REGINA - A "sad little tale of theft" reaching back 16 years came to an end Monday after Saskatchewan's conflict-of-interest commissioner released a report criticizing the actions of a former NDP cabinet minister.
Commissioner Gerald Gerrand said former culture minister Glenn Hagel misled the legislative assembly in the spring of 2007 while facing questions from the opposition about an alleged fraud in the party's caucus office.
The case involves a caucus worker, Ann Lord, who disappeared from her job in'92. Lord left behind a letter confessing to inflating nearly $6,000 in expense cheques.
But the issue didn't reach the floor of the legislature until the spring of 2007.
At that time, the Opposition Saskatchewan Party produced the letter, suggesting that the NDP tried to cover up the fraud. That's when Hagel told the assembly that the letter had been promptly turned over to Regina police in'92 - when in fact it had not.
"The statement to the assembly by Mr. Hagel on April 26, 2007, bore no resemblance to reality," Gerrand said in his report.
"To state facts which are proven to be inaccurate to the assembly, of which Mr. Hagel had no personal knowledge, and to take no steps to verify the correctness of those facts is neglectful at best and a breach of a member's obligations to fellow members and the electorate under the Code of Conduct."
Hagel, who was chairman of the NDP caucus in'92, resigned as government house leader and culture, youth and recreation minister. He lost his bid for re-election in Moose Jaw in last November's provincial election when the Saskatchewan Party swept to power.
The caucus chief of staff, Jim Fodey, stepped down as well.
Gerrand, who was asked to look into the matter by former NDP premier Lorne Calvert, said he could only review Hagel's actions in 2007 because the Members' Conflict of Interest Act was not in effect in'92. However, the report still dished out criticism of Hagel and Fodey's actions at that time, saying "a veil of secrecy and deception was cast over the Ann Lord theft mainly by Mr. Fodey but assisted in part by Mr. Hagel."
"The concealing of the theft was mainly through the actions and inaction of Mr. Fodey and to a lesser extent by Mr. Hagel. Most members of the NDP Caucus knew nothing of these events until years later," said Gerrand.
The Saskatchewan Party did not escape criticism in the report either.
Commissioner Gerrand said that Hagel might have been able to give better answers if the Saskatchewan Party had filed "the extensive documentation" with the assembly before questioning Hagel.
"If Mr. Hagel had access to these various documents before attempting the answer to the several questions posed to him by Mr. Krawetz, there is a strong likelihood that the answers would have been in accord with the written records that had been created-- years previously," said Gerrand.
Monday's report came after investigations by the RCMP and Regina city police.
Alberta prosecutors who reviewed the files said in February that the case does not meet standards for prosecution. In April, Regina police said they've identified a suspect they believe removed and leaked police files to the Saskatchewan Party, but also said there isn't enough evidence to lay criminal charges.
The RCMP spent 1,842 hours carrying out its investigation, while the Regina police service logged another 810 hours on the case.
"This sad little tale of theft would have been long forgotten if those that learned of it had dealt with the theft in an honest, straightforward and transparent manner. No one was to blame for the theft except Ann Lord," said Gerrand.
"Regrettably, those that firstly learned of it choose to deceive and mislead other about the theft for misguided political objectives."
No charges were ever laid against Lord in Saskatchewan. Shortly after she disappeared from the NDP, a Winnipeg judge extradited her to the United States to face fraud charges there under a different name.
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