Mr. Speaker, on behalf of my colleagues in the NDP caucus, I am very pleased to join the debate on Bill C-29.
Let me say at the outset that I support the content of Bill C-29. I should point out that it finds its origins in a motion put forward by the New Democratic Party on the Federal Accountability Act which, sadly, failed at the time, but the government revisited the issue and saw fit to introduce the same subject matter in a separate bill. That bill is the one before us today.
We should start with the basic premise that nobody should be able to buy an election in this country. In fact, nobody should be able to buy a politician in this country. We should take whatever measures necessary to take big money out of politics for all the reasons that should be self-evident to those of us in the chamber today or anybody watching.
We only need to look south of the border to see how big money can undermine democracy. I do not want to cast any aspersions on the character of politicians there, but I would point out that it takes a couple of million dollars now to run in any credible way for a seat in Congress. Surely, people can see that if people have to start their political careers owing $2 million, it can, and I am not saying it does but it can, influence the way people make public policy. That is something we want to avoid in this country.
This bill also asks another question, and that is, when is a loan not a loan? I would put it to you, Mr. Speaker, that if a loan is never repaid, it is not really a loan anymore. It is a donation. That is the way Elections Canada views loans that are not repaid. If they are not repaid in 18 months, they become donations.
If a loan is larger than the amount people are allowed to donate and 18 months later it becomes a donation, they have made an illegal donation. There is a contradiction in our election financing laws that cries out to be addressed. This bill does just that.
Looking at the origins and history of this bill, I would like to recognize and pay tribute to the former leader of the New Democratic Party, who most recently sat as the member for Ottawa Centre, Ed Broadbent. A seven part ethics package was put together by Mr. Broadbent which became part of the NDP election campaign platform. It dealt specifically with the idea of election financing loans being problematic in our election financing system. The reason he was seized with the issue at that time is that we all observed the Liberal leadership race.
We became aware that even though the donation limits governing leadership races and other political events were quite rigid, because the very rules the Liberals established placed pretty serious limits on how much could be donated, the loans that were being made were massive. One person alone, the former NDP premier of Ontario, had $720,000 worth of loans from his brother, the executive vice-president of Power Corp. That loan would have to be repaid in accordance with the donation limits, which today would be $1,100 per person per year. We did not see how that was possible.
We were concerned that that loan would be lost in the sands of time without people aggressively policing how loans like that are repaid. People forget about them. Eighteen months later it would fall to the Chief Electoral Officer to follow it up, police it and make sure it was paid back. We are doubtful it happens in that way. This bill would preclude these big loans that are not really loans from undermining democracy and allowing big money to dominate politics once again.
There were other examples, too. Perhaps a more egregious example happened recently with the member of Parliament for Mississauga—Streetsville, who was a Liberal, crossed over to the Conservatives and now has to step out of that caucus as well because it was found that he was circumventing the election financing rules. Even though unions and businesses are not allowed to donate a single penny to finance an election, businesses can lend any number of dollars. In fact in this case, his own car dealership lent $240,000 to his riding association. Surely that violates at least the spirit of the act, if not the letter of the act.
I understand the election financing problems he has now deal more with overspending. I guess he was sitting on such a pot of money he overspent in his election campaign, but I call attention to the flip side of that coin and that is the source of that very money that he overspent, which was a loan from his own car dealership. That is fundamentally wrong.
It gives an unfair competitive advantage to somebody who can find a big corporation, or a big union for that matter, willing to finance him or her to this great extent, when the rest of us are out there scrambling around trying to raise money within the donation limit of $1,100 per year. Surely anybody can see the unfairness and the inequity of a system that would allow big money to dominate politics in that way.
As I said in my opening remarks, nobody should be able to buy an election in this country. It undermines democracy and more important, it undermines the public's confidence in their democratic institutions.
We are in the throes of a graphic illustration of how big money can undermine democracy. To those of us who sit on the ethics committee, and my Conservative Party colleague who is the vice-chair of the ethics committee perhaps feels the same way, if big money is influencing public policy decision making in the form of undue loans or loans that violate the spirit and the letter of the election financing laws, or bags of cash are given to leadership hopefuls or former prime ministers in hotel rooms, the public confidence in their institutions is severely shaken and undermined.
We work too hard to set up the best country in the world to see its democratic institutions undermined by what can be only described as greed by those who are willing to take advantage of loopholes in the election financing laws or in the lobbying registration laws, or the lack of them.
When the NDP was faced with the previous incarnation of this bill, and I believe it was Bill C-54, we spoke in favour of the bill. We note now that the government has introduced three amendments at report stage, two of which we have no difficulty with. We believe they are technical in nature and not of any substance.
The third one we do have a problem with and we will have to serve notice that we will vote against the third recommended amendment at report stage. It is a default mechanism that if the candidate in an election campaign defaults on a loan, it automatically goes to the federal party. We are not in favour of that amendment. We believe it complicates matters. Unless the political party has the right to veto such a loan, it should not be the automatic seconder or co-signer of that loan. It seems to me that it places an undue financial burden on the federal parties.
There are enough illustrations and graphic examples in the country that the general public could relate to this bill. In the spirit of fairness, in the spirit of levelling the playing field, in the spirit of creating an election financing regime where we all have an equal opportunity and we do not have a system that is dominated by big money in politics, that should be our goal. It should be our guiding principle that one of the best things about our election system, I believe, is how egalitarian it actually is.
There was a time when politics was the purview of the well connected, the rich and the powerful. We have a political system where a carpenter like me can aspire to raise the small amount of money necessary to become a member of Parliament. We have schoolteachers, auto mechanics and electricians; I have met many of my colleagues from all walks of life.
That is the system we want to preserve. We do not want to give an unfair competitive advantage to those who happen to know people who could lend them massive amounts of money far and away larger than the annual limit that we have set through the election financing laws.