QUESTION PERIOD — Public Services and Procurement
Procurement Process
February 14, 2024
My question for the Trudeau government leader in the Senate once again concerns the $60-million ArriveCAN app and GC Strategies, which received at least $19 million through this scam.
La Presse reports that GC Strategies, a tiny firm based in a house in Ottawa, has received no less than 140 contracts from across the Trudeau government since 2015. The total value of these contracts is over $258 million.
Leader, I told you yesterday that the rot is deep in the Trudeau government, and that was before we learned that over a quarter of a billion taxpayer dollars has found its way to Liberal insiders and into their pockets. This is a scam of epic proportions, and the Trudeau government had better start answering for it instead of hiding behind an RCMP investigation.
How did this happen, leader? Why did GC Strategies receive $258 million from the Trudeau government? Who directed it?
Thank you for your question.
My understanding is that Public Services and Procurement Canada has suspended all contracts with GC Strategies at the request of the Canada Border Services Agency. I’ve also been informed that Public Services and Procurement Canada is taking immediate steps to ensure that the processes in place are working as they should. A thorough review of all contracts awarded to this supplier is under way to assess the circumstances and the overall risks associated with them. I’ve been advised that Public Services and Procurement Canada will take the appropriate action once those assessments are completed.
Those actions can include some of the following: imposing corrective measures upon supplier performance; requiring the suspension of work; revoking a security clearance; conducting internal investigations; and, if necessary — if colleagues request it — law enforcement agencies initiating a criminal investigation.
The Prime Minister needs to answer for this, leader. He doesn’t need to wait for an RCMP investigation. He can tell Canadians the truth — for once — about this scam. He can tell Canadians how and why a two-person firm received a quarter of a billion dollars out of this government.
But he won’t, will he? It’s because he presides over a culture of corruption. It’s everywhere you look in the Trudeau government. It’s been that way for years. The tone is being set from the very top.
Leader, is this $258 million gone for good? Is the Trudeau government doing anything to get it back or, possibly, will the Liberal Party pay it back?
You’re making claims and allegations that have not been established either in the Auditor General’s report or in any of the materials of which I am aware. It is the case that a thorough investigation of every contract accorded to this company is under way, with the possibility of sanctions, assuming those are warranted, once the investigation is completed.
Senator Gold, the estimated cost of ArriveCAN went from $80,000 to at least $60 million — $20 million of which went to Liberal insiders: GC Strategies. Now we learn that we’re only scratching the surface of the actual corruption. As Senator Plett explained, La Presse revealed that it’s about a quarter of a billion dollars of taxpayer money that has been funnelled to GC Strategies by the Trudeau government.
Senator Gold, I’ve lost track of how many times I’ve asked why your government is still doing business with this company.
Given what we now know — and what we knew before the Auditor General’s report — why would your government continue to deal with GC Strategies? The best-case scenario is a wilful disregard for taxpayer money, and the worst-case scenario is that your government is up to its eyeballs in this corruption. I assume it’s both, probably. Either way, will you finally commit to, first, immediately ending all government contracts with this company, and, second, calling in the RCMP and the Auditor General to investigate all contracts with this organization?
Thank you for your question.
All contracts have been suspended, pending a proper assessment of what circumstances gave rise to the granting of the contracts and the performance of those contracts. It is a basic tenet of our legal system — and, I would have thought, the political culture in this system — that one must make certain before one unilaterally permanently cancels legal obligations that have been assumed until the facts are known.
Public Services and Procurement Canada has suspended all of the firm’s contracts. Investigations on all contracts are under way. The measures that might be taken range from those fairly simple — vis-à-vis the performance of the contracts — to the possibility of bringing in the authorities if circumstances warrant a criminal investigation. That is the appropriate way to handle this very disturbing situation.
Senator Gold, this is the first time your government has uttered the words “all contracts have been cancelled.” Up until yesterday or a few minutes ago, it has only been with the Canada Border Services Agency. We have been calling for all contracts to be cancelled. I’m glad that’s the case as of now.
Senator Gold, when will someone also be held accountable? What more do we need to learn for Minister Blair and Minister Hajdu to do the right thing and resign, since Justin Trudeau won’t fire them?
Furthermore, will you do what Mr. Poilievre has asked for and call in the RCMP and the Auditor General to investigate all contracts across the board with GC Strategies? Are any one of these things difficult? Are they being discussed? Will the government take actions to end this culture of corruption?
I have advised this chamber today of all the steps the government is taking. They don’t include, to the best of my knowledge — certainly, the ministers you mentioned still have the confidence of this government. They have neither been dismissed, nor am I aware of any actions on their part. The steps that the government is taking to get to the bottom of this are, in the government’s opinion, appropriate, prudent and responsible.
