OTTAWA

2014 January 10

The Honourable Peter G MacKay PC, MP Attorney General of Canada Room 509 S, Centre Block Parliament Buildings, Ottawa

Dear Attorney General As more information comes to light about the Prime Ministers Office ethics scandal, including revelations about the conduct of certain Conservative Senators and Conservative Party operatives, a compelling body of evidence is emerging suggesting public officials and others, have a blatant disregard for the law. Likewise, I am particularly concerned that there is no indication that you or your office are taking any steps to address this matter. As you are aware Section 4 of the Department of Justice Act places an explicit duty on you, as Minister of Justice and Attorney General to see that the administration of public affairs is in accordance with law. There is ample evidence in the affidavits filed by the RCMP suggesting many public officials may not have acted in accordance with the law, specifically, the efforts made by public officials to secretly reimburse Senator Duffys unlawful expenses as a way to secure his cooperation in a scheme designed to make it appear as if he would be repaying his own expenses. The affidavit indicates that the RCMP believes some individuals in the Prime Ministers Office and also the Conservative Party and caucus, actively participated in schemes to induce Senator Duffys compliance with repayment by party funds and then by Nigel Wrights personal funds in addition to a promise to intervene in order to mitigate the impact of a supposedly independent Senate audit. Section 16 of the Parliament of Canada Act explicitly makes it illegal for anyone to offer any sort of compensation or inducement to a Senator for any service to be rendered related to any

claim, controversy, charge, accusation, arrest or other matter before the Senate (emphasis added). This is an indictable offence carrying a possible penalty of up to year in prison. I wrote to the RCMP directly on November 28, 2013 re Section 16 of the Parliament of Canada Act. I also directed a question to you in Parliament about this matter in your role as Attorney General of Canada. I am now compelled to write to you directly in order to determine what actions, if any, you have taken in this regard. I note that while the RCMP continues its Criminal Code investigation into the actions of Mr. Wight and Mr. Duffy, there seems to be silence about the actions of these other individuals and whether they might be prosecuted under the Parliament of Canada Act. I ask that you provide me with a detailed list of what actions you have undertaken in order to fulfill your statutory obligations under Section 16 of the Act. It is critical that the public affairs of Canada be conducted in full compliance of the law. Thank you for your attention to this matter.

Yours truly,

Sean Casey QC MP Liberal Justice Critic

Room 225 Confederation House of Commons

OTTAWA

28 November 2013 Robert Paulson Commissioner of the Royal Canadian Mounted Police RCMP National Headquarters Headquarters Building 73 Leikin Drive Ottawa ON K1A 0R2 Dear Commissioner Paulson, I am deeply troubled, along with many of my Parliamentary colleagues, by the contents of an RCMP Information to Obtain (ITO) Production Order released by the courts on November 20th 2013. The ITO contains numerous emails from staff inside the Prime Ministers Office, Conservative Party officials, and Conservative Senators, as well as summaries of interviews conducted by RCMP officers that were collected during the RCMPs investigation of Nigel Wright and Mike Duffy for several possible breaches of the Criminal Code. The document suggests that prior to Mr. Wrights decision to personally reimburse Mike Duffy for $90,172.24 in expenses, there may have been an earlier decision to have the Conservative Fund make a payment to Mr. Duffy, in exchange for Mr. Duffy going along with a plan designed by the Prime Ministers Office and Conservative Senators to materially affect a committees investigation into the appropriateness of Mr. Duffys expense claims. According to the ITO, on June 19th, 2013 Mr. Wrights lawyers advised the RCMP that: The Conservative Party was initially going to repay the money for Senator Duffy from a Conservative Fund, when it was believed that the amount owed was approximately $32,000. The fund is controlled by Senator Gerstein. (p. 12) The document provides greater details about that plan on pages 31 to 34. Page 31 contains an email from Janice Payne (Mr. Duffys lawyer) to Benjamin Perrin (legal counsel in the Prime Ministers Office). That email contains a five-point plan. The first point suggests that there would be an effort to affect the proceedings of a Senate committee. It reads:

The Internal Economy Committee will confirm that Senator Duffy has been withdrawn from the Deloitte review and it will assure him that his expenses are fully in order to date and will not be the subject of any further review by the Committee, the Senate, or any other party. (p. 31) The third point indicates the plan included a payment to Mr. Duffy. It reads: As his apparent ineligibility for the housing allowance stems from his time on the road on behalf of the party, there will be an arrangement to keep him whole on the repayment. His legal fees will also be reimbursed. (p. 31) Mr. Perrin forwarded the five-point plan to Mr. Wright who replied to Perrin and others in the PMO with his comments. In response to the first point about having the Senate committee withdraw the Deloitte audit Mr. Wright wrote, that understanding is a commitment I will receive from Sens. LeBreton, Tkachuk and Stewart-Olsen. (p. 32) In response to point three Mr. Wright wrote, The Party is open to keeping Sen. Duffy whole since it is clear that any overpayments were innocently received. I have a call into the Party to confirm this as I think that the Senator has a right to have it confirmed. (p. 32) Mr. Perrin responded, Point 3 requires follow-up from her end (Payne) and us. She will provide info on her rate and hour for legal fees you spoke of further communications with the party. (p. 33). To which Nigel Wright responded that he would try to speak with Senator Gerstein, chair of the Conservative Fund. Later that day Mr. Wright informed Mr. Perrin, I now have the go-ahead on point three, and that funds disbursed from the Party under point 3 would be paid to Ms. Paynes law firm, since a good portion of them are in payment of their fees. (p. 33) The emails also indicate that Mr. Duffy was expected to commit to several courses of action. For instance Mr. Wright wrote that: I would like to understand who if anyone Sen. Duffy ever intends to inform about point 3 (or, for that matter, the entire arrangement). I assume that I know the answer, but I would like it to be explicit. For its part I know the Party would not inform anyone. (p. 33) Further, the ITO states: Duffy still has to send the letter to the Steeri ng Cttee, mimicking his public lines, saying ambiguity in the rules, might have made a mistake, desired to repay, needs to know the amount (p. 34)

These emails strongly suggest that a plan may have been proposed, developed and agreed upon which included a payment to a sitting Senator from the Conservative Fund, including a commitment from that Senator to undertake certain courses of action to support a plan to affect the outcome of a Senate committees investigation into that very Senators expenses. Under section 16 of the Parliament of Canada Act it is an offence to offer or promise prohibited compensation to a Senator for the purpose of influencing or attempting to influence any member of either House. Specifically a payment cannot be offered or promised in relation to any bill, proceeding, contract, claim, controversy, charge, accusation, arrest or other matter before the Senate or the House of Commons or a committee of either House. It is important to underline that under the Act it is an indictable offence punishable by imprisonment for up to one year and a fine, to make an offer or to make a promise of prohibited compensation to a Senator, regardless of whether the transaction itself actually proceeds. The ITO suggests that Senator Gerstein as Chair of the Conservative Fund authorized the use of Conservative Fund money. The ITO also includes e-mails from Nigel Wright the Prime Ministers former Chief of Staff, wherein he suggests that he conferred with the Prime Minister on the five point plan. Accordingly, I am requesting that you investigate and determine if a promise for payment to a Senator was in fact made by someone authorized to distribute funds from the Conservative Fund in relation to a matter before a Senate committee. It is our belief that such an action may have violated section 16 of the Parliament of Canada Act, or may constitute a conspiracy to violate the Act, and could therefore potentially constitute an indictable offence. For your information I have enclosed the pages of the ITO that describe the original plan to make Senator Duffy whole. Sincerely,

Sean Casey QC MP Justice Critic Liberal Party of Canada Room 225 Confederation House of Commons K1A 0A6