An Act to amend the Canada Elections Act (political financing)

This bill was last introduced in the 42nd Parliament, 1st Session, which ended in September 2019.

Sponsor

Karina Gould  Liberal

Status

This bill has received Royal Assent and is now law.

Summary

This is from the published bill. The Library of Parliament often publishes better independent summaries.

This enactment amends the Canada Elections Act to
(a) enact an advertising and reporting regime for fundraising events attended by Ministers, party leaders or leadership contestants; and
(b) harmonize the rules applicable to contest expenses of nomination contestants and leadership contestants with the rules applicable to election expenses of candidates.

Elsewhere

All sorts of information on this bill is available at LEGISinfo, an excellent resource from the Library of Parliament. You can also read the full text of the bill.

Votes

Feb. 13, 2018 Passed 3rd reading and adoption of Bill C-50, An Act to amend the Canada Elections Act (political financing)
Feb. 6, 2018 Passed Concurrence at report stage of Bill C-50, An Act to amend the Canada Elections Act (political financing)
Feb. 6, 2018 Failed Bill C-50, An Act to amend the Canada Elections Act (political financing) (report stage amendment)
Feb. 6, 2018 Failed Bill C-50, An Act to amend the Canada Elections Act (political financing) (report stage amendment)
June 15, 2017 Passed 2nd reading of Bill C-50, An Act to amend the Canada Elections Act (political financing)

Canada Elections ActGovernment Orders

June 8th, 2017 / 10:40 p.m.
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Liberal

Andy Fillmore Liberal Halifax, NS

Mr. Speaker, I thank the member for St. John's East for his dedication and hard work on this file.

The new BFFs on this side of the House have been labouring mightily to fabricate concerns around these fundraisers really under two headings as I can see. First, the member for St. John's East dispensed with it quite handily, and that was the inability of funds in the amount of $1,550 to influence any reasonable member of Parliament. That could never happen of course. That leaves what must be the secondary concern, which would be what is discussed at these events, with whom, and how that might give influence to decisions down the line.

I wonder if the member took note that on Tuesday, June 6, Kady O'Malley wrote, “When you get down to it, the prospect of publicly available invite lists should have a wonderfully clarifying effect on the judgment of any minister--or ministerial staffer...in deciding which events might cross the line and create at least the perception of a conflict of interest.”

Would the member agree with her conclusion that this would mollify any concerns about undue influence of deep-pocketed donors?

Canada Elections ActGovernment Orders

June 8th, 2017 / 10:40 p.m.
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Liberal

Nick Whalen Liberal St. John's East, NL

Mr. Speaker, I obviously agree with that. In fact, it was the nature of what we discussed. By providing this information, Canadians will have an opportunity to see what is going on. It will also provide information to ministers and their staff to know what is appropriate and not appropriate. Canadians can make up their own minds, because Canadians do not need to be patronized. They are intelligent people, and they can look at the information and make an informed decision.

Canada Elections ActGovernment Orders

June 8th, 2017 / 10:40 p.m.
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Conservative

Harold Albrecht Conservative Kitchener—Conestoga, ON

Mr. Speaker, I do not want to belabour the point that the real reason we are here tonight on both Bill C-24 and Bill C-50 is because of miscalculations on the part of the Prime Minister. In the first instance, he promised gender parity in cabinet, and suddenly realized he did not have it. On this piece, he is giving in to his Liberal instincts.

Why is there nothing in Bill C-50 that would address third-party financing? That is the big elephant in the room. Third-party groups have unduly influenced elections, especially the last one. Why is there nothing in Bill C-50 that would address that?

Canada Elections ActGovernment Orders

June 8th, 2017 / 10:45 p.m.
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Liberal

Nick Whalen Liberal St. John's East, NL

Mr. Speaker, while the member asked an interesting question, I cannot really comment as to what is not in the bill. What is in the bill is fantastic. The bill addresses loopholes that I myself had noted when I was involved as a volunteer for the political party in terms of unfair treatment of different types of political financing.

The member for Lanark—Frontenac—Kingston thought that the bill would not close the loophole the Conservatives used to have cash for access fundraising through the back door and their appreciation events, but it does in fact close that loophole, and now Canadians will have the necessary information to make an informed decision as to whether or not influence is being bought. I think they will find that it is not.

Canada Elections ActGovernment Orders

June 8th, 2017 / 10:45 p.m.
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Conservative

Peter Van Loan Conservative York—Simcoe, ON

Mr. Speaker, it is time we had an honest discussion of what the bill is actually about. I have heard Liberal speakers talk about chapter and detail of what it is about, and that there was no problem. I just heard from the Liberal ranks saying there was no problem to be solved. If there is no problem to be solved, why are we having a bill? The problem to be solved by the admission of the Liberal Party was a scandal called cash for access fundraising. It was hitting the news. It was making stories, and the Liberals promised to deal with the problem. The bill is said to be the response to that problem.

I thought it very telling that the member for St. John's East said there are rules that the parties set for themselves. That was a description of the bill. This is a bill where the Liberals are setting rules for themselves. This is not solving the problem of cash for access fundraisers. This is not stopping cash for access fundraisers. This is a bill that formalizes the process of cash for access fundraisers. This is a bill that legalizes cash for access fundraisers.

Some know I have been involved in political parties and campaigns for a few years, 42 to be exact. I know a thing or two about fundraising. I know a thing or two about running campaigns. Make no mistake, the bill is about formalizing and instituting a system of cash for access fundraisers. That is what it does. That is what it is all about.

It is not surprising Liberals want to, as the hon. member said, set rules for themselves about fundraising, and that this is what they are doing here. The Liberals have a long history of fundraising problems and scandals. Some of it in very recent history. I recall it was not long ago that the Minister of Justice, keep in mind the justice minister is responsible for appointing every senior judge in this country, held a fundraiser and invited lawyers. They were to be given unprecedented access, and it was even held at a major Toronto law firm.

If an individual is a lawyer and applying to become a judge, and being told to come to a fundraiser, I think the message is loud and clear. That judgeship applicant might want to show up. Not surprisingly, we have seen a raft of appointments recently that happened to coincide with the fact these people were very generous donors to the Liberal Party. Is there any doubt what was going on at that fundraiser by the Minister of Justice targeted to lawyers?

I was part of the Harper government, where as a minister for many years, I was actually, by the ethics rules we thought and by our practice, prohibited from raising money from the stakeholders in my portfolio. Prohibited. The Ethics Commissioner told us those were the rules. We could not do it, and we did not do it. Here, the Liberal Party is making it a formal practice, and having been called out on it, the solution is simple, the Liberals will pass a law, formalize it, and say this is the system. Then, when anyone says there is a problem, tell me if we have heard this in question period, we are following the rules. What rules are we following? These are rules the party is setting for themselves as the hon. member for St. John's East said. These are the rules they are going to follow.

That will be the answer, and when the Ethics Commissioner says she does not like the appearance of undue influence and cash for access, Liberals are going to say they are following the rules. They are setting up a system, and everyone who comes has to show up, be on the list, advertise it publicly, and so on, but having done all that, it is okay for Liberals to raise money from stakeholders, and sell the access of the minister's ear, so that people can whisper their requests. If they are lobbying, the minister is there if they have paid their ticket price to the Liberal Party.

That is what the bill is about, and that is why it is wholly unacceptable. It is unacceptable in a free and democratic society where we pretend that everybody has equal access, because it is not equal access. It is cash for access. Cash for access to the decision-makers who can make a difference in the success or failure of people's ventures, and we have seen that. It was not just the people who want to become judges.

The Prime Minister, we learned, went to a fundraiser or a private home, targeting a particular community. One of those at that fundraiser was somebody named Shenglin Xian. He had an interest, an application to the federal government for a bank. He made the maximum donation to the party, and got a lot of his friends to come to this fundraiser too, to make those maximum donations to the party. They all got to talk to the Prime Minister, got their pictures taken with the Prime Minister, and talked to the Prime Minister about the things in which they had a financial interest, about things from which they would profit by a decision made by the government. What happened? Not long after that fundraiser, Mr. Xian got his approval from the federal government. That is part of the scandal that led to the bill. That is part of the problem that has been solved by the bill.

Let us go back and see what happens. Is there anything in the bill that would stop the exact same thing from happening again? Is there anything that would discourage it, because that maximum donation to the party is publicly disclosed anyhow. No, this is a smoke and mirrors formalization of cash for access fundraising, a legalization and a way to say to the public, to the people in the House, to the media and to the Ethics Commissioner, “It is none of your business. We are following the rules.” The rules that parties set for themselves, as the Liberal member said, and that is what this is.

That is why this is so unacceptable. Mr. Xian was not the only one at that cash for access fundraiser. Another gentleman gave $1 million to the Trudeau Foundation, after attending an exclusive, in a private home, cash for access fundraiser. He did not give money to any other groups. He did not give money to the Manning Centre, no. He went to a fundraiser with the Prime Minister and gave money to the Trudeau Foundation, $1 million. He did not give money to anybody else. He was not having a private cash for access fundraiser with anybody else, he was having it with the Prime Minister, and the money flowed to the Trudeau Foundation.

There were other attendees at that event who acknowledged they raised government business with the Prime Minister. They said they lobbied the Prime Minister about things they cared about, interests that they had with the government. The Prime Minister even admitted it. He acknowledged that he had been lobbied at that event, and this will make it all go away because what? Can anybody point me to one provision in the bill that will stop that fundraiser and those discussions from happening? There is none. All it will do is stop the criticism of that inappropriate, unethical, virtually corrupt form of fundraising, and it is something that is happening, not to solve the problem, it is happening to solve the Liberals' fundraising problem.

Let us ask, where did this came from? Why was it that the media was suddenly interested in Liberal fundraising? No one was standing there for a long time. They had not been. It turns out the Ontario Liberals, some of whom have suddenly migrated to Ottawa, the people who used to run the Premier's office, who used to run the Liberal Party in Ontario, are now running the federal Liberal Party. What did they do when they were in Ontario? They had something that was described by Liberal insiders and Liberal cabinet ministers as a system. It was a system of cash for access fundraising, and this is how the Liberal Party of Ontario was funded. Each minister was assigned targets. If an individual was the minister of finance, somebody like Charles Sousa, the minister would sign an annual target of half a million dollars.

They were given a list of the stakeholders, the people they would be dealing with, the folks they would be making decisions about. They would be told to forget about themselves and their riding associations. Gerald Butts and Katie Telford were in the premier's office. Now they are in the Prime Minister's Office. They would be told to go out for the Liberal Party of Ontario. If a member wanted to remain a minister, he or she would have to raise half a million dollars from stakeholders and turn it over to the Liberal Party caucus. The job was to hold the fundraisers, give the access, collect the cash. That was the system.

It turns out that Eric Hoskins, the health minister, had the exact same target of half a million dollars a year. He had to hold fundraisers at long-term care homes with the Ontario Long Term Care Association and folks like that, and bring in money.

All the folks on the backbench over there think the way to be a minister is to always follow the party whip. This law is about putting in place a new system for them. That is what the Liberals did in Ontario. It is real simple. They should not worry about the whip. They are given a target and are told to bring in money. If they perform, they will get to be in cabinet. That was the system in Ontario. It became a bit of a scandal, understandably.

I know a lot of people are smiling on the Liberal benches because they think this is funny. However, it is not funny; it is corruption. It is what discredits politics in our country. When people think the worst of politics, it is what they think the country is about. It is the system of the Liberal Party, of Gerald Butts, of Katie Telford, and it is the system they are bringing here. It is the system that this bill will legalize, formalize, put in place, and keep rolling, but with much bigger stakes and much bigger dollars. People should think about that.

One of my friends across the way is heckling about one of two cases in a decade of Conservative government, where there was an issue for cash for access. Oddly, both of them happened in that very Conservative sector, the arts sector. One was with a minister, the other with a parliamentary secretary. In both cases, they attended events that they thought were just meetings with folks in the arts sector. Somebody went around the room and collected cheques. All that money was returned of their own initiative. Why? Because that was the Conservative practice: no cash for access.

Those were the only two examples in that arts sector, which was so cozy with the Conservatives. This undermines the fact that these were unsolicited funds that were returned instantly on the initiative of the Conservatives because it was wrong. The hon. member knows it is wrong and that is why he is raising it. However, he will vote for a bill that makes it legal and formal to do that kind of stuff. The hon. member who is heckling me thinks it is wrong, but will vote for a bill that formalizes it.

Should that not trouble everybody? Did Prime Minister Stephen Harper ever hold any? He avoided it by one simple mechanism: he did not hold fundraisers and did not attend fundraisers. In a decade in office, he attended one fundraiser. It was in Montreal, with over 1,000 people. It was not a cash for access intimate event in the kitchen of one of his friends who had an interest; it was one with 1,000 people. Even then he stopped it. Why? There could be no question whatsoever of unethical or corrupt conduct, the kind that would be formalized in this bill.

Let us talk more about the Ontario system.

Energy minister Bob Chiarelli was consistently turning in a quarter to a third of a million dollars a year. That was his target. He held one private dinner with one group of stakeholders in the energy sector. The premier went to it. This little private dinner in a restaurant turned up $100,000 alone. That was the Liberal cash for access system.

Dwight Duncan, a former Liberal finance minister of Ontario, has this to say about the system. He was assigned the target of a million dollars. He said, “One of the reasons I quit...I was so sick of it.” That system is what the people on the government side are proposing we support, formalize, and legalize.

John Gerretsen, the attorney general, father of the Liberal member for Kingston and the Islands, said this about the Liberal system of cash for access. He said he was troubled by the conflict of interest aspects, “If a major issue comes up, and you have been funded by lobbyists on behalf of any kind of industry, you’re going to be affected by that...it’s human nature."

It is human nature to be influenced by it. Unfortunately, it is Liberal nature to do it, to always conduct cash for access fundraising. Now, they have created a system that legalizes it and formalizes it, and somehow in the whole process are pretending they are doing something virtuous.

Of course there was the exposé of what was being done in Ontario, and I credit those Liberal insiders and former ministers who exposed it, because otherwise we would not know today that they literally had a formal system. They identified stakeholders, raised the money from them, and did it. That is why it became an issue when suddenly those folks from Queen's Park came to Ottawa and the same kind of fundraising began to appear here. It had not been here under the previous government, but suddenly, there it was. The Prime Minister was holding intimate gatherings. People were making maximum donations. They were bringing along 10 or 20 of their friends. In the states they call that bundling. They were bundling to make those maximum contributions. They were discussing government business.

Is there anything in the bill that would stop that? Is there anything in the bill that would prevent lobbying at these exclusive cash for access events? No, there is not. We are formalizing and legalizing how it is done. “Come on up, pay your $1,500, and have your say with the minister, and then get your way maybe down the road.” That is what the bill is all about.

The Liberals are back in business. They are back in Ottawa. Some will remember the “Sky Shops” scandal. Some will remember the sponsorship scandal, and I could go on and on through history. It has always been there. It has always been the Liberal way.

We are going to get money based on the principles we stand for, standing for, as Conservatives do, our belief in smaller government. The NDP believes in bigger government. They think that is the solution. People support us for both those reasons. However, for the Liberal Party, there is a challenge. When they do not believe anything, how do they get money? They get money by selling access, by selling favourable decisions, by giving people what they want in exchange for cash. That, simply put, is political corruption. Anywhere I come from, that is what it is.

I am proud to be part of a political party that has avoided those things. I was very proud to be part of a government where it simply did not happen, a government where the money came in small amounts from people all across the country who simply believed in what we cared about. I never attended, held, or saw anything remotely like a cash for access fundraiser in my entire time in government as a member of Parliament on the Conservative Party side, but as soon as the government changed, the Ontario system was here.

What did they do to solve it in Ontario? They actually banned cash for access fundraisers. The Ontario Liberals acknowledged it was wrong and banned it. It was a little awkward. They went overboard and said MPs, candidates, opposition individual MPs cannot be there. It is a little excessive, but it actually solves the problem and bans it. They did not do that with the federal Liberal approach, which is to formalize it, legalize it, and set up a system.

The Liberals want to continue the practice here in Ottawa. The way they are going to continue the practice is by building bulletproof, iron-clad defences: “We addressed the problem. We passed a law. We are following the law. We are doing exactly what the law says one does if collecting cash for access.”

That is not a solution to the problem. That is an increase in the problem. That is an acceleration of the problem. That is the practice of politics the way Liberals have always done it, and the way it seems they want to do it into the future. That is unacceptable to Conservatives. That is unacceptable to Canadians.

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:05 p.m.
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Northumberland—Peterborough South Ontario

Liberal

Kim Rudd LiberalParliamentary Secretary to the Minister of Natural Resources

Mr. Speaker, I have to say two things. One, we are in Ottawa, not Toronto, just to clear up the geography. Two, the sanctimony coming from the other side is a bit rich.

I just want to remind the member opposite we are hearing of this panacea, this wonderful experience of perfectness that came from the former government in terms of fundraising. There is a gentleman who lives in my riding, and the member might remember his name, Dean Del Mastro. He served time in prison for illegal fundraising as a parliamentary secretary to the former prime minister Stephen Harper.

I would also like to mention that the hon. member across the way has in fact made the argument for the bill. Does the member know who donated to the former prime minister Stephen Harper's nomination campaign in 2004? My guess is no, but under the bill we all would.

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:05 p.m.
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Conservative

Peter Van Loan Conservative York—Simcoe, ON

Mr. Speaker, none of what the hon. member raised had anything to do with cash for access.

The problem we are talking about, and that the bill was supposed to solve, is cash for access fundraisers. Mr. Del Mastro faced consequences for his acts. The Liberals are now going to have a structure to allow their acts. Mr. Del Mastro never promised anybody anything. He never made himself available to lobbyists. However, the Liberals will now be formally available to anybody wanting to lobby for an outcome or a decision from the government. It is all going to be there. Anybody who has an interest could pay money, all the rules for fundraisers would be followed, and it would be the law. That is what the bill would do.

It is the Liberal Party making rules for themselves to enable and allow the continuation of an essentially corrupt practice.

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:05 p.m.
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NDP

Robert Aubin NDP Trois-Rivières, QC

Mr. Speaker, I want to apologize to the people watching us on television because I really feel like we are getting lost in the debate. I have been in the House for six years. I arrived when the Conservatives came to power after the Liberal scandals.

What did the Conservatives do? Year after year, they raised the contribution limits because doing so gave them an advantage. The Conservatives abolished public funding because doing so gave them an advantage. Now that the Liberals are in power, they are normalizing a totally unacceptable practice and trying to ram it down our throats because it will give them an advantage.

I want to ask my colleague when he thinks we will see a publicly funded election. I think people know that democracy comes at a cost, and they are prepared to pay it. Instead of serving political parties, that would serve democracy.

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:05 p.m.
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Conservative

Peter Van Loan Conservative York—Simcoe, ON

Mr. Speaker, the hon. member who asked me the question knows that the taxpayers refunded 60% of what he spent on his last election campaign. They funded 60% of his election campaign on a rebate. Before that, everybody who gave $200 to his campaign got $150 back on a tax credit. That is pretty generous.

When I look at that, the cumulative aspect of those contributions and those rebates, members are getting pretty close to 90% of their political campaigns paid for by the taxpayers. That is not too bad. That is a pretty good number. When the member says there is not enough public funding, what does he want raised? Should it be more than 60% that would be rebated? Should the tax credit be more than 75%? It is not that high in the charitable sector. These are very generous public funding aspects that exist in the law.

That is not the concern here. The concern here is that this is not enough for the Liberals. The Liberals are saying that even with that kind of generous taxpayer support, they still need to have the right to allow people who want something from government to be able to go up to the Prime Minister or the minister, pay $1,500, and ask for what they want in return from the government. We are going to put it—

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:10 p.m.
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Conservative

The Deputy Speaker Conservative Bruce Stanton

The hon. Parliamentary Secretary to the Minister of Justice.

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:10 p.m.
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Eglinton—Lawrence Ontario

Liberal

Marco Mendicino LiberalParliamentary Secretary to the Minister of Justice and Attorney General of Canada

Mr. Speaker, I want to begin by thanking my hon. colleague for his remarks, though I must say I disagree with the vast majority of what he said and I feel compelled to clear the record.

Let us begin with the most important principle here: it is that every member on this side of the House follows the rules when it comes to fundraising. We follow the rules, and I feel compelled—

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:10 p.m.
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Some hon. members

Oh, oh!

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:10 p.m.
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Liberal

Marco Mendicino Liberal Eglinton—Lawrence, ON

I know my colleagues are heckling on the other side, Mr. Speaker.

However, I also feel compelled to remind my hon. colleague that the Ethics Commissioner concluded her investigation without any finding.

My colleague went on about his time in government and he went on about the record, though his tone seemed a bit strained, because even he conceded that in his previous government two of his colleagues breached the rules, not once but twice. On this side, we are proud of how we are raising the bar when it comes to openness and transparency, not only when it comes to fundraising but when it comes to access to information and when it comes to things like publishing the mandate letters, which the previous Conservative government had every chance to do but failed to do.

Will my hon. colleague not agree that the real reason he will not support this bill is that it reminds him of all of the missed opportunities and failures of his previous government, while it reminds every Canadian how we are succeeding when it comes to fundraising and ethics, openness, and transparency?

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:10 p.m.
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Conservative

Peter Van Loan Conservative York—Simcoe, ON

Leave it to the hon. member to defend the indefensible, Mr. Speaker, a bill that formalizes the Ontario Liberal system whereby the Minister of Finance has a quota of half a billion dollars from his stakeholders and the Minister of Health has a quota of half a billion dollars a year from the stakeholders for the Liberal Party. That is what cash for access was, and that is what this bill would establish as a legal system.

When there was doubt in the past, when the Ethics Commissioner could say something was wrong, there is a really easy answer once this bill is passed: “We follow the rules.” Who just said that? The hon. member said, “We will follow the rules.” Why? It is because, as the member for St. John's East said, there are rules that the parties set for themselves, and that is what this is. The rule the Liberal Party is setting for itself is to collect cash for access. The Liberals are the only ones with ministers and parliamentary secretaries, like him and like his minister, who have held cash-for-access fundraisers. They are the only ones who can do that and actually deliver access to ministers and people who can make decisions, so of course he wants to have a set of rules that allow that, because that is the Liberal system.

Their response is not what the Ontario Liberals had to do, which was to shut down cash for access; their response is to legalize and formalize cash for access. I am getting tired of saying it, but I am not as tired as Canadians are going to be after they see it under way.

For a while—for a couple of years, maybe—“we are following the rules” will work as an answer, but it did not work in Ontario. People figured out that the rules were made to facilitate that kind of Liberal corruption, and the chickens came home to roost.

That is what is going to happen to the Liberal Party here. They can formalize the system, but at the end of the day it is a corrupt system. They can legalize the system, but when it is a corrupt system, Canadians will not stand for it, and eventually, sooner or later, they will pay attention and find it unacceptable. Then the Liberal Party will pay the price for having made that critical decision to disrespect the fundamental principles of clean government and create a corrupt fundraising system and a law under which it can conduct it.

Canada Elections ActGovernment Orders

June 8th, 2017 / 11:10 p.m.
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NDP

Murray Rankin NDP Victoria, BC

Mr. Speaker, I want to thank my colleague for a reminder of what this bill is about and what it is not about.

I wonder if my colleague has the concerns that I have and that I alluded to in my comments. I agree entirely with him. Not only are we entrenching this corrupt system and putting a happy face on it by the transparency point, but that very transparency will allow the government to know who attended, for example, a Conservative fundraiser, and therefore a person who was found to have attended could be punished when he or she wanted a government position because it is all going to be on the Internet. Does that feature cause any concerns to the hon. member?