca/news?tab=wn&ned=ca&hl=en&ned=ca&q=Elections+Canada+deadline+will+be+met%2C+Liberal&btnG=Search>Linked thru google</a>

by **northerndude** » 05/ 14/ 08 8:30 pm

the liberals are having some serious fund raising problems it appears . its not something they are good at anymore .
maybe not alot of interest from some soft liberals for the idea of giving money to the party for whatever reason .

by **WestViking** » 05/ 14/ 08 8:49 pm

So, the Liberals had to go to court to overturn an Elections Canada ruling while they railed against the Conservatives in Parliament for alleged "illegal" money transfers that are also before the courts for a review of an Elections Canada ruling. The Liberal hypocrisy is palpable.

by **gimbol** » 05/ 14/ 08 10:17 pm

The clock is running out for the libs.

The RCMP has started processing charges on political figures involved in Adscam.

They have started calling in markers from all corners.

Sucks to be them.

by **Harry** » 05/ 14/ 08 11:40 pm

gimbol wrote:The clock is running out for the libs.

The RCMP has started processing charges on political figures involved in Adscam.

They have started calling in markers from all corners.

Sucks to be them.

I do not have much faith in the RCMP investigation. After all, they had their hand in Adscam. If I remember right, they got away with between 3 and 5 million. I always thought they were bought and paid for by the Libs.

by **shiva** » 05/ 14/ 08 11:45 pm

gimbol wrote:The clock is running out for the libs.

The RCMP has started processing charges on political figures involved in Adscam.

They have started calling in markers from all corners.

Sucks to be them.

Nice to see you back gimbol!

WV pointed out the Liberal's hypocrisy. As of yet, the media has not made any mention of this hypocrisy. Hmmm. Weird, huh?

by **poliscimaster** » 05/ 15/ 08 3:10 am

Excuse me? The courts give Stephie and his leadership rivals a huge break on their leadership campaign debts, while Elections Canada sends jack-booted Mounties into CPC headquarters to execute a search warrant (signed, of course, by a judge) for a purported violation of election-spending laws? This sure smells like a double standard to me.

This will only add to the suspicion that both Elections Canada and the courts--as well as, quite possibly, the RCMP--are stacked with Liberal political appointees. As several posters here have already noted, the hypocrisy of the Liberals is a disgrace--but so is that of Elections Canada and the courts. They'd better smarten up if they don't want to be brought completely into disrepute. They're already well on their way there, what with this and other decisions.

by **styky** » 05/ 15/ 08 12:39 pm

poliscimaster wrote::shock: Excuse me? The courts give Stephie and his leadership rivals a huge break on their leadership campaign debts, while Elections Canada sends jack-booted Mounties into CPC headquarters to execute a search warrant (signed, of course, by a judge) for a purported violation of election-spending laws? This sure smells like a double standard to me.

This will only add to the suspicion that both Elections Canada and the courts--as well as, quite possibly, the RCMP--are stacked with Liberal political appointees. As several posters here have already noted, the hypocrisy of the Liberals is a disgrace--but so is that of Elections Canada and the courts. They'd better smarten up if they don't want to be brought completely into disrepute. They're already well on their way there, what with this and other decisions.

In my view the double standard is blatant and at an election call should be one of the points that haunts the liberal party by bloggers. :cheese:

by **carfix2000ca** » 05/ 16/ 08 10:24 am

This country reminds me of one of those corrupt regimes somewhere in Asia, where the ruling elites have fallen for a short time until they can get their hands back on power.

The only difference there is that they have no HRC, they just shoot their opponents instead

by **Dacre** » 05/ 16/ 08 10:32 am

poliscimaster wrote

This will only add to the suspicion that both Elections Canada and the courts--as well as, quite possibly, the RCMP--are stacked with Liberal political appointees.

I think it goes well beyond suspicion. This country is owned and controlled by the Liberals. Bought and paid for with the tax dollars of Canadians. But keep it quiet we wouldn't want the word to get out.

Court gives indebted Grits a break

Court gives indebted Grits a break

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