NDP MLA files ethics complaint against Stefanson, ex-cabinet minister Wharton

A backbench NDP MLA is accusing Progressive Conservative Leader Heather Stefanson and former cabinet minister Jeff Wharton of breaking conflict of interest laws in an alleged attempt to approve a proposed silica sand mine while the party was on the way out of office.

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Hey there, time traveller!
This article was published 12/01/2024 (1016 days ago), so information in it may no longer be current.

A backbench NDP MLA is accusing Progressive Conservative Leader Heather Stefanson and former cabinet minister Jeff Wharton of breaking conflict of interest laws in an alleged attempt to approve a proposed silica sand mine while the party was on the way out of office.

NDP caucus chair Mike Moyes filed complaints against both Stefanson and Wharton with Ethics Commissioner Jeffrey Schnoor Friday.

Moyes said the complaint asks Schnoor to investigate the two MLAs for corruption, for putting their own interests ahead of Manitobans’ and for violating the Conflict of Interest Act.

“As your representatives in this legislature, you expect us to act with integrity,” Moyes said. “But Heather Stefanson and Jeff Wharton used their privileged positions to violate that trust.”

MIKE DEAL / WINNIPEG FREE PRESS
                                Flanked by NDP MLAs (from left) Nellie Kennedy (Assiniboia), Robert Loiselle (St. Boniface), Logan Oxenham (Kirkfield Park), and Billie Cross (Seine River), Manitoba NDP Caucus Chair Mike Moyes (Riel) announces he will file two formal complaints with the Manitoba Ethics Commissioner.

MIKE DEAL / WINNIPEG FREE PRESS

Flanked by NDP MLAs (from left) Nellie Kennedy (Assiniboia), Robert Loiselle (St. Boniface), Logan Oxenham (Kirkfield Park), and Billie Cross (Seine River), Manitoba NDP Caucus Chair Mike Moyes (Riel) announces he will file two formal complaints with the Manitoba Ethics Commissioner.

Moyes’ complaints are based on public statements by former PC ministers Kevin Klein and Rochelle Squires. The pair claimed they received separate calls from Wharton on Oct. 12, asking them to approve an environmental licence for Alberta-based Sio Silica to mine near Vivian in the Rural Municipality of Springfield.

Klein, the former environment minister, and Squires, who was acting environment minister, both said they refused to approve the project, saying to do so would violate the caretaker convention — a democratic principle that prevents governing parties from making major decisions while the legislature is dissolved and the government cannot be held accountable.

The NDP won the Oct. 3 election and was sworn into office on Oct. 18, following a two-week transition period.

Squires also said the mining project was described by Wharton as being of significant importance to Stefanson, but because of a conflict, Stefanson couldn’t direct an approval herself.

A statement issued by the PCs on Stefanson’s behalf said she has no conflict of interest with Sio Silica.

The complaints against Stefanson and Wharton

NDP caucus chair Mike Moyes does not allege a specific conflict of interest in his complaints against Heather Stefanson and Jeff Wharton sent to Ethics Commissioner Jeffrey Schnoor Friday.

Rather, Moyes claims the alleged conduct of the two sitting MLAs during the transition period between governments was “improper” and intended to advance the interests of a private company.

NDP caucus chair Mike Moyes does not allege a specific conflict of interest in his complaints against Heather Stefanson and Jeff Wharton sent to Ethics Commissioner Jeffrey Schnoor Friday.

Rather, Moyes claims the alleged conduct of the two sitting MLAs during the transition period between governments was “improper” and intended to advance the interests of a private company.

“We know what Manitobans know, and there’s a lot of questions in terms of the conduct of these two members, and so we’re looking forward to hearing from the ethics commissioner,” Moyes said.

Manitoba has new conflict of interest legislation that took effect the day after the Oct. 3 election. Moyes’ complaints are the first to be filed under the new law.

The legislation permits an MLA with reasonable grounds to believe another member violated the act to ask the ethics commissioner to investigate.

Sections 2 to 5 of the act prohibit making decisions or influencing decisions that provide an opportunity to further a member’s private interests or those of their family or to improperly further another person’s private interests.

In his complaint, the Riel MLA alleges Stefanson failed to take action to stop members of her cabinet from violating the caretaker convention democratic principle during the transition period between governments.

Moyes states “violating the caretaker convention to advance the interests of a private company by issuing a licence is improper for the purposes of the act, and wrong, and should be deemed a violation.”

The complaint against Stefanson draws heavily from a column penned by former Progressive Conservative cabinet minister Rochelle Squires published in the Free Press, in which Squires claims Wharton asked her to approve a silica extraction project in southeastern Manitoba on Oct. 12 in her capacity as acting environment minister.

In the column, Squires said Wharton described the project as being of significant importance to Stefanson, but because of a conflict, she couldn’t direct an approval herself. Stefanson has said she has no conflict of interest with Sio Silica.

Moyes’ complaints do not contain any new information to support his claim the act was breached beyond what’s been reported in the media. The allegation Stefanson had a conflict merits investigation, the complaint states.

“We’ve been deeply concerned about what has been said by the two former ministers,” Moyes said. “They have made some very serious allegations, and we believe that in response we need an independent body that is going to look at these complaints and make sure that we’re defending our democracy.”

The complaint against Wharton alleges he used his position to influence a decision on the licence during the caretaker period, which was improper.

“It is clear the granting of the licence would benefit a private interest,” the complaint states.

If an MLA has contravened the act, the commissioner can recommend penalties ranging from a reprimand to a suspension, and fines of up to $50,000. In an extreme case, the member could lose their seat in the legislature.

— Danielle Da Silva

Neither Stefanson nor Wharton, the member for Red River North and PC economic development critic, took questions about the complaint Friday.

PC caucus spokesman Matt Preprost said no significant policy or political decisions were made after the election and were instead left for the incoming NDP government.

“The members in question will co-operate fully with any potential investigation by the ethics commissioner,” Preprost said in a statement.

Premier Wab Kinew was the first to raise concerns the PCs tried to rush the project through during the transition period.

In a year-end interview in December, Kinew told the Free Press an application by Sio Silica Corp. to mine in southeastern Manitoba was set for approval during the transition of power, prior to the NDP being sworn in.

However, the NDP requested the government hold off on a decision and the licence was not approved, Kinew said.

Klein, who lost his Kirkfield Park seat to the NDP, welcomed an ethics investigation “to hold politicians accountable.”

The former Winnipeg city councillor, mayoral candidate and provincial cabinet minister said he’s not sure that a probe will prove any wrongdoing, but said it may help the Tories.

“The party’s lost the trust of a lot of members,” Klein said. “It is an opportunity for the party to regain the trust of their supporters, (get) more Manitobans supporting it and actively being involved.”

Klein hasn’t ruled out a bid to lead the party when Stefanson steps aside.

MIKE DEAL / WINNIPEG FREE PRESS
                                Manitoba NDP Caucus Chair Mike Moyes (centre) is calling on the Commissioner to investigate PC Leader Heather Stefanson and PC MLA Jeff Wharton for their attempts to violate the caretaker convention and push through a major mining project in the days following their 2023 election loss.

MIKE DEAL / WINNIPEG FREE PRESS

Manitoba NDP Caucus Chair Mike Moyes (centre) is calling on the Commissioner to investigate PC Leader Heather Stefanson and PC MLA Jeff Wharton for their attempts to violate the caretaker convention and push through a major mining project in the days following their 2023 election loss.

The PC party meets Saturday to decide on new leadership election rules. Klein doesn’t expect the ethics complaint will be discussed.

“I wish it was, because I think it’s the elephant in the room,” he said. “The biggest issue we have is regaining the trust of Manitobans.”

A former clerk of Manitoba’s executive council — who now heads Ottawa’s Institute on Governance — said the complaint highlights “a real governance problem” and asks “a legitimate question” about the handling of the government transition.

During the transition, Stefanson was responsible for making sure her “ministers were acting properly throughout that whole piece,” said David McLaughlin, who served as clerk under former premier Brian Pallister and was fired by Stefanson.

Both Stefanson and Wharton would be wise to tell their side of the story, because no matter what the ethics commissioner finds, public opinion is what counts, he argued.

“On this, right now, the court of public opinion is going to believe that something more nefarious has been done… even though at the end of the day, no permit was actually granted,” said McLaughlin.

Rural Municipality of Springfield Coun. Mark Miller was thrilled to hear a formal complaint had been made against Stefanson and Wharton.

Miller, who opposes the mining project, previously called for an ethics investigation, arguing events described by Klein, Squires and Kinew have raised questions about “political influence” and “backroom politics.”

“The public is frustrated and upset that politicians do these kinds of tactics, and it should not be at the peril of the environment — that it would cause people in Vivian and people all across southeastern Manitoba, frankly, to jeopardize their pristine and precious water,” the Ward 3 councillor said.

“This is a huge step forward for democracy and transparency and for the public to get the bottom of this entire fiasco that the (PCs) orchestrated themselves.”

Miller said he is hopeful a probe will uncover an explanation for the alleged attempt to fast-track an environmental licence for Sio Silica.

RUTH BONNEVILLE / WINNIPEG FREE PRESS FILES
                                In the days following the NDP’s Oct. 3 election victory, Tory cabinet minister Jeff Wharton is accused of trying to get two cabinet colleagues to issue an environmental licence to a controversial silica mining operation east of Winnipeg.

RUTH BONNEVILLE / WINNIPEG FREE PRESS FILES

In the days following the NDP’s Oct. 3 election victory, Tory cabinet minister Jeff Wharton is accused of trying to get two cabinet colleagues to issue an environmental licence to a controversial silica mining operation east of Winnipeg.

Wharton has refused to comment on what he said to Klein and Squires, other than to say he didn’t try to influence them.

It’s a challenging “he-said, she-said” first case under new legislation for ethics commissioner Jeffrey Schnoor, said University of Manitoba political studies professor emeritus Paul Thomas.

The commissioner can compel testimony under oath and require the production of documents, including emails and text messages, Thomas said.

“Presumably he would look at the statements of assets and liabilities of the premier and her family to see if there are any financial circumstances that could give rise to a real or perceived conflict of interest. I doubt that there will be recordings of the key telephone conversations,” he said.

Pure silica sand is a key component in manufacturing a variety of high-tech products, including solar panels, computer chips, fibre optics and glass.

danielle.dasilva@freepress.mb.ca

carol.sanders@freepress.mb.ca

Carol Sanders

Carol Sanders
Legislature reporter

Carol Sanders is a reporter at the Free Press legislature bureau. The former general assignment reporter and copy editor joined the paper in 1997. Read more about Carol.

Every piece of reporting Carol produces is reviewed by an editing team before it is posted online or published in print — part of the Free Press‘s tradition, since 1872, of producing reliable independent journalism. Read more about Free Press’s history and mandate, and learn how our newsroom operates.

 

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History

Updated on Friday, January 12, 2024 3:10 PM CST: Adds images.

Updated on Friday, January 12, 2024 6:59 PM CST: Adds factbox, updates with final version

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