Tuesday, June 22, 2004

OTTAWA - Today, Democracy Watch called on media outlets across the country to ask federal political party leaders whether they will disclose donations made to their party in 2003 before election day, and whether they will close all loopholes in donation disclosure rules.  Democracy Watch also called on the media to ask party leaders and candidates across the country whether they have taken any donations directly into their personal bank accounts, donations which can currently be made in secret because of a loophole in federal law.

"Voters have a democratic right to know before they cast their vote who has bankrolled political parties and candidates, especially because unlimited secret donations to candidates are still allowed," said Duff Conacher, Coordinator of Democracy Watch. "If the media does not push party leaders and candidates to disclose all their donors before election day, they will help the leaders deny voters their right to know this key information."

The old federal elections law does not require disclosure of donations to a political party from a previous year until July 1 of the following year -- the new elections law limits donations for the first time and requires that parties disclose donors every three months beginning in 2005.

As a result, the lists of 2003 donors to the parties will not be made public until the week after the June 28 election day.  All that is known about 2003 donations to the federal parties is that Paul Martin donated approximately $3.8 million to the Liberal Party (funds left over from his party leadership campaign) and unions collectively donated approximately $3.5 million to the NDP.

In addition, the media must ask all party leaders and candidates to disclose any donations they and their candidates have received that are not required to be disclosed by law before election day.  The new ethics code for MPs requires that MPs disclose all significant gifts (including donations) they receive directly, but the code does not cover candidates in an election.  The federal elections law only requires disclosure of donations to parties, riding associations, riding nomination and election campaigns, and candidates for party leadership.

As a result of loopholes in the federal law, candidates in general elections can legally accept donations of unlimited amounts and can legally keep the donations secret forever.