After 11 years of bringing you local reporting, the team behind the Vancouver Observer has moved on to Canada's National Observer. You can follow Vancouver culture reporting over there from now on. Thank you for all your support over the years!

Duffy trial opens as Harper government also goes on trial

Mike Duffy, Stephen Harper, corruption allegations

OTTAWA — Mike Duffy, the television personality−turned−senator whose disputed expense claims have rocked the Conservative government to its foundations, has arrived at the Ottawa courthouse for the first day of his long−awaited trial.

Duffy, clad in a dark suit adorned with a pocket square, did not speak to the throng of reporters and camera crews that surrounded him as he walked into the building.

At one point, Duffy did pause to suggest to his lawyer, Donald Bayne, that perhaps they should make a statement, but Bayne demurred, saying, "What we have to say we will say in the court."

The trial, currently scheduled to last more than 40 days, will give Duffy a chance to clear his name as he faces allegations of bribery, fraud and breach of trust.

Ever since questions about his expense claims surfaced two years ago, Duffy has denied any wrongdoing.

But there is more at stake than Duffy’s reputation.

While police investigators have raised questions about the former broadcaster’s living and travel expense claims while he was a sitting senator, the credibility of the Conservative Party of Canada and some key players in the Prime Minister’s Office is also likely to be dragged into the spotlight.

At the centre of the bribery allegation is Nigel Wright, Prime Minister Stephen Harper’s former chief of staff.

Wright resigned after a media report revealed he provided a $90,000 cheque used to repay expenses that Duffy had claimed since being appointed by Harper.

The Mounties have said there was no evidence to support criminal charges against Wright, who has always maintained he was acting in the public interest and that his only goal was to "secure the repayment of taxpayer funds."

Aside from bribery, Duffy faces one count each of fraud on the government and breach of trust related to the $90,000 payment.

In total, Duffy is facing 31 charges, including one count each of fraud and breach of trust for allegedly claiming Senate housing expenses to which he wasn’t entitled.

Duffy was appointed as a senator from Prince Edward Island, where he and his wife own a home.

Senators and MPs are allowed to claim up to $22,000 to cover accommodation and meal expenses while in Ottawa if they live more than 100 kilometres outside of the national capital region.

A critical question to be raised during the trial will revolve around whether Duffy’s primary residence is in P.E.I. or in Ottawa, where he has lived and worked since the 1970s.

Nine counts of fraud and nine counts of breach of trust are also among the charges, laid in connection to expenses unrelated to Senate business.

The RCMP have also alleged in court documents that Duffy paid a friend $65,000 for "little or no apparent work."

To accommodate all of the journalists that are covering the trial, an overflow room has been set up at the Ottawa courthouse, complete with large TV screens.

Justice Charles Vaillancourt, a 25−year veteran of the Ontario Court of Justice, will preside over the case.

Bayne has indicated previously that his client may be holding onto key evidence to present at trial. Bayne has also insisted that there has been no criminal wrongdoing.

The Crown is represented by prosecutors Mark Holmes and Jason Neubauer.

As a scheduled fall election approaches, the trial could prove damaging to the Conservative party.

RCMP documents filed in court allege that the chair of the party’s fundraising arm, Senator Irving Gerstein, discussed the possibility of paying back up to $30,000 of Duffy’s expenses.

That offer was later rescinded when the amount ballooned to $90,000.

But the Conservative Fund of Canada did cover Duffy’s legal expenses of more than $12,000.

The Canadian Press

More in National

Canadian whistleblowers lead the world in reporting financial crime

Every year, dozens of honest, enterprising Canadians blow the whistle on alleged financial crimes, hoping to clean up the industry-- and strike it rich. In the aftermath of the financial crisis, the...

B.C. families of missing, murdered women urge national inquiry to get it right

There’s no room for mistakes in the newly announced national inquiry into murdered and missing women, says a coalition of British Columbia families and support groups. Mary Teegee, with the...
Seaspan Shipyard in North Vancouver

Canadian government adds $65 million to former Tory shipbuilding contracts

VANCOUVER — The federal government has topped up West Coast shipbuilding contracts by more than $65 million for a coast guard science vessel and navy support ships. Public Services Minister Judy...
Speak up about this article on Facebook or Twitter. Do this by liking Vancouver Observer on Facebook or following us @Vanobserver on Twitter. We'd love to hear from you.