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Jane maintains innocence

Asks conflict commissioner to step aside

Richard Gleeson
Northern News Services

Hay River (Apr 30/01) - The deputy premier's failure to properly distance herself from her private business is an oversight, says her lawyer.

Barry Chivers said the Hay River MLA Jane Groenewegen remained a director of two companies she has an interest because the necessary paperwork was not done.

"They've just gone out by wrote, and no changes were made," said Chivers of annual filings at the corporate registry which show Groenewegen remained a director of two of her companies.

Conflict-of-interest commissioner Carol Roberts is now investigating a complaint against Groenewegen filed by Hay River businessman Jack Rowe.

The complaint alleges Groenewegen, by remaining a director of Greenway Holdings Ltd., violated conflict-of-interest legislation, which requires all ministers to give up directorships in any organization other than a social club, religious organization or political party within 60 days of taking office.

"While this constitutes a breach of the legislation just by virtue of the directorship, the more important concern lies in the fact that Greenway Holdings commercial building is almost wholly occupied by the GNWT," wrote Rowe in an April 5 letter to the commissioner.

Groenewegen was not aware she remained a director until being confronted with the information in a CBC interview last month, Chivers said.

Chivers would not say whether Groenewegen had been instructed to give up her directorships, when she last received instructions from the conflict commissioner, or explain why Groenewegen is accusing Roberts of bias and asking the Board of Management to appoint a replacement to investigate the matter.

"It isn't appropriate for us to engage in combat through the media," said Chivers. "It's just inappropriate."

In his complaint, Rowe cites two examples in which the Hay River MLA could have used her position to gain a business advantage. The first example dates back to 1996, and deals with Groenewegen's involvement as an MLA in a call for proposals for office space Greenway Holdings Ltd. had submitted to.

Groenewegen's involvement was the subject of a conflict-of-interest complaint the same year.

Then conflict commissioner Joel Fournier concluded Groenewegen had violated the act by helping a competing business lobby government in an attempt to influence the awarding of the contract.

"After giving the matter a great deal of thought, I am satisfied that Mrs. Groenewegen made a serious error of judgement in not insisting that Greenway's proposal be withdrawn, by arranging a meeting with the minister and by taking part in the meeting," wrote Fournier.

But he dismissed the complaint because he believed the error was made "in good faith."

The second example Rowe cites deals with another call for office space proposals the government advertised last July. Both Rowe and Greenway Holdings Ltd. submitted proposals.

Rowe alleges that as a cabinet minister, Groenewegen knew before he did the proposal call would be issued, and that knowledge gave Greenway the edge it needed to win.