Watchdog says Morneau didn’t break law with pension bill

The federal ethics watchdog has closed the last in a series of probes facing Bill Morneau, deciding that the finance minister didn’t violate any conflict of interest laws last year as the sponsor of a pension-reform bill.

Morneau found himself in political hot water when he introduced the pension-reform legislation, which critics insisted would benefit Morneau Shepell, his family company, prompting calls for an ethics investigation into Morneau’s involvement in the bill.

Ethics commissioner Mario Dion said in his report that the legislation was so broad in its impact — it applied to all federally regulated private-sector employers, certain Crown corporations and all pension plan administrators — that it exempted Morneau’s actions from any punishment.

Dion’s ruling likened the decision to MPs who were grain farmers voting on legislation in 2011 about the Canadian Wheat Board. Then-ethics commissioner Mary Dawson said the votes were OK because the legislation affected a broad group of people — some 70,000 farmers.

In the same way, the “general application’’ provision meant Morneau’s stake in the company and those of his relatives don’t fall under the scope of the law, Dion said.

Speaking before the daily question period, Morneau thanked Dion for what he called a “clear report.’’

“What the ethics commissioner said quite clearly is that in the case of my situation, I followed all the rules and I’ve held myself to the highest ethical standards. That’s what I’ll continue to do.’’

Conservative finance critic Pierre Poilievre argued Morneau’s decision to introduce the bill was bad judgment, even if it didn’t violate conflict of interest rules.