Evidence of meeting #18 for Government Operations and Estimates in the 40th Parliament, 3rd Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was gillani.
A recording is available from Parliament.
3:30 p.m.
Liberal
The Chair Liberal Yasmin Ratansi
Ladies and gentlemen, the clock says a little after 3:30, so could we all take our seats, please.
The committee is continuing its study on renewable energy projects, and we have before us as a witness, for one hour, Mr. Jim Wright, of Wright Tech Systems.
Mr. Wright, I understand you have an opening statement for five minutes.
3:30 p.m.
Chairman, Wright Tech Systems
Madam Chair, thank you. I thank the committee for inviting me to this session.
I am Jim Wright, chairman and sole shareholder of Wright Tech Systems Inc., and a partner in Green Rite Solutions Inc., a marketing and funding partner that assists Wright Tech Systems Inc. Both companies are based in Richmond Hill, Ontario, in the greater Toronto area. During my time with you, I will attempt to describe my involvement with Nazim Gillani, Rahim Jaffer, and Helena Guergis.
Background about me, Wright Tech Systems, and Green Rite Solutions: I am a proud Canadian from Northern Ireland, as you can hear by the accent, and happy to say I've been here for 53 years. I would describe myself as an inventor and an entrepreneur. I have always been interested in waste management, and specifically its effects on the environment. To that end, since the mid-1970s I have been working to put my ideas into workable business solutions for municipal waste management. Over the last five years Wright Tech Systems has focused on developing waste management solutions for a number of institutions, businesses, and municipalities. We have a patented technology that converts organic waste into green energy. Our technology is called a biodryer. It's a biological dryer. We can provide turnkey waste management solutions for municipal projects of 50 to over 1,000 tonnes per day. We design, engineer, procure, manufacture, and supply equipment. We also construct, operate, and finance these projects. Every project is unique. We employ waste, energy, and environmental specialists; design engineers; project managers; facility operators; and financial advisers. Wright can provide the necessary municipal solid waste separation for non-hazardous discarded material generated in residential, commercial, institutional, and light industrial settings. The systems include sorting, separation, biofiltration, and conveying equipment. We can provide a complete waste processing solution, and it works.
Wright has systems in various locations, including Disney World in Florida, Whistler, the site of the Vancouver Olympics, and in Ireland. Many people with interest in green projects can and do speak with us about our systems. Capital funding meetings and institutional marketing efforts have brought us into contact with diverse financial interests over the years. My purpose in providing this description is to explain how, in the normal course of business, Green Rite Solutions and Wright Tech Systems might come to the attention of financiers or venture capitalists of various sorts.
About Nazim Gillani, Rahim Jaffer, and Helena Guergis: I have been asked many questions by the media and issued a statement on April 23, 2010. Mr Gillani first came to the attention of Green Rite Solutions Inc. in the course of promoting our biodryer technology as I described above. Meetings were arranged with Mr. Gillani, and two of these meetings were at my Richmond Hill boardroom specifically to assess potential financial opportunities. As it appeared to us that there were no mutual future prospects, we terminated further meetings with Mr. Gillani.
Mr. Jaffer was introduced to Green Rite Solutions by Mr. Gillani's cousin at a luncheon meeting chaired by Gillani at La Castile Steak House. Mr. Jaffer was considered to be a potential source for locating government funding. This was the only time I saw Mr. Gillani and Mr. Jaffer together. Mr. Jaffer did indicate that there were potentially green funds from which moneys might be available once we had obtained contracts from municipalities and that he and Mr. Glémaud, his partner, would possibly assist with the application for these. It became clear to us that all efforts to arrange for any actual government funding would be our corporate responsibility, and therefore there was no benefit to continue work with Mr. Jaffer or his partner, Mr. Glémaud. In my opinion, although Mr. Jaffer appeared to have acted in good faith, it did become clear that he brought little substance to the discussions. Lobby efforts were never discussed. Mr. Jaffer never stated that he had government funding for us. We terminated further meetings with both Mr. Jaffer and Mr. Glémaud. Some months later Mr. Jaffer and Mr. Glémaud were on their way to China and asked if they could represent our technology in China, but nothing came of it.
I am unaware of Mr. Jaffer's alleged subsequent promotion of Green Rite Solutions opportunities in Canada. Although I did eventually get a copy of a GPG document, anything I learned, I read in the papers.
The summary sheet that was sent by Green Power Generation and evidenced in a previous parliamentary hearing was probably an internal communication from GPG. In my opinion, it was likely planned for their use to ascertain investor interest in Green Rite Solutions. Neither Wright Tech Systems nor Green Rite Solutions was involved in the creation of the said document beyond providing data about the Canadian market potential of its systems.
In any case, all these meetings were fact-finding discussions to ascertain potential financial opportunities. Discussions like these happen all the time with other parties, and like those discussions, nothing came from them. No agreements or contracts were ever established. Neither Mr. Jaffer nor Mr. Glémaud has or had any financial interest in either of the companies. There were no payments of any kind made between the companies, Mr. Gillani, Mr. Jaffer, Mr. Glémaud, or their companies. We never discussed lobbying efforts of any sort.
During my initial meeting with Mr. Jaffer, he indicated that his wife, Helena Guergis, was the federal member of Parliament for Simcoe--Grey, Ontario. I happen to own property in this riding. I asked Mr. Jaffer if his wife could introduce my technology to local politicians, as one might ask of anyone's MP. For me, achieving local government awareness is always difficult. I also asked Mr. Jaffer if he was aware of the landfill project at Site 41. He said that he was not, but that his wife would be aware of it. Beyond that, Mr. Jaffer and I never discussed the Site 41 issue again.
The outcome was that Mr. Jaffer offered Ms. Guergis's office number. I contacted her through her assistant. Ms. Guergis provided me with an introduction letter to the local warden referring to the Site 41 project and the waste management issue. To my knowledge, her letter never led to anything. For this record, I can state that Ms. Guergis, like the others, had no financial interest in Green Rite Solutions or Wright Tech Systems, past or present.
Thank you for this opportunity to set the record straight.
3:40 p.m.
Liberal
The Chair Liberal Yasmin Ratansi
Thank you.
We will go to the first round of questions. Ms. Siobhan Coady will be questioning you for eight minutes, which will include the questions and answers.
Ms. Coady.
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
Thank you very much.
Thank you for appearing before this committee.
I am also a business person in a novel technology. I was in biotechnology, so I understand some of what you've been through in developing novel technologies.
Mr. Wright, you said that you had a meeting with Rahim Jaffer. What were your expectations? What were you expecting Mr. Jaffer to do for your company?
3:40 p.m.
Chairman, Wright Tech Systems
At the time, we had heard that there were green funds. We never have any success with government—never did. That's the way it goes. In years and years of business, it just doesn't work for me. I couldn't get anyone to talk to me anywhere in government. He was a government guy. When I met him at the steak house, he sat right beside me.
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
And did you anticipate that he would be able to help you in any way?
3:40 p.m.
Chairman, Wright Tech Systems
When he came to the meeting, I didn't know who he was. He came and was introduced to me. What he said to me was that he had been a member of Parliament for 12 years for Edmonton, that he was no longer an MP, having lost the last election, but he had a green company looking for green initiatives, green technologies. Remember, he was introduced to me by Gillani. I said fine, and we talked a bit willy-nilly.
Actually, I didn't know his wife at the time. We talked over lunch. I thought his wife actually was from Edmonton. I didn't know she was from where I had my cottage. He said, “No, my wife is from Simcoe”. That's when I said, “I wonder would she help me to reach politicians, because I can't get anybody's attention”. Site 41, I don't know if you're aware of it, has been an ongoing battle for the people up there, and finally yesterday the vote was unanimous to close it and never do it again, ever. But that hadn't occurred at that time. That was back in July.
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
So was he able to help you get Madame Guergis's attention?
3:40 p.m.
Chairman, Wright Tech Systems
He gave me the phone number to phone, and I got her secretary or her assistant.
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
You're not sure if he actually spoke to Madame Guergis about representing you.
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
It was your cottage country. It's not exactly the riding in which you live.
3:40 p.m.
Liberal
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
So you actually live in your cottage on occasion.
So this was just a chance meeting between you and Mr. Jaffer, you had a quick conversation, and there wasn't what you would consider a business relationship. He was not representing you, except for the trip to China, and then—
3:40 p.m.
Chairman, Wright Tech Systems
I'm sorry, it was my understanding that he was introduced to Gillani at that meeting also, by Gillani's cousin. I think it was the first time they'd met, and I think the meeting was more for them to understand themselves better, between those two, because we were sort of shuffled out at lunch and another group of guys came in, so we didn't stay around very long. We had a lunch and talked about green initiatives, green projects, this energy thing, green energy, which I do. I described to him what I do.
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
Sure.
I find it interesting, and I'd like your perspective on it, that on September 3, which is a week or so after you had this chance meeting and discussion with Mr. Jaffer, he submitted a $100 million funding application.
3:40 p.m.
Chairman, Wright Tech Systems
His partner phoned our office to give him some information on what was available in Canada. That's Patrick Glémaud. We gave him a broad spectrum from Halifax to Victoria. We gave him the size of the cities. We focus mostly on bio-solids, so we took the tonnages of the bio-solids of the major cities across Canada and put it all together and gave it to him. So he got that. We only gave him that information.
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
He did not say to you, “Look, this is a $100 million submission. I'm going to run it up the flagpole and see.” And he did not discuss with you finders fees or anything of that nature.
3:40 p.m.
Liberal
Siobhan Coady Liberal St. John's South—Mount Pearl, NL
He did not represent himself to you and say, “I'm going to be representing your company to government, looking for $100 million”.
3:40 p.m.
Chairman, Wright Tech Systems
He didn't ask for any money. What he said was there was money available in a green fund. This green fund, to me, believe me, is like smoke. As far as I'm concerned, it's smoke.
You have to understand something. What I gave you looked very brief, but it was brief. He wasn't every waking hour in my thoughts. This guy came and went, and I only touched him a few times. Remember that. I'm running businesses here, and I haven't got time for this. I see lots of people with wonderful stories because they like what we have, and they all say “a billion dollars over here”, and I just say “Rubbish”. When I see those numbers, I know this guy's on his game. I'm not interested in that.