Opinion

Railgate? Asked and Answered, Says Clark

Premier calls me out as she rejects Basi-Virk inquiry. Yet questions do persist.

By Bill Tieleman, 29 Nov 2011, TheTyee.ca

BCOfficeRaid

Raid on legislature, Dec. 28, 2003.

Related

"I think it would probably come up with some conclusions that would clear up a lot of myths that people like Bill Tieleman might like to perpetuate." -- Premier Christy Clark on a B.C. Legislature Raid inquiry

Christy Clark still rejects holding an inquiry into the biggest political scandal in recent B.C. history -- about two ex-BC Liberal ministerial aides passing confidential government information on the $1-billion sale of BC Rail to lobbyists for one bidder.

The premier claimed Thursday there are no questions to be answered after last year's surprise guilty pleas of ex-government aides David Basi and Bob Virk.

And Clark says an inquiry wouldn't embarrass her, but would actually clear up myths that I'm allegedly spreading.

Clark was deputy premier at the time of the deal, when police raided the B.C. legislature in December 2003 with an unprecedented search warrant to obtain evidence -- and her own brother Bruce's home was also searched by police, because of his links to Basi and Virk.

The BC Liberal government paid Basi and Virk's $6-million legal fees despite their admission of guilt, as part of the plea bargain deal that ended their trial after just two of an estimated 40 witnesses -- including possibly Christy Clark herself -- had testified.

But in response to a question I posed for Shaw Cable's Voice Of B.C. last Thursday, Clark told host Vaughn Palmer it would be "really expensive" to hold an inquiry to get to the truth -- so she won't.

The idea that there are no questions to be answered is absurd.

Instead of "myths," we actually have some cold, hard facts that many people would likely wish to see further examined.

Statements of fact

For example, a joint "Statement of Facts" entered in B.C. Supreme Court by special prosecutor Bill Berardino and defence lawyers for Basi and Virk says the police search of Bruce Clark's home found confidential government bidding information about a related BC Rail privatization effort.

Basi and Virk pled guilty to breach of trust and fraud in part because of their role in illegally passing information to Bruce Clark -- who was never charged -- about the proposed $70 million sale of the BC Rail Port Subdivision in Roberts Bank.

The Statement of Facts reads: "With respect to Count 10 of the Indictment and in relation to the Port Subdivision bidding process, the RCMP seized a number of documents from Bruce Clark's office and residence, which Basi and Virk disclosed to Bruce Clark between Jan. 1, 2003 and Dec. 28, 2003."


"Two examples of the documents that Basi and Virk improperly disclosed to Clark are:

"a) The draft Request for Proposals for the Port Subdivision bidding process, which was received by Clark prior to the RFP being finalized by the Evaluation Committee; and

"b) A 'confidential presentation' made by TD Securities to the Evaluation Committee dated Oct. 14, 2003 containing a detailed economic analysis of what BC Rail considered to be the value of the Port Subdivision."

Christy Clark has acknowledged Bruce Clark played an undetermined role in her BC Liberal leadership campaign, but has declined requests from The Tyee to explain his duties, which weren't mythical.

Bruce Clark has not spoken to media at any point about his role in either the BC Rail situation or his sister's campaign.

Clark points to Toope report

Christy Clark has repeatedly denied any wrongdoing in the BC Rail case and police have said no cabinet ministers were investigated.

In a 2004 police interview with Erik Bornmann -- a lobbyist for losing BC Rail bidder OmniTRAX who turned into the key Crown witness against Basi and Virk -- he claims he discussed his client's bid with Christy Clark and other cabinet ministers.

"We were very interested to see what cabinet ministers we could count on as being allies for our bid. We've expected Gary Collins, Christy Clark, Rick Thorpe to be supportive simply on account at the meetings that we had with them and some follow-up, some follow-up conversations," Bornmann says in the police transcript that was released by the courts after a media disclosure application filed by the Globe and Mail newspaper and CTV. Collins was then-finance minister and Thorpe competition minister.

Later, Bornmann elaborates.

"I had a conversation with Christy Clark and with Bobby Virk and Dave Basi separately and Dwight was, Dwight Johnson [OmniTRAX executive] was in the regular habit of wanting information on the BC Rail process," Bornmann said.

"I'd met Christy, I'm, as you know, friends and acquaintances with Christy's husband [now ex-husband Mark Marissen] and I'd a, I'd sort of broached the topic I mean, just trying to recall, I broached the topic or I promised Brian [Bornmann lobbyist partner Brian Kieran] that I'd broach the topic of BC Rail with Christy but I didn't receive, didn't receive anything terribly useful from her just a, Basi and Virk would have obviously have a, provided me with information on whatever was taking place, but Christy wasn't providing any information beyond what politicians tell people," Bornmann told police.

Clark says she is proud of a "great report" she requested by University of B.C. president Stephen Toope into her government's payment of legal fees to Basi and Virk without any effort to recover those funds when they pled guilty.

The report, Clark says, will "make the process better" in dealing with public servants facing criminal charges in the future.

But regardless of Toope's esteemed role as a senior professor of law and well-deserved reputation, there is also the fact that UBC receives hundreds of millions of dollars from the provincial budget each year. If Clark had wanted to pick a person with no ties to government spending, she could have done so.

Clark also could have asked Toope to investigate why Basi and Virk's legal fees were exempted from repayment when they pled guilty. But she didn't.

Questions not yet answered

B.C. auditor general John Doyle -- who is independent of government -- is also investigating the Basi-Virk payments and has been forced to go to court to gain access to government documents.

Doyle's report may eventually provide some limited answers, but is more likely to raise new questions about what happened.

A key one is why the defence alleged for years that a "consolation prize" -- the Roberts Bank port-subdivision rail line -- was to be offered by the government to OmniTRAX in exchange for the company staying in the bidding after CP Rail and Burlington Northern Sante Fe Railroad both quit, saying the process was tainted?

The reality for Clark is that unless and until some independent inquiry is held to address such questions that a full trial may have answered, the BC Legislature Raid case will continue to smell like bad cheese in the fridge.

David Basi has called for a public inquiry, in an exclusive interview with 24 Hours and The Tyee in February.

"I want everything released, all the transcripts of the wiretaps -- not just snippets -- let's get it all out," Basi told. "I have consistently called for all documents in this case to be released and for a public inquiry, which I will fully cooperate with."

But the one person who could call an inquiry isn't going to do so.

Here's Clark's exchange with Vaughn Palmer after my question was posed to her.

Palmer: "But the difference between your party and the NDP at the moment is -- Adrian Dix was on the show just recently, he says there still needs to be a public inquiry into BC Rail and your position is we don't need one."

Clark: "Yeah, my position is two people were convicted and I think people want to move on. It was a hugely expensive process and I think people want to move on from it because I don't know that there's a whole lot more to learn in the thing -- you know, two people were found guilty, by the courts. And so, you know, let's not throw any more good money after bad on this.

"We are struggling to try and find resources for all the things that we need to do already in British Columbia so you know, we're in really tough financial times, the world is in economic turmoil. We have to make sure we are lookin' after people in British Columbia and frankly I think that if, you know..."

Palmer: "You don't think that a public inquiry in this case would embarrass you?"

Clark: "Well, no I don't! Absolutely not! Absolutely not! And in fact I think it would probably come up with some conclusions that would clear up a lot of myths that people like Bill Tieleman might like to perpetuate.

"But the thing is it would be really expensive and I don't know that there are any more answers to be found out there."

When Clark says Basi and Virk were "found guilty by the courts," a more precise way to say it is that they pled guilty by their own admission in a deal negotiated by their lawyers with the Crown.

But the larger point is that finding out what really happened is not throwing good money after bad -- it is an essential part of democratic accountability.

If you believe an inquiry is needed, join my Basi-Virk Public Inquiry page on Facebook.

[Tags: Politics.]  [Tyee]

22  Comments:

Login or register to post comments

  • Van Isle

    12 weeks ago

    It seems the more Ms. Clark

    It seems the more Ms. Clark opens her mouth the deeper she gets. If I was her I wouldn't want an inquiry either. But as citizen I definitly want one and with no strings attached. Also I can't understand how some of the other 'players' in this whole business haven't been charged. Also I feel that the Liberals and some of the senior people in the RCMP are too cozy with each other.

  • Norman Farrell

    12 weeks ago

    Remember Liberal claims about BCR losses?

    Ironically, BC Rail suffered more operating losses after the railway was sold in 2003 than it did in the years preceding its sale. The four senior officers have taken total remuneration in the last four years of:
    2007: $ 1,244,799
    2008: $ 1,209,167
    2009: $ 1,059,285
    2010: $ 1,234,546

    http://northerninsights.blogspot.com/2011/11/cost-of-ilence-highest-losses-in-bcr.html

  • rantnic

    12 weeks ago

    WAIT A LITTLE BIT LONGER

    It is only a matter of time till the evidence goes away. Ask no questions and you'll get no lies. Christy would not want to ask questions let alone support the resulting lies.

  • igbymac

    12 weeks ago

    Utilitarian Pitfalls of Plea Bargaining

    The Crown prosecutor and the lazy defense lawyer love the plea bargain. It's the legal profession's 'Let's Make a Deal'.

    It begins by the Crown over-charging the accused, thereby placing him in greater jeopardy than the evidence can support. Now the accused's self-interest kicks in because of the Crown's amped-up charges, facts aside. If found guilty as charged, fear of a longer or more severe sentence becomes a significant motivator to co-operate, This criminal procedure, itself, makes copping a plea or offering quid pro quo oral evidence against another the best deal for many accused.

    As a result, such deal-making circumvents the need for real and/or 'unadulterated' viva voce evidence to ever see the light of day. Yet this very same evidence would have been needed to prove a case beyond a reasonable doubt had it gone to trial without the deal making. Ultimately, this utilitarian process is one subtle example of state oppression/coercion as it diminishes the Crown's burden of proof.

    With a confession or conviction in hand, the Crown has served justice, and the police have another successful conviction padding some officer's resume. And in a politicized case like this one, it's hard not to understand exactly why the Premier is so desperate to propagandize that the conviction speaks for itself. Now that's justice. /laugh

  • zalm

    12 weeks ago

    PAB

    Cutting half the salaried positions in the Public Affairs Bureau should give us quite enough money for a very decent inquiry indeed.

    And should give much less reason for that whole bureau to exist, being solely responsible (yet wholly incapable) for "correcting" the spin about this issue.

  • Norman Farrell

    12 weeks ago

    $6 million bribe not typical part of a plea bargain

    Yes, plea bargains serve lawyers who prosecute and lawyers who defend. Do the service justice? Not so much.

    The Basi/Virk BC Rail case is unprecedented though for the crown paying a huge enticement for its guilty plea and agreeing to "house arrest" that was less than a slap on the wrist, allowing extensive absences during year one and allowing unfettered movements 17 hours a day in the second year.

    Clearly, the Liberal government wanted the trial to be ended because they had failed to control it. Continuation meant political ruin.

    This piece provides details of the actual sentences handed down by Justice MacKenzie. People who read only the mainstream media will likely be surprised.

    http://northerninsights.blogspot.com/2011/11/old-news-news-anxieties.html

  • eight

    12 weeks ago

    Explode the myths, Ms. Clark

    "A myth is, of course, not a fairy story. It is the presentation of facts belonging to one category in the idioms appropriate to another. To explode a myth is accordingly not to deny the facts but to re-allocate them." Gilbert Ryle (1900-76) British philosopher.

    Come on Christy; explode those myths. Sit for a real interview with Mr. Tieleman, and speak our language. Or would you rather just continue to deny the facts?

  • dorothy

    12 weeks ago

    Simple, really

    "Clark also could have asked Toope to investigate why Basi and Virk's legal fees were exempted from repayment when they pled guilty. But she didn't."

    No need, really, It's all because since it's still their turn, they can do what they want. They can disclose things or not, use whatever money they want to pay for whatever they want for whomever they want, for whatever reasons they see fit. And they don't owe us an explanation, for we still give them a continuation of 'their turn', no matter what they do. Only thing that will dispense with all these issues is to give some other people a turn. They may be equally abusinve of our trust, but seeing they will be following a different ideology, at least there will be some other money given to some other people, and another set of people will get fleeced to pay for it. Maybe some of those folks whose turn it still is now, and who are therefore in a position to fleece us.

    Simple, really.

  • metacomet

    12 weeks ago

    By Audit or, If Necessary, Archaeology

    The BC Liberals have spent a huge amount of capital, real and political, on BC Rail. The political capital alone has about broken the bank for the government: the original campaign promise not to sell the public-owned railway, cooking the books to make BCR look like it was losing money when it wasn't, breaking the promise not to sell BCR, corrupting the bid process, getting caught and hauled into court, perverting the course of justice by disclosure non-cooperation and by paying two BC Liberals to take the blame and keep quiet (with public money), and continuing to refuse calling a public inquiry. The cost: an irredeemably disgraced government, a Premier ignominiously forced to resign, a culpable caucus hostile to the complicit replacement, at a time when other BC Liberal transgressions are coming home to roost, facing a revitalized Opposition, a new, alternative right-wing party and an angry electorate going into an election they're doomed to lose.

    Is this the good money Christy doesn't want to throw after bad?
    About the only benefit they've ended up with is the licence to continue lying.

    The tide-mark day will come in seventeen and a half months. If the BC Liberals lose the next election (which is likely) and the NDP calls a public inquiry into the BC Rail scandal (again likely), it will set off a chain of events that might see certain BC Liberals facing prosecution, and maybe the retroactive scuttling of the corrupt deal that would see BCR returned to public ownership.

    Doubtless this will put another capital dent into the public weal; but it will completely bankrupt the BC Liberal party.

  • BC Mary

    12 weeks ago

    Question for Christy Clark

    .

    In 2003, somebody stole a very big railroad (3rd largest in Canada) from the Province of British Columbia, without the people's permission. It was ours, publicly-owned, OK? And it was stolen without so much as a "by-your-leave".

    Ms Clark, why can't you understand how wrong that feels?

    But no. Against all warnings, your government decided to push our publicly-owned railway down the slippery slope into private pockets.

    The Province of B.C. lost a very big public asset and we absolutely need to know why.

    What kind of premier are you, if you can't understand that British Columbians can't rest until they know h.t.f. that happened?

    Call a Full Public Inquiry into the so-called sale (999-year lease) of our BC Rail. Call it now, on the 8th anniversary ... and open the books, for once.

  • crankypants

    12 weeks ago

    A couple of points

    There are a couple of points that I think deserve discussion.

    The first is the constant claims that the government paid the $6 million for the Basi-Virk debacle and $30 million to Boss Power to stymie another possible court case rhat would also probably not have been kind to the BC Liberal Party's resume. The fact is that the government paid nothing simply because they do not supply their own money but instead redistribute other people's monies. The media should make it crystal clear that it is the taxpayers of BC that have paid out these hush monies.

    Secondly I think that it is imperative of the government to explain to the taxpayers of this province how two people, Basi and Virk, were allowed to ring up a $6 million lawyers' tab in the first place. After all, we aren't talking about a couple of people who were really integral parts of our governance, but simply a couple of operatives doing the bidding of a political party. What would the upper limit allowed be for a Deputy Minister, for an outreach director or for someone that may have been actually elected? Surely it can't be unlimited and if so, then the public should be informed of such.

    I would hope that the CRA deems the $6 million dollars a "paid benefit" to Basi and Virk and levies the appropriate income tax. At least they have the stones to make them financially accountable.

    I think that we not only need an unfettered inquiry into the sale of BC Rail, but also a complete forensic cleansing of everything the BC Liberals have had their hands in in the past 10 years. The P3's, IPP's, Olympics etc. This would not only enlighten the great unwashed on how our politicians really spend our tax dollars but also act as a caution to those governing bodies that follow that we are nothing but their personal ATM.

  • rantnic

    12 weeks ago

    BROTHER WHERE ART THOU?

    Christy's brother, set to testify next in the B.V. trial, never had to appear. Had that brother been forced to testify we all wonder if Christy could now be our Premier. Even though wearing her teflon suit, I'm sure that a lot of the shit would have stuck to her.

  • freebear

    12 weeks ago

    Expensive Christy?

    ""But the thing is it would be really expensive and I don't know that there are any more answers to be found out there." said Christy Clark.

    As expensive as the paying off of the 2 convicted government employees legal bill of $6 million dollars!

  • cboo44

    12 weeks ago

    Six Million PLUS

    Until the much-blocked Auditor-General is able to look at the whole Basi-Virk deal, $6 million is little more than a mythical figure. The "deal" was to prevent a HOST of witnesses to be hesard in court. Bruce Clark, Gary Collins and many others, some of whom may NOT be willing to perjure themselves for Gordo and Chrispy. Both have continuously lied like sidewalks regarding this and other cases of blatant corruption in this government.

  • Vox.Pop

    12 weeks ago

    Gordo's Illegitimate Sister

    This kind of corruption really exposes the whole BC Liberal gang for the scum they are. Of course, Princess Chrissie doesn't want an inquiry - she might well be the next one to to be prosecuted.
    Keep up the good work, Bill.

  • jacksonbc

    12 weeks ago

    Bruce Clark

    Your article says "Bruce Clark has not spoken to media at any point about his role in either the BC Rail situation or his sister's campaign."

    But there was a recent Tyee article where he did speak on the record:

    http://thetyee.ca/Opinion/2011/10/24/Christy-Clark-Inner-Circle/

    "...according to the statement of facts filed in court following the conclusion of the Basi-Virk case, he worked as a consultant for Washington Marine Group. But Clark said the truth of the matter is "absolutely not as the statement of facts represents," adding he was "never a consultant for Washington."

    But, referring to the statement, he said "there's nothing you can do about those things without spending an inordinate amount of money, which I don't have.""

    What is to be made of this?

  • Oscar Manuel

    12 weeks ago

    Basi and what is connection to Rich and Steve Coleman

    I read awhile back that when Rich Coleman told his brother that the company he worked for "Western Forests" could take all their land around Jordan River and Sooke and Victoria out of Tree Farm status, there was still a problem of selling it to developers: it was in ALR status. It was my understanding that Basi was the person who was able to remove this land from ALR. What is the connection between Basi and the Coleman brothers? Is that why he was paid off to be silent? Any comments or thoughts on this subject?

  • Driftwood

    12 weeks ago

    This Nighmare

    Well, it's seldom I'll be agreeing with Teilman about anything but he got this one right. 80% of BCers by poll didn't want to part with their railway. But the Campbell government; of which Christy was an integral part, gave it away for campaign contributions to the Liberal party. There is no other way to look at it - it was fraud and corruption - and any effort to 'sweep it under the rug' only focuses the attention of all aware BC people on the crime it really was. Give away a prime asset of the people of BC for campaign contributions in order to get re-elected and further denigrate the lives of the people who here? What was the railway for? It was put in place by WCB (Wacky Bennet) to enhance the development of the BC hinterlands. Make the resources in BC available to any and all and benefit the people who lived near them. Now, it is owned by a company which purportedly is based in Texas which will charge every dollar they can for transport and damn the people it was intended for. Thank you Gordon Campbell, and I hope you stay in your new neoliberal sinecure in London because nobody likes you where you came from.

    This subject has been done to death, and anyone who has been watching knows that the whole province got screwed out of a public railroad worth billions for the simple reason that the liberal party needed campaign contributions to get re-elected. Clarke, Campbell, Falcon; birds of a feather. You want another name for them? Bonny and Clyde BC style. Interested in themselves and no one else.

    How are you doing right now? Feel richer because your neocon government embraced 'globalism' for their own benefit? Or do you wish we could go back a little in time to the days when everything wasn't such a goddamn nighmare and benefit our neighbours and ourselves without asking permission from the goddamn government?

  • alive

    11 weeks ago

    wishing

    Looking forward to the day, when BC stands for:
    "Before Christy"
    as well as
    "Before Campbell"

  • greenmonkey

    11 weeks ago

    picky press

    Interesting how the BC MSM, in print, TV and radio who can be relied on to perpetually endorse the Socred/Liberal party in every election and even hire them as "experts" and "journalists", are so silent on this massive scandal.

    But when that other Premier Clark had a deck built by a neighbour all hell breaks loose!

  • rantnic

    11 weeks ago

    TOXIC GOVERNMENT

    The Liberals, with their majority, are truly a Kleptocratic government a government that is toxic to the people of B.C. Ask Christy's brother how well he did on the railgate affair. Oh sorry we can't do that now can we.

  • Granville

    11 weeks ago

    I saw a train today!

    It was a real train, on the E&N Railway, going south from Nanaimo. I couldn't believe my eyes!

    It was a REAL TRAIN! Running on the railway tracks! I thought they had gone extinct on Vancouver Island. The only thing we usually see on the tracks on Vancouver Island are the lost souls who walk the tracks looking for loose change. I think they are the ghosts of former E&N Railway employees, who don't know they are dead.