Mr. Speaker, I would first like to thank my hon. colleague for his question.
In response I would say that it will not solve them at all. First of all, if it involves a bank loan, a credit analysis must be conducted. I am therefore much more comfortable with a candidate who has to go to a bank to obtain financing for his expenses. Some contributions could come in later to help reduce his or her campaign debts.
If the bank gets fleeced, it is the bank's problem and Liberal candidates would not be able to do business with the banks during the next election campaign.
The other possibility is that an individual loans a candidate some money. In such cases, that individual cannot be reimbursed. However, according to the amendments, the law would be clear: after three years, that loan would become a contribution. Anyone who contributes more than the $1,000 allowed by law would be in violation of the Elections Act and face penalties, including possible imprisonment.
I prefer the existing system, because the loan will automatically become a contribution. If someone advances $100,000 to a candidate who does not pay that money back, and that person says “no problem” and cancels the debt, that means that after three years, if he or she is not paid back, that amount becomes a contribution to the election campaign, which is no longer lawful. That becomes a violation of the Elections Act, punishable by law, including prosecution.