Sunlight is the best disinfectant

Freedom of information is less free than it should be, says Larry Wilkins.

In his column on Feb. 1, Vaughn Palmer discussed B.C. information and privacy commissioner Michael McEvoy's findings that the provincial government and its various agencies were “systematically failing to abide by the law” when it came to responding to requests for information under the B.C. Freedom of Information and Privacy Act (the FOI Act). As McEvoy noted: “If government expects citizens to act within the law, so, too, must it.”

In his article “Investors raised red flags” (Jan. 20) reporter Gordon Hoekstra discussed the roadblocks Postmedia ran into when it filed FOI requests with the B.C. Financial Services Authority and the B.C. Securities Commission. Postmedia sought to obtain further information about complaints that had been filed with the provincial government agencies, as early as 2017, regarding an alleged Ponzi scheme run by Greg Martel. According to Hoekstra, more than 1,300 investors in B.C. and elsewhere say they have lost at least $300 million in the scheme.

The Financial Services Authority provided some information to Postmedia, and confirmed that it had previously investigated Martel and his company under the Mortgage Brokers Act. Apparently, it concluded Martel and his company were complying with the act.

The securities commission declined to provide any information to Postmedia — aside from confirming that an investigation was in progress. It refused to provide Postmedia with any records, including complaints it may have received. The commission referred to sections of the FOI Act that allow it to withhold documents, which, if released, could be harmful to law enforcement.

The FOI Act seems to have become a handy tool for government agencies. It's frequently cited by hospitals in the province when they refuse to discuss the death of patients who were in their care.

Too bad Harry Potter didn't pack a copy of the FOI Act with him — he could have left his Cloak of Invisibility at home.

With respect, it's ironic that a government agency responsible for ensuring investors receive full and accurate disclosure from businesses they invest in, refused to provide Postmedia with any documents. Surely it received complaints from investors in the years preceding its decision to treat this case as a criminal, rather than an administrative, matter. If so, why couldn't it release those records to Postmedia? Similarly, why couldn't it discuss what actions it took, if any, prior to deciding to treat the case as a criminal matter? Did it consider issuing a cease-trade order at some point, and if not, why not?

One investor told Hoekstra that she was angered to learn that “people have filed complaints and nothing was done about it. I get very angry.” Unfortunately, the Financial Services Authority and the security commission's decisions to release little or no information regarding this matter will only reinforce the anger, frustration and sense of betrayal, warranted or not, the investors and others feel.

FOI legislation was intended to give people, including the press, timely access to important information held by the government and its various agencies.

Someone once said: “Sunlight is the best disinfectant.”

Perhaps it's time for provincial and federal government agencies, along with their political minders, to start letting the sunshine in.