Newfoundland and Labrador is Irredeemable

"There's a reason our people left there". That strange little thought crept into my mind as the family and I traversed the Rocky Mountains on the way to a new life in Newfoundland and Labrador. That was March, 2010. Returning to the home of my Grandmother (or Nan as they say here). We were excited, but yet that little thought, perhaps little message, always stuck with me.

It wasn't long after we arrived that I engaged with the local PC's as I had been with the Conservatives since 1991. Danny Williams was premier, and the place was unabashedly nationalistic (which I could've done without). However, he suddenly resigned as soon as he'd pushed through Muskrat Falls, and the party was calling for contenders - although in reality it was fulfilling a backroom deal to put Kathy Dunderdale in place (not so affectionately referred to as "Danny Williams' flack jacket - meaning she was to take all the "bullets" from his actions). I put my name up to run because I was convinced Williams' Lower Churchill scheme was the financial death nail for the province. For my trouble I was roundly accused of being an uppity "come from away" and/or "mainlander". And still am.

I realized quickly that corruption was rampant throughout the PC party, and tried to warn people. They would not listen. In fact, Paddy Daley, a local radio "shock-jock" host even stated that Ministers demanding pay back donations was "just the way it is". The same host would later refer to me as "a dangerous zealot" for opposing the Muskrat Falls development. Curiously, he now advocates for donation free politics and puts across many of my views from our discussions on Muskrat Falls without much acknowledgement they were never his. In any case, the point is that the political culture of the province was so rampant with corruption that people never took it as such. It was just "the way it's always been".

Once the people of the province started getting the idea that they shouldn't go along with corruption, and they became concerned about Muskrat Falls, they turfed the PCs out and elected the Liberals. The Liberals promised the moon and the stars to people, and the people ate it up. Less the half a year later the province was in open revolt because the Liberals broke every promise they made - blaming the PCs for ruining the province and that the provinces economic position was something "nobody could have seen coming". This a typical saying here. Nobody could see it coming. The reality is anyone with half a brain could see it coming from a thousand miles away let alone one. It was that obvious right from the very beginning, but people just refused to see it. They refused to educate themselves on it. They said we trust the government. We trust the "experts" the government paid and paraded. It was so obvious what was happening yet apparently too difficult to believe by most.

Then, while the fight over finances and the Muskrat Falls project raged, the government, media, and people in general went after the "known Critics" (as the government labelled those of us in opposition to their plans). It got personal. It became an effort to debase those that stood in their place for the truth, and the actual real issues of the direction the province was headed in were tossed to the wind. The best way I can describe it is from a scene in a children's movie called Ice Age. It's the part where the small group of animals desperately try and stop the DoDo birds from going "lemming mode" until they are all extinct. It's this part:

It may not be the most serious way to put it, but you get the point. A small group of people who could clearly see what the government was doing, and the peoples complicit agreement with it, were ignored and marginalized as everyone around them took a flying leap.

You would think that eventually people would catch on - preferably before it's too late, however, that never happened. In fact it is still going on. The most recent case of the protests in Labrador. Just days before the Aboriginal leaders met with the new Liberal government to "try and stop" the flooding of the reservoir, and thereby avoid methylmercury poisoning of their people, the Nunatsiavut Government (Inuit) President said this:

"Unless all vegetation and soil is removed the threat to our health, culture and way of life remains. Nalcor should also be directed to delay plans to begin initial flooding...to allow for the removal of trees, vegetation and topsoil. Initial flooding is expected to take place within days, and once you flood the land the damage has been done. There is no turning back".

That was October 20, 2016. You can read the release here

And a week before that statement the Nunatsiavut President said this: (you can find the press release here

"The concerns over methylmercury contamination is rea, and to proceed with flooding without fully clearing will clearly violate of human and indigenous rights. This project has to be stopped now before it's too late."

After meeting with the Premier for eight hours or so, the Nunatsiavut Government position became:

"As part of their response to the review of the engineering reports, the three leaders reiterated the principles that were committed to during the October 25 meeting, namely: that the protection of human health and well-being would be paramount in decision-making related to the Muskrat Falls project; and – with respect to first-phase impoundment – water levels would be raised to the minimum acceptable level if such impoundment was deemed necessary, and drawn back down to normal levels as soon as the risk of ice damage had passed...

The leaders also insisted that the Government of Newfoundland and Labrador actively communicate with them on Nalcor’s management of this issue, including regular and timely information on all facets of initial flooding, to demonstrate that concrete actions are being taken to minimize impacts to human health." (you can read it here)

As you can see, the Aboriginal leaders completely capitulated, even at the risk of their own people being poisoned further with methylmercury. The claim that the government would "actively communicate" with them prior to flooding was proven totally laughable when the news release was put out after flooding of the reservoir was actually taking place. By the time the release was published flooding of the reservoir had already caused water levels to increase by 7 feet. It's just another example of the hundreds of examples I've witnessed here in the last six years of this province's political establishment, including Aboriginal, selling people a bill of goods that is so obviously flawed that they can't even keep a short term story straight.

What does all this lead to. Well, there is the issue of the province's finances. The death nail if you will. The collective gross debt of the government, including Nalcor's debt, is in the $29 billion range. The governing Liberals came out yesterday and said the province would be back to surplus by 2023-24. What that means is they will be borrowing for another six or seven years, and that is if you take them at their word - which hasn't turned out well in the past. Nevertheless, an additional 6 years of borrowing to fund the government's operations and its capital budget will see about another $12 billion added to the province's gross debt for a grand total of $41 billion dollars - not including any further cost over runs with Muskrat Falls.

As astounding as that number is for 510,000 souls to carry it doesn't end there. You will find on this blog any number of posts that refer to this province's "demographic time bomb". The truth is that not only does the province have the highest gas prices in the western hemisphere (North and South America), but it has the fast aging population in the Western World. As it is today, only 30% of Newfoundlanders and Labradorians make enough money each year that they must pay taxes. The cumulative effect of all these different factors means that this province financially is a "dead man walking". There is no way out. There is no plan. There is only accountability for a lost decade of spending left, and that accountability will rest on a very small percentage of the province's population. In other words, anyone with half a brain that earns a decent income, and can transfer that expertise outside the province will.

So, bottom line, this province is politically and economically irredeemable. In other words, it can not be fixed. Politically the people refuse to do more than complain incessantly. They do not rise up in a way that would force the political establishment to reform itself. They seek simply to get whatever crumbs they can out of it. It is that simple. That sums up the political culture here, and that is why people of actual integrity are viewed with suspicion and tagged with innuendo. Ditto financially. The various boards of trade swooned over the previous governments, and the current one, to get their hands on that oil money that flowed freely from the government's coffers. They rewarded first the Pc and now Liberal party with generous donations to get their feet in the door. They set up and financed PR campaigns to promote the Muskrat Falls project and marginalize those that wisely opposed it. And now? Now they are crying so loudly it is almost laughable. Cut civil servants, and spending on programs and what ever you can they scream, but don't cut our little bit of the gravy...ok? This is Newfoundland and Labrador in the nut shell.

No doubt, and I can hear it now: "You are so negative"; "If you don't like it get out"; and "Mainlanders trying to tell us what to do." That's the culture of unaccountability that pervades society here. Whether it's something as large as Muskrat Falls or something as small as blaming a neighbor for all your troubles. It is everywhere here. And that is the great undoing of this place. The refusal to learn from past mistakes. The refusal to be held accountable for past mistakes. The refusal to be responsible. It is inescapable, and it is everywhere in this province. It is the fatal flaw of Shakespearean lore. The province eagerly awaits its next pied piper. It's next saviour. That is what truly makes Newfoundland and Labrador irredeemable. This will be my last post on Newfoundland and Labrador politics, economics, or anything of the sort. It is futile to waste the energy God gave you in a lost cause.

After ISIS.

As the Syrian army, with support from Hezbollah and Russia crushes ISIS in Aleppo,  and as the Iraqi Army with support from Shite Militias and the US squeezes ISIS in Mosul, the next step becomes the big question. Will the US respect the wishes of the Syrian government and leave the Syria battle to its government and the Russian military, or will the US ignore the sovereign rights of the Syrian government and push to install a Kurdistan from North Eastern Syria and North Western Iraq? That is really the $1 million question. Will things escalate between Russia and the US on this battlefield or will there be a recognition of traditional spheres of influence.

Traditionally and historically, Turkey has done everything within its power to thwart a Kurdish state. Whether it be decades long intelligence/military operations against the Kurds within Turkey itself, or whether it be actual uninvited military incursions into Syria and/or Iraq to attack Kurdish fighting elements, the Turkish position has always been against the development of any Kurdish state. Given that the Kurds are claiming a good portion of South Eastern Turkey as part of the new Kurdistan one can somewhat understand the Turkish policy toward the Kurds. However, the result has been ongoing turmoil within the region for decades.

As it stands now the main force of the Syrian army, and allies, are focused around the Aleppo area in a time consuming fight in that city. The Turkish army has invaded and driven south toward the Al Raqqa area, although not to the city itself. Instead the Turks have pivoted east to take on the Kurds and drive them to at least behind the Euphrates River that runs through central Syria. At first the US had agreed to the Kurds withdrawing, but that seems to have changed and the Kurds are standing their ground. Meantime, the bulk of Iraqi forces are surrounding Mosul from three sides, but thus far leaving the western side of the city relatively open - which could allow the ISIS elements and others in the city to retreat westward to Syria. Curiously, a large contingent of Shite militia are attempting to cut off that exit by flanking Mosul, however Turkey has since warned them not to take the strategic city between Mosul and Al Raqqa that would cut off the ISIS retreat. All very complicated.

Bottom line is that within three months both Mosul and Aleppo will be liberated from ISIS and other Islamic forces. The race will then be on to take ISIS's capital Raqqa. Currently the Kurds, with their American allies, are closer than anyone else - other than the Turks. And that brings the Turkish role to the forefront. First point: Turkey is only in Syria because Russia allowed it to be so. Shortly after Turkey reconciled with Russia that country's army militarily intervened from the north, and secured its border with Syria. That effectively sealed any chance ISIS could resupply or sell oil to the north without Turkey's approval, and if Turkey approved such an action its relationship with Russia would be over before it started. So Russia's plan for Turkey was to seal the border first. Mission accomplished. In return, Turkey got the green light to go after the Kurds from Russia, but not the US.

Phase two, which hasn't happened just yet, will be Turkey sweeping into Raqqa before the Kurds and the US can. The Syrian army is out of position to move on Raqqa before anyone else does, because they are still fighting to the south along the Lebanon border. They must also retake Dayr az Zawr located strategically south of Raqqa and on the wrong side of the Euphrates River for anything other than a cross river assault - which would involve massive casualties and every chance of a serious defeat. So bank on it that Russia has already got Turkey to take on Raqqa. It suits both of their purposes.

Once that battle takes place, and the remnants of ISIS are trapped on the Syrian-Iraqi border, the focus turns to restoring the territorial integrity of not just Syria, but also Iraq. The area is rich in oil reserves - a wealth that both countries will need to rebuild their war-torn countries. However, American oil companies have strong ties and contracts with the Kurds in northern Iraq,  and are likely expecting the same kind of concessions in north eastern Syria. It is at this point in the conflict when push will come to shove. Russia will have no choice to back the Syrian military in recovering all their territory, and that means driving the Kurds from all of Syria. That will also involve driving all the Americans out of Syria to. Considering the US has opened an air force base in north east Syria, in Kurdish controlled territory, it is easy to see how this battle will escalate. Likely, the only factor that could stop an actual military confrontation between the US and Russia in eastern Syria would be the election of Donald Trump. He has pledged to work with Russia on destroying ISIS and my analysis of him is that he's a deal maker that would seed Syria because the it is Russia's sphere of influence. That is the only action that could stop a direct escalation between Russia and the US.

In case you haven't heard, Russia has mobilized its sole aircraft carrier, along with warships and submarines to the coast of Syria. It is also expanding the facilities of its Syrian air base. The Chinese have also declared they are prepared to intervene militarily on Syria's side. What we are witnessing right now is not the Russians preparing for immanent action in Syria. They are instead prepositioning resources for a much larger battle with the US and its allies. The Americans are doing the same thing by position naval forces off the coast near Syria, and massively reinforcing the air base at Diego Garcia in the Indian Ocean. If Trump does not win the US Presidential election, and reverse the show down in Syria, then these prepositioned forces will engage each other. That's why they're there. They're not there to take on rebels, or ISIS or Hezbollah, or Kurds or the Syrian army.

It has to be said that a lot rides on the result of that politicians gone wild election to the south of our country. On the one hand a deal maker who is not opposed to pulling the US back from the "policeman of the world" self-appointed status it has generally abused for the last two decades. He may be a chauvinistic you know what, but he may not be a blood thirsty imperialist - so that's ok by me if the choice comes down to it. Hillary Clinton on the other hand has been shown to be an instrument of the big corporations that are driving America's foreign policy, and also driving it to placing it and the rest of us in the world in mortal danger. So, my fingers and toes are crossed that the egotistical chauvinist isolationist wins in a few days from now, and not the corrupt insider doing the bidding of those that not only do not respect humanity, but in fact see it as a mere inconvenience in a quest to have the world as they see it.

The NL Liberals Vietnam

There are no good options within the Liberal Party in this province. That is the basic truth. Now that is becoming more and more obvious by the day. Newfoundland and Labrador was sick and tired of the secrecy and shady dealings of the PC Party, and in the last election the people turned to the Liberals to put an end to that kind of politics. Just like the Liberal leadership process that saw a lackluster, even boring, Dwight Ball selected as the party leader, so the electorate settled for a lackluster but seemingly less dangerous option when they voted in the Liberals. Surely the Liberal would have gotten the message that the sleazy, corrupt, secret type of politics practised by the PCs would no longer be accepted here. Now, it is very obvious they didn't get the memo.

The truth is that behind the scenes within the Liberal Party powerful elements of the old guard and backroom boys were not supporting Dwight Ball as leader, but rather their sweetheart was Cathy Bennett. In fact, she was not even considered a Liberal until she threw her name in the race claiming to have always been there, and that her "coming out of the closet" was simply a coincidence as it coincided with the leadership race. A strange place to be for a woman who wrote cheques every year to the PC Party, and not the Liberals. An odd place for a woman running in a party that was at that time anti-Muskrat Falls considering her Chairmanship of the Board of Nalcor Energy. The woman who hired Nancy O'Connor to come to Newfoundland from Nova Scotia to set up the pro-business lobby group for Muskrat Falls - including paying for the websites etc of that group.

As Bennett money poured into her leadership campaign instant Bennett fans started appearing out of the wood work. Many "young Liberals" suddenly appeared lobbying for her on social media, and organizing for her on the ground. Yes, the darling of the likes of Danny Williams was about to take the party by storm. Just one problem: older Liberals didn't trust her. They didn't accept her pro-Muskrat Falls business position. So despite her money, Bennett lost to the compromise candidate Dwight Ball. Bennett and her powerful friends in the business community weren't prepared to accept that, and a covert movement began to overthrow Ball from the leadership. They had a problem though. The election was too close at hand, so the plan was scheduled for once the Liberals were in power - sort of. In reality Bennett and her minions became very involved in district association nomination meetings trying to get pro-Bennett/business types in as Liberal candidates and thus Liberal MHAs.

I was approached myself by such a person a month and a half before the election, and during a nomination race in one district. This old time Liberal had a serious issue in over throwing a Liberal candidate who had managed to get nominated, but wasn't marching to Bennett's pro-fracking band wagon. A local wealthy businessman was putting up the funds to beat the candidate during the election. As part of their approach to me the person emphasized that Bennett was going to take over the leadership after the election. That she had all the cards already in place. He also mentioned that Paul Antle and Siobhan Coady may be involved as well. If this person hadn't been a long time Liberal with deep roots I may have dismissed it out of hand, However, they were. They also had invested in shares of Shoal Point and the goal was to get Bennett in so that fracking would be approved in the province, and of course those shares would become very valuable. So, as you can see, the sleaze and secrecy was oozing from the seams of the Liberal Party even before the election had officially begun.

Fast forward to today, and it becomes even more obvious - albeit much more public. Ball struck a deal for Martin to leave Nalcor, and put in place Stan Marshall. Marshall's plan will be to privatise NL Hydro - which includes the 65% of CFLCo that NL Hydro owns (and that also necessarily means the Upper Churchill which CFLCo owns). Bennett and her St. John's business boys are all for selling it too, but they want it to go to Emera. That's what the big business boys bet on, and that's what they want. Those are the dividing lines within the Liberal Party today. I say Liberal Party, but it's more like the Chameleon Party - elements of the old Liberal party controlled by the boys and girls of the St. John's business community that are suddenly Liberals having just been PCs.

In any case, that is the war. Not whether or not to sell NL Hydro, but to who. The peoples' interest in all this... you're kidding right? So now Ball has put forward his plan. He gave  Ed Martin an "offer he couldn't refuse": leave or be fired. He also promised to give Martin his full severance and $160,000 in bonuses - or just under $1.6 million dollars. Designated fall guy in all this? The Nalcor board. Pass the resolution to fire him without cause so he can get his bonus and severance, and then resign yourself. No loose ends. Nice and tidy for Marshall to come in. Emera is out, Fortis is in. Not surprisingly, just days after Marshall was named as President of Nalcor he returned to his home in Belize with a number of senior officials of Fortis who stayed with him at his house for a week. Then came the nuke from David Vardy's access to information request that saw Ed Martin's employment contract released - which in itself is bizarre - and "highly suspect". An employment contract is a privileged document. Those kind of documents aren't released ever. Go figure, this time it was. It just so happened to prove Ball was lying. In other words, the ambush of Ball was on.

Despite the roll that Finance and Justice would have to play in these contracts, and severance negotiations, suddenly Cathy Bennett has disappeared from the scene. Ditto Siobhan Coady. Their two Deputy Ministers sit on the newly appointed Board of Nalcor. Both Bennett and Andrew Parsons have a direct ear into the Nalcor transition and on what happened with the severance negotiations, etc. Yet they've two stepped back from the limelight on this affair, just as Coady has. Coady was in the US until May 5 and claimed she knew nothing. Apparently she can't be reached by telephone or email or skype or what have you. Apparently Texas is now the third world without any such services. The lies are palpable, disingenuous, but meant to do one thing - leave Ball on the gallows by himself. Just as the plan before the election promised to do - get rid of him. That doesn't mean Ball didn't lie. It just means he thought everyone had his back in the deal, and found out that they were gunning for his back instead. As Minister Gamble-Walsh said to me two days ago: "Ball will very likely fall, but caucus is united". United for what you may ask? Good question. She never filled in that blank, but given the moves before the election was even called, it could well be said that the caucus is united in knifing their own leader, falling into line with Bennett, Coady, and possibly Antle, and all those business boys and girls sitting in the shadows and watching the game unfold.

As the Russian army found out in Afghanistan, and the US army found in Vietnam, it's easy to get into a war, but hard to get out. In the last 5 years Newfoundland and Labrador has had 5 Premiers or Premier designates fall. Soon to be 6. The place has become a frenzied feeding zone. It's become a guerrilla war here in a sense. The establishment vs. the people. Social media vs main stream media (sometimes holding hands when it suits the backroom boys). In this frenzy, for the lust and race for power and wealth, very few bases have been covered well. Political and business bodies keep piling up everywhere you look. Social media has morphed into the people's voice. The political "establishment" finds itself largely talking to ... well itself. Nobody else is believing or listening. Easy to get in, hard to get out. Welcome to the jungle baby.

The Corruption Culture in Newfoundland's Politics.

I've been writing on the corruption within Newfoundland's governing circles for years. In fact, I did a series on potentially corrupt practices by Ministers of this government, and its predecessors in a multi-part series on this blog called "All the King's Men". I've exposed the fact that Ben Aissa, convicted and disgraced SNC Lavalin VP, was appointed to a SNC numbered corporation here in Newfoundland during 2007-2008 (during the period SNC was pushing a large LNG project and a refinery to be located in Placentia area), and which mysteriously was dissolved at the end of 2008 when both projects failed. That blog is here.

I've written on a scheme that paid the Innu people $5,000.00 per person days after they voted for the Muskrat Falls project to proceed. That link is here. I wrote on the Innu cabinet minister that figured prominently in that deal, and was then turfed from office over illegal campaign donations - mostly from Muskrat Falls contractors, or those associated with the iron ore mining industry that would directly benefit from Muskrat Falls. His campaign manager was just charged by Elections Canada over the issue. That story was here and here and here.

I've written on the Muskrat Falls contractors who've donated directly to PC Party and its MHAs, including corruptly disgraced SNC Lavalin here. I've even written on the law firms, primarily in Quebec, that have donated to the PCs and received millions from Nalcor and the government in fees over the Muskrat Falls project here.

Over and over again the same patterns appear. Over and over again they repeat themselves. The corruption culture in Newfoundland is beyond the pale. The latest scandal over Muskrat Falls is the realization that Nalcor hired a construction firm out of Quebec, whose owner has admitted to paying  off government officials for contracts with bags of money and free holidays. (here). Now, this morning, in an attempt to turn the channel quickly, Premier Davis is offering up a cancellation in the HST hike because oil is "high". Peculiar given oil rests at $65 a barrel, down from $110 just a year ago... strange for a government that relies on oil for 33% of its annual budget.

Truth is this government and Nalcor will do anything to suppress information, real information, on Muskrat Falls. It is absolutely submersed in corruption and more likely than not influence peddling. It's not a coincidence that firms like SNC Lavalin, Genivar, and now the latest Opron have ended up on the Muskrats Falls payroll. The payroll of Nalcor. All Quebec construction firms. All implicated in corrupt practices. Not "best practices", the term Nalcor likes to throw around like candy to justify its business dealings.

Indeed, corruption permeates our political system here. It is endemic. You scratch my back and I'll scratch yours. It's "just the way it's always been done". In fact, it is a disgraceful indictment of a culture that needs to suffer an immediate and inglorious death. It reflects negatively on all Newfoundlanders and Labradorians. Why? Because it has been allowed to go on for generations with not much more than a wink and a nod. This isn't the first corrupt government here. It's just the latest. The next government, and there will be a next government, best realize that the culture of corruption is detested and disgraced world-wide. We are no different.  

The Ugly Truth about Newfoundland

Newfoundland is not an ugly place. It is beautiful. It's raw, rugged nature, unblemished by time remains for all to see. You can't help but love Newfoundland. The place. However, there is a deep, dark side to Newfoundland that defies the beauty of this place. In a word, tyranny. Not the tyranny you would find in a dictatorship over sees. Not the tyranny of an armed camp. This is the tyranny of the elites. And here the elites work hand in hand to keep the average Newfoundlander (or common man as it goes here) firmly in his place. Dissent here equals disloyalty. Disloyalty equals persecution. Persecution by the small group of business families that run the province. Persecution by an elite that is so small that it encompasses the few but powerful law firms here, and the few but powerful media outlets here.

To go outside the strict boundaries of day-to-day conduct established by these elites is to invite unto yourself public ridicule and humiliation, and personal destruction. Whether that destruction be of a financial or reputation nature - although it is almost always both. Newfoundlanders know it. They know it only too well. It's the Italian mafia version of Omerta - or silence. We run the show, we run the money, we run everything - you do not challenge us. Granted, it's not very Italian here, so perhaps Irish mafia is a better analogy. Whatever the name, Newfoundlanders have been afraid for a very long time of the powerful here.

It began  with the "Merchants", the small group of families that controlled Newfoundland by controlling its economy. Fisherman survived on the credit from these stores, whatever the price and conditions, and then turned over what they made to pay there way clear. A never ending sentence of feudalism - and it never ended.

Now, things are a changin'. Feudalism is dying a sudden death here in Newfoundland. Our government, that represents those elites is falling. Not just the government that is in office today, but the governments coming after it. "Falling" means business as usual amongst the elites here is dying. Instead of the people becoming controlled servants to these families, and the systems they control, the people are taking back, or perhaps better put finally taking, this beautiful place back for themselves.

In the last four years the political, legal and business elite here have been subjected to a phenomenon they do not see or understand. All they can see is the order they had so tidily enforced and enjoyed crumbling all around them. They're scared. As the incumbent premier said very recently: "Some authority from somewhere is challenging us". As odd as that comment might seem, it's not altogether off the mark. Their is an authority, but it's not challenging the "boy's club" here - it's destroying it. There is no challenge. "Challenge" implies that there exists a possibility they can win, and there is no possibility of that. They just haven't figured that part out yet. They haven't stopped long enough to see how far they've fallen. Perhaps they don't want to see what it looks like when they finally hit ground. Whatever the case, they desperately try and cling to the feudal system so well layed out for them by their predecessors. Newfoundlanders, average Newfoundlanders, the common man be damned.

In fact, the ruling class of Newfoundland is in such a panic they are making mistakes. Big mistakes. Grave mistakes. The most recent, and personally tragic one being that of Don Dunphy - who is to be buried tomorrow. The premier's own staff flagged a completely innocent tweet made by Don, contacted the premier's own body guard, and the rest is history. Don died. He died for tweeting. The reason I say that is the officer should never have gone to his home. But, they couldn't help themselves. They had to show this poor man, suffering as he was, that they were the bosses around here. He dissented, and made them look bad. He needed a talking to. The talking to went bad, apparently, and now Don Dunphy is dead. But, Don wasn't the only one that died on that Easter Sunday. No, the last shred of any credibility the Newfoundland elite had died with him, and I'm positive that Don would have been tickled with that.

He knew only too well what it was to suffer under this regime of silence. Now, predictably, the many in the local media tried to spin his death on the strength of one part of a five part tweet. To make Don look bad. To make him look depraved and dangerous. To make the result seem justified. It didn't work. The premier tried to show he was the last authority by stating he phoned the officer that fired the shots and gave him his "personal support". He knew that his office sent the officer to Donny's home. They used his personal black SUV to do it. He knew there would have to be an investigation, yet he compromised it before it started by giving the shooter his "personal support". And he didn't care. Why didn't he care? He didn't care because that's what happens when you mess with power. They are the last word, and the only word. That's the way it's always been. And then BOOM! The people of the province came apart. They exploded in anger and disbelief at the death of Don Dunphy. Why? Because the killing of Don Dunphy represented everything we have come to despise, and give oath to change.

The powers to be will no longer be the powers to be. It's over for them. Whether it be the business or legal elite. Whether it be the small, select families. It's over for them. All they have to do is stop, look, and see what's happening to their grip on this place. It's been happening for four years. The politics of feudalism is dying a slow, twisting, in denial death. As the saying goes "God guard thee Newfoundland". Well, God is with us, and we are the people.  

Part 4 - All the King's Men - Danny Williams

This story starts with a guy named Tom Tatham. You probably haven't heard of him before. He's an American business man who, back in the late 1990's, came to the conclusion he wanted in on the natural gas scene on the east coast of Canada. Tatham created two companies in late 1997 to accomplish the task: Tatham Offshore Canada Limited, a Massachusetts registered corporation; and North Atlantic Pipeline Partners (NAPP), a Delaware registered corporation. The board of directors of NAPP included a number of Newfoundlanders: Danny Williams; Craig Dobbin; Angus Bruneau; and Cabot Martin. Tatham's first goal was to secure the natural gas resources off Sable Island, that could hook up to a pipeline from the Grand Banks. However, NAPP was too late getting in, and the federal government would not consider his application.

Tatham and company changed strategies, and decided to focus on the natural gas off Newfoundland, and to build a liquefied natural gas (LNG) plant in Placentia Bay. On April 17, 2001, Newfoundland LNG Company Inc. was incorporated in the province. It's name changed again in 2005 to simply Newfoundland LNG Ltd. The group became very involved in the province. The battle lines were drawn roughly between the then Mayor of St. John's Andy Wells (along with his group known as "The Friends of Gas Offshore" - of which Newfoundland LNG was one) and the oil companies. Wells, NAPP and company wanted a fixed offshore platform for the White Rose oil development. That would enable extraction of natural gas by concrete pipe to an onshore LNG plant - owned by Tatham's Newfoundland LNG of course. The oil companies argued the most efficient platform was a floating platform - which would finish off the chance of piping natural gas to an LNG plant. Newfoundland LNG dumped just over $4,800.00 in political donations to the then in power Liberals, but the oil companies got there way, and Newfoundland LNG was left holding the bag.

While all this drama was unfolding, Danny Williams, former director of Newfoundland LNG, took over as leader of the PCs and leadership of the Official Opposition. Neither Tatham or Newfoundland LNG donated any more money to the Liberals after 2002. In 2003

Williams won the provincial election, and began rewriting the province's energy priorities. Next up for Williams was fighting with the oil companies over the Hebron offshore field. While that battle was going on, Newfoundland LNG had secured two important partners for its proposed LNG facility in Newfoundland. SNC Lavalin/ BAE Newplan Group became invested in the project as project managers and engineers, while Stantec-owned Jacques Whitford was secured as environmental consultants to guide the project through Newfoundland and Labrador's environmental process.

Moving along side Newfoundland LNG's project for Placentia Bay was another big hitter project - the Newfoundland and Labrador Refining Corporation (NLRC) -  being advanced by Altius Minerals. NLRC also had SNC Lavalin/BAE Newplan Group as its engineering and project management company, and it was aiming to be built in Placentia Bay as well.

In 2006, Newfoundland LNG and Tatham started donating to political parties again. Newfoundland LNG donated $4,800.00 between 2006-2007, and Tom Tatham himself wrote a cheque for $4,000.00 as well in 2007. This time all the donations went to the PC Party, with Tatham's own donation being to PC Party's reelection fund for the 2007 election. In addition, SNC Lavalin's BAE Newplan Group donated $23,750.00 to the PC's in the years 2006-2008, and Jacques Whitford donated $3,250.00. Here's the problem - Newfoundland LNG was undergoing an environmental review process of its LNG plant from November 23, 2006 to January 19, 2007. In other words, the company, the principal owner, the engineering company, and the environmental engineers were making political donations to the people who were in charge of the environmental review - the PC Party. Furthermore, as leader of the PC Party and Premier, Williams could hardly be accused of not knowing the players.

Coincidentally, the Newfoundland and Labrador Refining Corp started their environmental process on October 25, 2006, and ended it on May 2, 2008. An even bigger coincidence? SNC Lavalin started working with them in early 2006.

During this part of SNC's corporate history, LNG and refinery projects were its biggest money makers - whether in North America or the Middle East. It was during this time, and later, that SNC's Ben Aissa traveled the globe bribing officials for large government contracts. Ben Aissa was named as a director of a little known company in Newfoundland and Labrador called BAE-SNC Limited. It was essentially a shell company, with no apparent reason for existing. SNC claims he was only with the company as a director for about a year, and it was voluntarily dissolved on December 31, 2008. The question has always been why? Why was Aissa placed as a director of a shell company for one year, in Newfoundland and Labrador,  and then the company was struck completely from the records?

Williams had tried, during 2006, to force the oil companies to back a new refinery as part of the Hebron development project. They refused. In August, 2008, Williams caved on the refinery issue and signed Hebron. Two months later SNC sued the refining company and its shareholders. Two months after that Ben Aissa and the SNC shell company were struck from the record.

On May 14, 2009, SNC Lavalin bought Danny Williams' two offshore service companies: Spectrol Energy Services; and Williams' interest in Atlantic XL - while he was premier. Three weeks later, Newfoundland LNG President Mark Turner announced the LNG terminal project at Placentia Bay was dead in the water. Turner had hoped to buy the company off its American owner (Tom Tatham) and carry on, but that was a pipe dream - pardon the pun. Tatham had already moved his interest to the British Columbia coast, and was using one of his subsidiaries, Maverick LNG, and a ship bought to extract gas off Newfoundland, to try the same plan with natural gas in Kitimat, BC.

Was all of this business as usual in Newfoundland and Labrador? Was Williams' looking after our interests in the offshore negotiations, or was he looking after his and his friends? It's clear that if Williams' plan to build both a LNG facility and a refinery at Placentia Bay were successful, that SNC Lavalin would have struck the mother load here. Is that why Ben Aissa was named to that numbered company, and then vanished when the deals collapsed? Was buying Williams' two offshore service companies part of the deal? Was it acceptable for Williams to accept corporate donations from companies involved while they went through environmental screening by his government? Does any of it pass the smell test? Or, was it just a case of the King being the King.

UPDATE

Maverick LNG, the subsidiary of North Atlantic Pipeline Partners mentioned above also registered itself in Bermuda for unknown reasons. The company was struck from Bermuda's corporate Registry in July, 2011 for inactivity.

Muskrat Falls Contractors Political Donations to the PCs

Section 121 (2) of the Criminal Code of Canada lays out what it means to act in a  corrupt way when it comes to political parties and elections:

"Contractor subscribing to political fraud
(2) Every one commits an offence who, in order to obtain or retain a contract with the government or as a term of any such contract, whether expressed or implied, directly or indirectly subscribes or gives, or agrees to subscribe or give to any person any valuable consideration

(a) for the purpose of promoting the election of a candidate or a class or party of candidates to Parliament or the provincial legislature; or

(b) with intent to influence or affect in any way the result of an election conducted for the purpose of electing persons to serve in Parliament or the legislature of a province."

So, what does that mean? Well, essentially it says if in order to get or keep a contract with the government, whether its obvious or implied, you reward a politician or political party, you are guilty of corruption in Canada. That's a criminal offence.

So, is this happening in Newfoundland and Labrador? To start with, there are only three jurisdictions in Canada where corporate or union political donations are even legal - this province is one of them. That being said, just because it's legal to donate doesn't mean the guidelines of the criminal code don't have to be respected. That's where the grey area comes in.

The purpose of this post is to detail, to the best of my knowledge, the corporations that have received Muskrat Falls contracts since 2007, and the donations they have made to the PC Party. How they did it. Where they did it from. Just a note of interest, it's not just Canadian corruption laws that may apply here. The Bribery Act in the United Kingdom may also be applicable. You see, any company with a head office in the UK, or any company (say located in Canada or the US) that just has an office in the UK, is subject to their Bribery Act. That Act is far less stringent in qualifying what may be considered corruption. In other words, a number of these companies can be investigated for acts they are doing in Canada by the British justice system. It's not out of the question.

It is important to note that no one is guilty of anything unless they are investigated, charged and convicted. With that in mind, the contractors that have received contracts on Muskrat Falls, or the Lower Churchill in general, and made political donations to the PC Party are:


The following companies have head offices or offices in the UK and their donations:

AMEC                                                   $66,700.00

Fasken Martineau (QC)                          $45,650.00

SNC Lavalin (QC)                                 $51,025.00
(includes Spectrol Grp)

CIBC                                                     $38,270.00

TD Bank                                                $27,150.00

Gowlings (law firm)                                $17,600.00

RBC                                                      $16,250.00

Deloitte                                                 $  6,915.00

Strikeman Elliott (law firm)                    $   5,000.00

Anderson Sinclair (law firm)                  $   5,000.00

Johnson's Construction                            $ 5,000.00

The following companies have headquarters in the US:

Hatch Mott MacDonald                        $32,800.00

The following companies are primarily headquartered in this province,or elsewhere in Canada:

Pennecon                                             $60,700.00

Provincial Aerospace                           $60,700.00
(includes Provincial Airlines &
Liannu Partnership)

The Idea Factory                                 $29,000.00

G.J. Cahill & Company                        $28,200.00

Fugro Jacques (QC)                            $23,350.00

Woodward Oil Limited                        $20,000.00

H.J. O'Connell                                    $   4,500.00

Speutra Security                                 $   4,000.00
(through Spectrum Security)

These figures do not include 2013, as they are yet to be published. There may be more Muskrat Falls contractors donating at that time, and those that have donated likely donated more.

I tried to contact a number of these organizations, although not all, to get their side of this story. A number of them actually forbid donations or gifts to governments they are doing business with. Some have already been convicted of corruption offences, or are being investigated. For example, take AMEC. In 2009 it settled with the United States Department of Justice for $19,000,000.00 in kickbacks and frauds on the government involving US government federal contracts. AMEC apparently turned a leaf after that, and dropped political donations. In this filed annual report, 2011, http://www.amec.com/documents/investors/6.6_financial_reports/annual-report-governance.pdf

AMEC states:

"Our policy is not to make political donations and none
were made during 2011 (2010 – £nil)."

That is not true, however, as the company was making donations every year from 2007-2012 in this province. I attempted to get an explanation from AMEC, and I received two replies:

The first one:
 " Hi Brad, Wanted to let you know that I've just received your email from a colleague of mine in the UK and I am looking into it. Regards, Lauren."

Then this one days later:
" Hi Brad, I do not have any comment at this time. Regards, Lauren"

There is of course the well documented case of SNC Lavalin, and its political donations to political parties of all shapes and sizes, and its prosecution for bribery, etc. There was the case of the lawyer from Fasken Martineau, arrested and charged for using political donations to secure contracts in Quebec. Other s have been alleged to have participated in similar schemes:
http://www.bdlive.co.za/articles/2012/01/26/transnet-mum-over-findings-of-probe-into-contract-awards;jsessionid=45C235FCD1628DDC5F0731D1AE4DEC0F.present2.bdfm

Some companies are very upfront with these donations, while others have partners of their firms make the donations. This is particularly true of every law firm listed above. The amounts from each partner are, by coincidence, the exact same amount - but add up one way or another to a similar annual figure. It raises a number of questions. First, are these companies being lobbied for the funds by the PCs? Is there a list of companies with contracts that get hit up every year for a donation? The trend I've found is once these companies are on the PC Party's rolls they don't get off. Year after year - unless their business ends with the government. Likewise, some pop out from nowhere. Take H.J. O'Connell and Johnson's Construction. Johnson's just started donating in 2012, which just so coincided with it's Muskrat Falls work. Ditto for H.J. O'Connell. Johnson's construction is out of the UK, and H.J O'Connell is out of Quebec. Why were these two companies suddenly interested in donating to the PC Party here? The same question could be asked to any number of the companies above. Almost all of them donated exclusively to the PC Party. From all over the world, and all over the country.

Has the PC Party established a network to source out donations from contractors with government contracts? I know Terry French told the audience at the 2010 AGM, Election Readiness meeting to hit up paving companies, "cause they know where the contracts come from". It's difficult to be positive, without an investigation, but the trend seems to indicate that. Is that illegal? Well, as the law says: "whether expressed or implied". It is certanly illegal for a political party to request a donation of any kind from a contractor doing work for the government. One thing is certain, when the work dries up so do the donations. That is the trend. An investigation is required to determine the legality of this scheme.

If this upsets you, and you want to make a difference, you can confidentially report this to the Serious Fraud Office in the UK here http://www.sfo.gov.uk/bribery--corruption/where-should-i-report-corruption.aspx . Make a difference. It's important to our democracy.

UPDATED Nalcor Energy, Fasken Martineau, PC Party of NL

UPDATED

After going through the records again, two further donations were found in 2007 by the Fasken Martineau firm. One was from Garfield Emerson for $1,000.00 to the PCs, and one was from a Fasken Martineau subsidiary named FMD Ontario Inc., Toronto, for $5,000.00 to the PCs. Which brings the totals for Fasken Martineau partners and companies up to $45,650.00.

_________________________________________________________________________________

Sometimes it's painful to do investigative work on the workings of our government in this province. It's painful because, no matter your political bent, you want to believe that things like greed and corruption are things that happen elsewhere, and not here. You want to believe that people in office have some standard of conduct, and it's just those with an ax to grind that throw mud at essentially good people. Then there is the reality - it's worse than we could possibly imagine. This post covers such a case.

Fasken Martineau (FM) first appeared on the Newfoundland and Labrador political donation scene in 2002, while the Liberals were in power. They made a one-time donation to the Liberal Party of $2,850. FM was involved with some minor contractual issues then respecting Newfoundland and Labrador Hydro, but nothing significant.

Then, in 2007, thing started to change. The Williams government began ramping up its strategic battle with Hydro Quebec - including numerous amendments to the Electrical Power Control Act. It was a very busy time. Concurrently, FM reentered the province's political scene. It was an election year, and suddenly a group of Quebecers became very interested in contributing to Newfoundland and Labrador politics, but only to one party - the PC Party. Now, the blog Labradore brought some attention to this at the time in a general sense, which included a comment from Danny Williams, then Leader of the Official Opposition, to the governing Liberal Party:

" Do you think it is appropriate that you should solicit and accept donations from someone with whom you are entering into negotiations to deal away the resources of this Province? Is that a conflict of interest? Do you see anything wrong with that? Because the people of Newfoundland certainly do."

Apparently times change, and with them values. The PC Party under Williams began accepting political donations, including direct general election contributions, not from the law firm of FM, but from its partners. At that time, and remaining the same today, corporate political donations in Quebec were banned. You had to be a registered voter in Quebec to make a political donation, and it had to go through a registered Party agent in Quebec. In any case, 2007 saw six partners of FM from the Montreal office make political donations to the PC Party:

Sylvie Bourdeau                 $ 500.00
Karl Dewaide                    $ 500.00
David Lemieux                  $ 500.00  (GE)  (Now with Norton Rose Montreal)
Xeno Martis                      $1000.00 (GE)
Allan Ranger                      $ 500.00  (GE)
Andre Turmel                    $1000.00  (GE)

Then in 2008 a similar occurrence:

David Lemieux                  $ 450.00
Xeno Martis                      $ 900.00
Robert Pare                      $ 900.00
Daniele Picotte                  $ 900.00
Allan Ranger                     $ 450.00
Andre Turmel                   $ 900.00

Just a note at this point. You will notice by these two years of donations that certain partners consistently make higher donations than others.

In 2009, and 2010 the donation pattern switched to corporate donations, with no partner donations to the PC Party:

2009 - Fasken Martineau  (Montreal)  $10,200.00

2010 - Fasken Martineau  (Montreal)  $  9,500.00

Then, in 2011, there were no donations by either FM or its partners. In 2012, the old pattern of donations resumed where the firm did not make donations to the PC Party, but the partners did:

2012
Pierre-Olivier Charlebois         $    500.00
Andre Durocher                      $ 1,500.00
Ron Ezekiel                             $    500.00
Helmut K. Johannesen             $    500.00
Xeno Martis                            $ 1,500.00
Angela Onesi                           $    500.00
Daniel Picotte                          $ 1,500.00
Allan Ranger                           $ 1,500.00
Andre Turmel                         $ 3,450.00

The 2013 numbers are not public yet, and Elections Newfoundland and Labrador has not answered my email inquiring as to the date they may be released.

Here are the partners from FM involved with these donations:

To be clear, I have made written requests to FM, the PC Party of NL, and the Government of NL, Nalcor Energy and have not received any responses. I asked them to comment on the political donations. Here's why.

FM has been retained by Nalcor Energy for legal services. Not just any legal services, but the legal services surrounding the Lower Churchill project. The individual details of this service are confidential, but some parts are available for the public. Take this declassified confidential report from Nalcor regarding "3rd Party Vendors as of September 30, 2011:

This report states that Nalcor hired FM for: "Legal Services - strategic, Quebec regulatory, water management, Quebec civil, Ontario regulatory, PPA" and that it received from Nalcor for:

Muskrat Falls                   $1,111,174.23;

Labrador Island              $2,477,105.14; and 

Transmission Link

Total                              $3,588,279.37.

That was as of  the September, 2011. Then there was this: 

http://www.fasken.com/en/5-billion-muskrat-falls-hydroelectric-generating-facility-and-the-labrador-island-transmission-link-projects-reach-financial-close/ 

FM was the chosen law firm for the federal loan guarantee of $5 billion dollars for the Muskrat Falls project. The details of that contract have not been released by the government. However, it is interesting to note that Guy Giorno, of http://www.fasken.com/guy-giorno/ , former Chief of Staff to Stephen Harper until 2010, belongs to the same firm that is donating to the provincial government.

 Giorno most recently acted as counsel for Nigel Wright during the Senate expense scandal allegations 

http://www.huffingtonpost.ca/2013/06/03/guy-giorno-harpers-former_n_3378099.html and has just been announced as new legal counsel for the Conservative Party of Canada:

http://www.thestar.com/news/canada/2014/02/10/guy_giorno_tapped_as_conservatives_legal_adviser.html

To top things off, we have Jacques Audette, a partner at FM being arrested by the Quebec anti-corruption squad   http://www.canadianlawyermag.com/legalfeeds/804/Faskens-Montreal-partner-arrested.html in April 2012. 

Given the evidence that is in the public domain, it is clear and obvious that the law firm of Fasken Martineau (Montreal Office), and its partner were funneling political donations to the PC Party of Newfoundland and Labrador. It is clear they were under contract with Nalcor while doing so. It is clear they advised Nalcor on the water management agreement, and other issues solely relating to Muskrat Falls and the Lower Churchill. It is clear that conditions of the original loan guarantee, requiring no litigation be impending or undergoing regarding the Lower Churchill project be active, were tossed to the side when Stephen Harper suddenly agreed to wave all those conditions that would protect tax payers from massive losses from a Hydro-Quebec lawsuit (currently underway in Quebec) despite at least five separate lawsuits pending against the project. It is clear that Giorno is a very close confident of the Prime Minister. 

All these things are very clear and supported by evidence. What are the conclusions an average person could come to given these facts? 

1.   Fasken Martineau, and its partners were rewarding the PC Party of Newfoundland and Labrador for contracts they had secured with Nalcor Energy. It defies imagination the FM and/or a series of their partners in Montreal, Quebec, would suddenly become so enamored with a PC Party in Newfoundland and Labrador that they would donate to it while having contracts with the government, but not before that. The facts show a structured and repetitive donation schedule between partners that remains consistent to this day - or at least until the last released reports of 2012. Rewarding public officials or political parties for doing business with the government is a criminal offense http://quesnelnews.com/ethics_criminal_code_handout.pdf

An investigation is required by the RCMP as to the seriousness of these contributions, but the evidence available publicly points to this.

2.   The PC Party accepted political donations from FM under these circumstances, and is subject to the same conclusion, and also requires an RCMP investigation.

3.  Perhaps most disturbing, although that is saying something, is the connection between the Prime Minister's Office, FM, Nalcor, the PC government of the province, and the loan guarantee. Given the sudden dropping of the lawsuit-free requirement of the original terms for the loan guarantee, and the sudden dropping of them by Stephen Harper (defying all logic and reasoning), and given the fact that FM was hired by Nalcor to deal with the water management agreement and the loan guarantee, the issue begs the question: Was the PMO influenced by Fasken Martineau partner, and now Conservative Party of Canada counsel Guy Giorno to drop the protection of the original terms of the loan guarantee which protected taxpayers? Was that influence exercised by way of paid lobby by Nalcor Energy? The evidence points in that direction, but requires an RCMP investigation.

What is clear through all of this is despite the PC Party's stand against Quebec, and the federal government, they had no problem taking their money and influence/advice under the leadership of the guy who said:

 " Do you think it is appropriate that you should solicit and accept donations from someone with whom you are entering into negotiations to deal away the resources of this Province? Is that a conflict of interest? Do you see anything wrong with that? Because the people of Newfoundland certainly do."

Danny Williams, Leader of the Official Opposition, 2002.

Whatever Mr. Williams said, these circumstances have been filed with the Quebec anti-corruption squad, and will form the basis of a formal complaint to the RCMP.

Are Newfoundland Cabinet Ministers Guilty of Influence Peddling?

I'm starting this very serious post with a description on Section 121 of the Criminal Code of Canada. That way, you can judge the transactions of the noted Ministers of the Government of Newfoundland and Labrador yourself. It goes like this:

Frauds on the government
121.
(1) Every one commits an offence who
(a) directly or indirectly
(i) gives, offers or agrees to give or offer to an official or to any
member of his family, or to any one for the benefit of an official, or
(ii) being an official, demands, accepts or offers or agrees to accept
from any person for himself or another person,
a loan, reward, advantage or benefit of any kind as consideration for
cooperation, assistance, exercise of influence or an act or omission in
connection with
(iii) the transaction of business with or any matter of business relating
to the government, or
(iv) a claim against Her Majesty or any benefit that Her Majesty is
authorized or is entitled to bestow,
whether or not, in fact, the official is able to cooperate, render assistance,
exercise influence or do or omit to do what is proposed, as the case may
be;

(b) having dealings of any kind with the government, pays a commission or
reward to or confers an advantage or benefit of any kind on an employee
or official of the government with which he deals, or to any member of his
family, or to any one for the benefit of the employee or official, with
respect to those dealings, unless he has the consent in writing of the head
of the branch of government with which he deals, the proof of which lies
on him;

(c) being an official or employee of the government, demands, accepts or
offers or agrees to accept from a person who has dealings with the
government a commission, reward, advantage or benefit of any kind
directly or indirectly, by himself or through a member of his family or
through any one for his benefit, unless he has the consent in writing of the
head of the branch of government that employs him or of which he is an
official, the proof of which lies on him;

(d) having or pretending to have influence with the government or with a

minister of the government or an official, demands, accepts or offers or

agrees to accept for himself or another person a reward, advantage or

benefit of any kind as consideration for cooperation, assistance, exercise

of influence or an act or omission in connection with

(i) anything mentioned in subparagraph (a)(iii) or (iv), or

(ii) the appointment of any person, including himself, to an office;

(e) gives, offers or agrees to give or offer to a minister of the government or

an official a reward, advantage or benefit of any kind as consideration for

cooperation, assistance, exercise of influence or an act or omission in

connection with

(i) anything mentioned in subparagraph (a)(iii) or (iv), or

(ii) the appointment of any person, including himself, to an office; or

(f) having made a tender to obtain a contract with the government

Contractor subscribing to election fund

(2) Every one commits an offence who, in order to obtain or retain a contract with the

government, or as a term of any such contract, whether express or implied,

directly or indirectly subscribes or gives, or agrees to subscribe or give, to any

person any valuable consideration

(a) for the purpose of promoting the election of a candidate or a class or party

of candidates to Parliament or the legislature of a province; or

(b) with intent to influence or affect in any way the result of an election

conducted for the purpose of electing persons to serve in Parliament or the

legislature of a province.

Now, back in 2011, Minister Terry French came on province-wide radio to attack my integrity (for which he is now before the Courts), because I stated  his address to the PC Convention of October 2010, election readiness meeting, was illegal. If you don't know, this is what he said: "Don't be afraid to approach a contractor working on your roads, for a donation. They know where the contracts come from". Now, take a look at Section 2 above (Contractor subscribing to election fraud), and Section 1(a)(ii). Pretty clear is it not? This is against the law.

Then, back in December, 2011, I wrote an article on the Royal Newfoundland Constabulary http://rocksolidpolitics.blogspot.ca/2011/12/is-royal-newfoundland-constabulary.html . The RNC Association, made up of police members, (their web site http://www.rnca.ca/?) has as their stated goal to " The goals and objectives of the RNCA are to improve benefits and working conditions for police officers..." To accomplish this mission, in part, the RNCA is spending considerable money buying tickets to PC fundraisers. Since I wrote that story on them in 2011, the RNCA has continued with this practice. In fact, this line appeared on the political finance report of the province for 2012:

"Royal Newfoundland Constabulary Association St. John's, NL 2,000.00 PC"

Aside from the provincial RNC Act prohibiting political activity, the Criminal Code of Canada Section 121 clearly prohibits this activity by officials, and people attempting to influence those officials, in this way.

Then there is the issue of political donations made by corporations that have contracts with the provincial government. Political donations by corporations in Newfoundland and Labrador are legal (Section 282 of the Elections Act http://www.canlii.org/en/nl/laws/stat/snl-1992-c-e-3.1/latest/snl-1992-c-e-3.1.html). That being said, it is not a blank cheque. Section 7.1 of the provincial Conflict of Interest Act http://www.assembly.nl.ca/legislation/sr/statutes/c30-1.htm#4_ states:

" Accepting extra benefits

7.(1) A public office holder shall not, directly or indirectly, accept a fee, gift or personal benefit, except compensation authorized by law, that is connected, directly or indirectly, with the performance of his or her duties."

In other words, as a politician, the only funds you can receive for doing your job is your pay cheque for doing your job. That brings us to this: political donations made to ministers of the provincial government of Newfoundland and Labrador. The following list is from the official record of political donations made to ministers of this government only. There are many cases where MHAs have also received similar donations. Ministers of the Cabinet have direct influence on the expenditure of public funds, and the establishment of spending priorities by the government - including individual projects as small as road paving, and as large as mega projects. They have direct influence and decision-making roles. The list of corporations, doing business with this government, and the ministers they donated to, in the 2011 general election, are as follows:

Air Labrador                        $2000.00     Patty Pottle;

                                            $  500.00     Derrick Dalley;

Atlantic Audio                     $ 1000.00    Kathy Dunderdale

Visual Inc

Atlantic Engineering             $  300.00     Joan Burke

Consultants

                                           $5000.00    Tom Marshall

  

Atlantic Minerals Ltd.          $ 1000.00   Tom Marshall

Avalon Coal Salt Ltd          $ 1000.00    Tom Hedderson

BAE Newplan Group Ltd   $  500.00    Paul Davis

(SNC Lavalin)

                                           $ 500.00    Paul Davis

                                           $ 500.00    Steve Kent

                                           $ 1000.00  Derrick Dalley

                                           $ 1000.00  Terry French

                                           $ 1000.00  Clyde Jackman

                                           $ 1000.00  Jerome Kennedy

Bennett's Construction         $ 1000.00  Darrin King

and Supplies

Bluebird Investments Ltd     $ 1000.00  Susan Sullivan

Brad Roberts                      $ 2500.00  Jerome Kennedy

Developments

Brook Construction             $ 5000.00  Tom Marshall

David Bussey                      $ 2000.00  Jerome Kennedy

CBS Bus Lines                   $ 1000.00  Jerome Kennedy

Canada Fluorspar               $ 1000.00  Darrin King

                                         

Cold Ocean Salmon            $ 1500.00  Darin King

                                           $ 2500.00 Clyde Jackman

Coleman Management         $7500.00  Tom Marshall

Services

Concord Paving                  $1000.00  Charlene Johnson

                                           $3000.00  Jerome Kennedy

Corner Brook Pulp and       $1000.00  Tom Marshall

Paper

Dr. G. E. Drogar PMC Inc  $1000.00 Susan Sullivan

Dr. King Jim PMC Inc        $ 100.00  Susan Sullivan

Dr. MS Boodhurn PMC     $  100.00 Susan Sullivan

Inc

Dr. Michael Cohen PMC   $  500.00 Susan Sullivan

Dr. Steven Parsons PMC    $ 1000.00  Susan Sullivan

Inc 

Eastern Star Group Ltd      $ 3500.00  Derrick Dalley

Phillip J Davis                    $ 3500.00  Derrick Dalley

Emera Inc                          $ 1200.00  Shawn Skinner

Fairview Investments          $ 2800.00  Kathy Dunderale

Farrells Excavating Ltd       $  500.00  Clyde Jackman

                                          $1000.00  Terry French

                                          $2000.00  Tom Hedderson

Freak's Ambulance             $1500.00  Kevin O'Brien

Service                               $1500.00  Susan Sullivan

Fusion BPO Services          $1500.00  Susan Sullivan

Harris and Associates          $  100.00  Charlene Johnson

                                           $1000.00  Jerome Kennedy

Hearne Fougere Architects   $ 500.00  Clyde Jackman

Inc                                       $ 500.00  Joan Burke

                                            $ 500.00  Charlene Johnson                                           

                                            $ 500.00  Darrin King

                                            $1000.00 Jerome Kennedy

                                            $1200.00 Shawn Skinner

                                            $5000.00 Tom Marshall

J-1 Contracting                    $5000.00  Kathy Dunderdale

Johnson's Construction Ltd   $5000.00  Tom Marshall

Land and Sea Wielding         $2000.00  Jerome Kennedy

Malthius Canada Ltd            $1000.00  Paul Davis

Marine Contractors Inc        $5000.00  Tom Marshall

Marystown Shopping           $3049.00  Clyde Jackman

Centre Ltd (PQ)

Mercer's Ambulance            $2500.00  Derrick Dalley

Service

Municipal Construction        $2500.00  Tom Hedderson

Ltd

Nortech Construction Co    $1000.00  Derrick Dalley

Ltd                                     $1000.00  Clyde Jackman

                                           $1000.00  Darin King

Oram Group Inc                 $2000.00  Charlene Johnson

Pardy's Waste Management  $1000.00  Tom Marshall

Pennecon Limited                 $1000.00  Derrick Dalley

                                            $1000.00  Terry French

                                            $1000.00  Tom Hedderson

                                            $1000.00  Keith Hutchings

                                            $1000.00  Darin King

                                            $1000.00  Shawn Skinner

                                            $2000.00  Kathy Dunderdale

Penney Paving Ltd.               $1000.00  Tom Hedderson

                                            $2500.00  Susan Sullivan

PBH Group Inc (Stantech)   $1000.00  Joan Burke

                                            $5000.00  Darin King

Pinnacle Engineering Ltd      $1000.00  Kathy Dunderdale

Provincial Airlines Limited    $1000.00  Joan Burke

                                           $1000.00  Derrick Dalley

                                           $1000.00  Kathy Dunderdale

                                           $1000.00  Charlene Johnson

                                           $1000.00  Shawn Skinner

Provincial Paving Ltd.          $ 500.00  Keith Hutchings

Pyramid Construction Ltd    $ 300.00  Tom Hedderson

                                           $ 300.00  Keith Hutchings

                                           $ 300.00  Kevin O'Brien

          

Reliable Ambulance           $1500.00  Tom Marshall

Service 

RJG Construction Ltd        $2500.00  Darrin King

Ron Fougere Associates    $2000.00  Kathy Dunderdale

Terra Inns Ltd                   $2000.00  Kathy Dunderdale

The Brigus Production       $1000.00  Terry French

Company 

Tiffany Village                   $1000.00  Kathy Dunderdale

Western Petroleum           $1500.00  Jerome Kennedy

Newfoundland Ltd 

Western Star Trucks Ltd   $ 500.00  Susan Sullivan

This list does not include Ross Wiseman who received substantial like donations, but is now the Speaker of the House of Assembly.

Having studied the donation lists extensively over the last year, I have some observations:

1.    It appears that the more influence the Cabinet Minister has within the government, the more and the     higher the donations from corporations that have contracts with the government;

2.   There are numerous cases where the Minister responsible for a department is actually receiving direct political donations from a company that deals directly with her or his department, for example - Hedderson in Transportation and Works getting donations from excavation, construction and paving companies - Sullivan in Health Care receiving donations from doctors - etc;

3.  Donation from corporations with live bids on the Muskrat Falls contract - for example Coleman Management Services (owned by current PC Party Leadership candidate Frank Coleman) to current interim Premier Tom Marshall;

4.  Ordinary MHA's of the government receive almost nothing in donations from corporations with government contracts, relative to the Cabinet Ministers - which implies there is an order of donation based upon influence within the government;

5.  Corporate donations to Cabinet ministers of the government is rampant among smaller industries dependent on government money - ambulance services; funeral homes, seniors homes, school bus companies, the aqua culture industry, etc. Most of those donations have not been recorded here as they receive grants from government, but do not necessarily have a contract for supply with the government; and

6.  Almost no members of the Liberal or NDP parties received donations from these companies - although a few, small donations were made.

Total corporate donations from companies, doing business with the government, to Cabinet Ministers in the 2011 general election:

Tom Marshall         $37,000.00

Kathy Dunderdale  $15,000.00

Jerome Kennedy    $14,000.00

Derrick Dalley       $14,000.00
Darin King             $13,000.00

Clyde Jackman      $10,500.00
Susan Sullivan        $ 9,700.00

Tom Hedderson     $ 8,800.00

Shawn Skinner       $ 4,800.00  (subsequently defeated)

Charlene Johnson   $ 4,600.00

Terry French          $ 4,000.00 

Joan Burke            $ 2,800.00

Patty Pottle            $ 2,000.00  (subsequently defeated)

Paul Davis             $ 2,000.00

Kevin O'Brien       $ 1,800.00

Keith Hutchings     $ 1,800.00

This post is written to inform the public on a matter of public interest. It is written to inform those that were unaware. It is written to change what needs to be changed in our province, for the benefit of the people of the province. It is written to uphold the law. As it stands now, these issues need investigating by the Special Branch of the RCMP. Until the issue is investigated, and if people are charged, and if they are convicted, then these observations remain just that.