[. . . .] First, taxpayers are robbed blind for $100 million in the Adscam sponsorship fiasco.
Now we discover that for at least eight years, Jean Chretien personally controlled a secret slush fund from which he doled out about $500 million (that is not a misprint) of taxpayers' money for all manner of dubious endeavours.
Exactly what happened to all that loot, a senior government official says, is currently the subject of a giant scavenger hunt through Chretien's old files.
The Commons public accounts committee is hot after the list of lucky recipients, and sources tell us it is a "huge file" involving hundreds of expensive transactions.
What we do know for certain is that Chretien signed off on throwing at least $18.8 million from this little kitty into the sponsorship black hole in 1997 alone.
A government spokesman says the fund had an annual budget of around $50 million, "so we can assume the total over the eight years was between $400 million and $500 million."
Let's be absolutely clear: This massive slush fund, known inside the Chretien government as "the National Unity Reserve," was not controlled by federal bureaucrats, nor even by the former PM's staff.
A senior government official told me yesterday: "The only extraordinary aspect of the unity fund was that projects or initiatives had to get the direct approval of the prime minister (Chretien) ... they had to be signed off by the PM personally."
[. . . .] Regardless of how Martin may feel about this massive slush fund in retrospect, there isn't much doubt he knew about it during his years as finance minister.
"I think all ministers knew," says one senior source close to Martin. "I'd be surprised if all ministers weren't aware of it."
[. . . .] We have obtained the previously confidential cabinet document that formally approved the $18.8 million Chretien donated from his office sock to what we now know as the Adscam fiasco.
"Subject: Request to include an item in the 1997 supplementary estimates.
"Proposal: That Treasury Board approve inclusion of an item ... for funding to support the communications priorities of the government of Canada.
"Cost: Will amount to $18,800,000 and will be chargeable to Public Works. Approved."
The document is signed by Alfonso Gagliano and Jean Chretien.
[. . . .] In this case, the public accounts couldn't have been more clear in describing Chretien's $18.8-million contribution to his Liberal pals in the Quebec ad biz who ran the sponsorship program.
The money was included in a $27 million one-line item which read as follows: "Authority to spend revenue received during the fiscal year."
