Evidence of meeting #45 for Finance in the 43rd Parliament, 1st Session. (The original version is on Parliament’s site, as are the minutes.) The winning word was sir.

A video is available from Parliament.

On the agenda

MPs speaking

Also speaking

Michelle Douglas  Former Chair of the Board of Directors, WE Charity, As an Individual
Clerk of the Committee  Ms. Caroline Bosc
Marc Kielburger  Founder, WE Charity
Craig Kielburger  Founder, WE Charity

3:30 p.m.

Liberal

The Chair Liberal Wayne Easter

What's your point of order?

3:30 p.m.

Conservative

Pierre Poilievre Conservative Carleton, ON

I just want to confirm that I've understood the response from the Kielburgers on the point of whether or not the $1.18 million Heritage Canada grant was used in part to finance this advertisement. They said they pledged to look into it. That's nice. Will they give us the answer, in writing?

3:30 p.m.

Liberal

The Chair Liberal Wayne Easter

I don't believe that's a point of order, but we will allow an additional answer. If they have to provide further information, they will.

Could you restate your answer, gentlemen?

3:30 p.m.

Founder, WE Charity

Craig Kielburger

Indeed, sir.

We had both government funds provided and also had, for Canada 150, a number of not-for-profit and corporate sponsors.

To answer your question, we'd have to look at this component, the 10-part video series, of the 50 portraits as to where the specific funding came for it. We'll have to look into that question and get back to you.

3:30 p.m.

Conservative

Pierre Poilievre Conservative Carleton, ON

Thank you.

July 28th, 2020 / 3:30 p.m.

Liberal

The Chair Liberal Wayne Easter

Thank you.

Mr. Sorbara, followed by Mr. Barrett.

Francesco, five minutes.

3:30 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Thank you, Chair. Thank you, Wayne.

Good afternoon, everyone.

I have a couple of questions for clarification. If you could be quick in your answers, I would appreciate that. That's to the Kielburgers.

First thing, you mentioned with regard to payments to speakers that there was a discrepancy between not paying people or not having the usual practice of paying people at WE Day events and paying people or individuals at auxiliary events. Can you list the folks and how much they were paid for these auxiliary events?

3:30 p.m.

Founder, WE Charity

Marc Kielburger

Sir, once again, these speakers, yes, were invited to come to WE Day and the contracts often would, of course, reference WE Day, but it was the auxiliary events, as we shared, specifically where we needed the support, where we needed the help, and people participated, as we shared with you.

We've been warned that the speaker contracts we have are confidential, so we just have to look into that issue with our lawyers.

3:30 p.m.

Founder, WE Charity

Craig Kielburger

Sir, to be very clear, we're not trying to hold anything back, but we do want to respect the privacy of individuals whom we may not, frankly, want to drag into what has become a highly political conversation, which is very unfortunate.

3:30 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

I would say it's a very important conversation.

My second question is this. I've read through the funding agreement between the WE Charity Foundation and the Prime Minister's Office. In the $500-million program, all funds were going directly to, or were supposed to be going to, 40,000 students across this country. Correct?

3:35 p.m.

Founder, WE Charity

Marc Kielburger

Actually, that's incorrect, sir. It was for up to 100,000 young people, or specifically 100,000 young people, and the program itself was up to $543 million, depending on the number of volunteer hours of service.

Our assumption, based on the models we did, sir, was that this would be closer to $200 million to $300 million, based on the number of volunteer hours.

3:35 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Okay: so it would have been 100,000 students receiving approximately $3,000 or $4,000 each for volunteer hours across this country. Correct?

3:35 p.m.

Founder, WE Charity

3:35 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

The WE Charity Foundation was to have made zero dollars from administering this program. Correct?

3:35 p.m.

Founder, WE Charity

Marc Kielburger

Correct. This was all done as part of an expense reimbursement initiative. That's how the contract was set up, sir. It's all about eligible expenses. All of the dollars specifically for this program needed to be used for the program. Anything else would be returned back to the Government of Canada, sir.

3:35 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Okay.

There's been a lot of ink spilled on this in looking at the corporate entities. Look, I sat on the User Advisory Committee on the Accounting Standards Board for a number of years in my private life, before entering public life, which I have the privilege of doing now. I've looked at thousands of financial statements on a quarterly or annual basis in understanding organizations and how they're structured.

When you entered into this contract with the pertinent federal agency, in terms of the advice you received, both in-house and outside, it was advised to you that you needed to structure your corporation or entity to run this program in a certain manner. Is that not correct?

3:35 p.m.

Founder, WE Charity

Marc Kielburger

Sir, correct. We had already the WE Charity Foundation. The specific role was to help us limit liability. We were given professional advice, based on the specific and very significant request from the Government of Canada to ensure that we were assuming full liability for the first 40,000 young people who were volunteering during a pandemic. We needed to help insulate liability because of that situation, sir.

3:35 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

Okay.

I've read the sections in terms of indemnification in terms of insurance, so I understand what the insurance was purchased for, the reasons for, and that you folks were strictly running this program, on basically a zero-earn basis, to have 100,000 young people across this country, at this most extraordinary period of time, not only in Canada's history but in the world's history, benefiting from this program. That was the intent of the program.

3:35 p.m.

Founder, WE Charity

Marc Kielburger

That's correct, sir.

Unfortunately, based on the situation with some of the politics and some of the inaccurate representations, this has been mischaracterized. We really simply wanted to help kids. We didn't come asking for this initiative. This initiative was requested of us. We're gutted to see the situation and the circumstances.

We simply wanted to help, sir. We were asked to help. As Canadians who care deeply about these issues, we put up our hand.

3:35 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

You do have a track record. I need to point that out. I'm not here to ask favourable or unfavourable questions, but I do want to get some clarifications.

In the media, it has been reported, or from sources it's been reported out there, that with regard to the data you folks collect.... You know, you have thousands of kids registering, thousands of youth registering; very well-intentioned.

That data has never been shared. There are walls in investment banking or in the financial world. There are walls between different sectors and different groups. That data has never been shared to a political or corporate entity. Is that correct?

3:35 p.m.

Founder, WE Charity

Craig Kielburger

Sir, indeed. Vivian Krause, I know, made that allegation.

Frankly, this is just one of multiple allegations that we, frankly, wanted to come here to properly address and correct, because what we've seen in the press that, without sourcing or fact-checking, has been published; what we've seen on social media online; and what we've heard from individuals on this and other matters—it's simply false.

So we appreciate your kindness in saying that we have a 25-year record, and we hope that will be judged in that context, past the 25 days, also.

3:35 p.m.

Liberal

The Chair Liberal Wayne Easter

You have time for a very short question, Francesco.

3:35 p.m.

Liberal

Francesco Sorbara Liberal Vaughan—Woodbridge, ON

I just want to remind everyone that the two gentlemen who are here with us for four hours today are under oath. I wanted to make sure they answered those questions very clearly and got that on the record.

I thank them for that, Chair, and I'm finished with my questions.

Thank you, sir, and thank you, gentlemen.

3:35 p.m.

Liberal

The Chair Liberal Wayne Easter

Okay.

I believe, Marc, you had an additional answer there, did you?

3:35 p.m.

Founder, WE Charity

Marc Kielburger

Sir, I was just going to add that our mother is 80 years old and a retired schoolteacher. She often says to us, “Don't believe everything you read on Twitter.”