Conservatives fight back on ‘no investigation’ into axed ‘green slush fund’

Established in 2021, the $1.6 billion Sustainable Development Technology Canada (SDTC) fund committed 186 conflict of interest violations. It was later axed by the Trudeau government in June.

Conservatives fight back on ‘no investigation’ into axed ‘green slush fund’
Cape Breton University and House of Commons
Remove Ads

Conservative MPs pressed the parliamentary ethics commissioner Thursday on the lack of investigations into Liberal scandals, including the now-defunct 'green slush fund.'

Established in 2021, the $1.6 billion Sustainable Development Technology Canada (SDTC) fund committed 186 conflict of interest violations. 

The Department of Innovation, Science, and Economic Development (ISED) allocated funding to reduce emissions through 2026. The fund distributed taxpayer subsidies to clean tech enterprises, whose projects frequently overstated their environmental benefits.

The Trudeau government went on to axe the flailing green fund on June 4.

In 90 cases, the SDTC board of directors voted for subsidies benefiting friends and associates for nearly $76 million in funding. Conservative MP Rick Perkins previously said those cases were separate from 96 instances where directors acknowledged conflicts but did not directly participate in votes. 

"They didn’t follow conflicts of interest rules?" he asked June 4. "I would say the Foundation really poorly manages conflicts of interest in general," replied Auditor General Karen Hogan at the time.

"Conflicts of interest that are not disclosed or managed call into question the objectivity and impartiality of the Foundation and its decisions," reads her audit, Sustainable Development Technology Canada.

Annette Verschuren, appointed board chair of the fund, did not disclose her conflict of interest during her tenure. She abruptly resigned last November 20.

The Liberal donor, who contributed $10,750 to the party, went on to subsidize her private business with a $217,000 pandemic grant through the agency. 

"Did you investigate the conflicts that she is in with regard to funding from MARS to her companies and others as part of that?" asked MP Perkins. The commissioner, in turn, asked how that constituted a conflict of interest.

"She chairs an organization that receives federal funding. She then has that organization vote money for companies she has ownership interest in," replied MP Perkins. 

"So you didn't look at that? Yes or No?" he asked. The commissioner did not respond.

"I think what’s needed is a little more investigation, in my mind, by the ethics commissioner," MP Perkins said. "Every time we do an investigation, more is uncovered."

Over the past six years, SDTC approved 226 projects worth $836 million. Federal funding ceased last September 26.

Hogan earlier blamed the Innovation Department for not sufficiently monitoring the contribution agreements.

Innovation Minister François-Philippe Champagne subsequently transferred SDTC funds to the National Research Council of Canada.

While SDTC operates at arm's length, the NRC reports directly to the minister. SDTC employees were permitted to seek employment with the research council. 

Remove Ads
Remove Ads

Don't Get Censored

Big Tech is censoring us. Sign up so we can always stay in touch.

Remove Ads