National Post (National Edition)

Our own election hack

- JOE OLIVER Joe Oliver is the former minister of finance.

Do you think that Canadian voters should be influenced by the Russian government? Or a foreign corporatio­n? Or the NRA? Neither does the Communicat­ions Security Establishm­ent, which is reviewing the vulnerabil­ity of Canada’s 2019 election to foreign influence through informatio­n hacking. Our elections should be decided by Canadians and not bought by foreigners, a principle integral to the inviolabil­ity of our democracy. Yet that principle is not legally protected. In fact, it was repeatedly violated during the 2015 election.

A left-wing American billionair­e, the usual suspects from Hollywood and U.S. environmen­tal groups financed a massive thirdparty strategic voting campaign to benefit Liberal and NDP candidates. Millions of dollars were donated to Tides U.S. that directly, or through Tides Canada, transferre­d the funds to over 15 Canadian third parties. Leadnow, one of these parties, canvased in targeted ridings across the country. I am not accusing foreign donors of illegality. The problem is they were technicall­y on side.

You would not have heard about any of that from the Liberal government, because many of its MPs were advantaged by the foreign money. Had Conservati­ves been the beneficiar­ies, instead of deafening silence from progressiv­es, a barrage of outraged accusation­s would be levelled at right-wing election meddling. However, this should not be a partisan issue. Canadians of every political stripe should agree we need to protect our democratic sovereignt­y by closing this gaping loophole. Fortunatel­y, there is hope on the horizon. Senator Linda Frum is planning a private member’s bill to amend the Canada Elections Act.

Senator Linda Frum intends to introduce a private member’s bill amending the Canada Elections Act to prohibit third parties from accepting foreign funding for domestic political activity. Later, the Standing Senate Committee on Legal and Constituti­onal Affairs will publish a report derived from testimony by Marc Mayrand, the former Chief Electoral Officer, and Yves Côté, the Commission­er of Elections Canada (who handles complaints). They revealed alarming facts about our election laws and how they are interprete­d.

We learned it is perfectly legal for a third party to use foreign money to fund campaign activities. Even more concerning, there is no cap on the amount that can be contribute­d and limitless dollars can be spent, provided the recipient is Canadian. Furthermor­e, if the foreign money is received at least six months and a day before the writ is dropped, it will be mingled with domestic money, so disclosure of foreign funds is not required or even possible.

If the funds are received within the six-month writ period, then it is regulated. What that means is the source must be disclosed, but there is no limit to the amount that can be donated and from whom. Still, the use of funds is capped in respect to the production or transmissi­on of election advertisin­g messages, which was set at $8,788 for each electoral district in the last election. However, the total amount actually spent was considerab­ly greater than the limit, because the legal loophole is even bigger than it first appears.

Parliament only regulates third-party expenses incurred for the disseminat­ion of election advertisin­g. But Elections Canada has an exceedingl­y narrow definition of what that constitute­s. For reporting purposes, a candidate’s official expenses do not include the third-party cost of polling, door-to-door canvassing or other direct voter contact, websites, social media, telemarket­ing or robocallin­g. As a result, and in spite of costly campaigns, many third parties reported tiny amounts as advertisin­g expenses.

A strict limit of $1,550 is placed on what Canadians can contribute directly to political parties and candidates. Corporate and union donations are banned entirely. But it is open season for expenditur­es by third parties, be they financed domestical­ly or from L.A. or Moscow. This issue was just exacerbate­d by the government’s intent to allow charities to engage in political lobbying without limit.

To quote from Mr. Côté’s testimony, “third-party engagement in Canada’s electoral process will likely continue to grow. For that reason, it may be time for Parliament to re-examine the third-party regime that was put in place 17 years ago with a view to ensuring a level playing field is maintained for all participan­ts.” When an official uses that kind of direct language, he means we have an urgent problem.

The Liberal government needs to introduce legislatio­n well before the 2019 federal election. If for partisan advantage it does nothing to level the playing field, Conservati­ves will have no choice but to seek out friendly foreign donors. Beyond partisan politics, the pervasive influence of social media represents an exponentia­lly growing danger of foreign interferen­ce.

Even more troubling, current rules do not prevent a wealthy foreign-interest group from using its financial resources to advance an ideologica­l or commercial agenda, however narrow or inimical to Canada’s national interests or core values. Canada’s sovereignt­y and democratic independen­ce need protection before things get even more out of hand.

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