Ethics committee orders study into Conflict of Interest Act

The House of Commons ethics committee has passed a motion to study the federal Conflict of Interest Act with a focus on limiting the use of blind trusts and tax havens, and extending the law’s standards to party leadership candidates.

Conservative MP Michael Barrett moved the motion during Wednesday’s committee meeting. It follows a committee briefing from Conflict of Interest and Ethics Commissioner Konrad von Finckenstein, during which Barrett and fellow Conservative MP Michael Cooper questioned him about Prime Minister Mark Carney’s blind trust.

Both inquired whether there was sufficient transparency regarding Carney’s holdings, and how Carney’s chief of staff and Clerk of the Privy Council – both political appointments – are tasked with the prime minister’s conflict of interest screen.

Von Finckenstein said some changes could be made to the legislation, but defended it, saying it seeks to balance transparency and accountability with encouraging “experienced and competent persons” to seek and accept public office.

Carney’s holdings have prompted questions from the opposition since his leadership campaign. In addition to working as a central banker, Carney held several private sector roles, including serving on the board of Brookfield Asset Management.

His ethics screen involves over 100 companies, meaning he cannot be involved in any decision-making processes that would further their interests. Carney put his assets into a blind trust shortly after winning the Liberal leadership, but before being sworn in as prime minister.

It’s not the first time Conservatives have raised questions about the Act, introduced in 2006 under then-prime minister Stephen Harper. In March, Conservative leader Pierre Poilievre pitched amending it to require leadership candidates to publish their controlled assets publicly within 60 days of becoming a candidate. 

The party said it would also require future prime ministers and their cabinet to “sell assets that create conflicts of interests to stop politicians from ever using political office for their own benefit.”

Von Finckenstein advised against that change, calling it a “pretty simplistic solution” that would discourage people from entering into public service.