Ethics commissioner finds no conflict of interest in TekSavvy complaint over Scott-Bibic beer

Canada’s Conflict of Interest and Ethics Commissioner will not be opening an investigation into CRTC chair Ian Scott’s 2019 beer with BCE Inc. CEO Mirko Bibic having found that the two are not “friends” and therefore, did not contravene the Conflict of Interest Act. “Taking into account the interpretation of ‘friend’ set out in the Watson Report and broadened in the Morneau II Report, the relationship between Mr. Scott and Mr. Bibic was not one of friendship within the meaning of the act since it remained exclusively professional despite both having worked in the same industry for over two decades,” commissioner Mario Dion wrote in his decision released Wednesday. The Watson Report describes a friend, with respect to the Conflict of Interest Act, as “a person with whom one has some history of mutual personal regard beyond simple association." The Morneau II report broadened the scope to "capture relationships where personal and professional interactions become intertwined to such an extent that it becomes difficult to draw the line between the two." Bibic and Scott met in an Ottawa pub on Dec. 19, 2019, almost a month before Bibic was promoted from chief operating officer to CEO, and a week after Bell filed an application with the CRTC to review and vary an August 2019 telecom order. Public Sector Integrity Commissioner Joe Friday declined to open his own investigation into Scott’s conduct following a complaint by TekSavvy Solutions Inc. and instead referred the matter to the ethics commissioner. According to the commissioner’s report, Scott alleged that he was meeting with Bibic to congratulate him on his new position as CEO, which was announced in June 2019. Scott said the meeting was arranged approximately two weeks before it occurred as a courtesy to congratulate Bibic because there was a previously planned Bell event that Scott was unable to attend. “Mr. Scott wrote that the ‘social’ aspect of the meeting as used in his calendar entry was intended to reflect the characterization of the meeting as one without any plan to discuss substantive matters relating to broadcasting or telecommunications,” the report reads. Scott also told the commissioner that he was not friends with Bibic and it was the reporter from the original article ousting the meeting who characterized the two as friends. “Mr. Scott wrote that he holds no particular affection for, or bond or kinship with, Mr. Bibic. According to Mr. Scott, they have no familial connections and their personal social circles do not intersect. He further wrote that they are not close on a personal level,” the report reads. Scott told the commissioner that he and Bibic have worked in the same field for more than 20 years, “largely revolving around competition policy matters and communications regulations. Though they have never worked together, Mr. Scott stated that, over the years, they have had some association in relation to their professional roles.” Executive director of the Competitive Network Operators of Canada Geoff White told the Wire Report in an email that despite the reports findings, “the simple fact of that matter is that the chair of the CRTC should not be having a one-on-one pint with the second-in-command of the one of Canada’s most powerful communications service providers.” White said it is up to the court of appeal to address the alleged issue of bias unless TekSavvy takes Wednesday’s report to court on the basis of a legal error over the question of the nature of the relationship between Scott and Bibic. “And it would be an unfortunate result if the one-on-one pint is found to have been acceptable.,” White said. “In either case, we are looking forward to working constructively with the next chair of the CRTC, and trust they will take to heart just how damaging the controversy has been to the Canadians’ trust in the CRTC.” In a statement provided to the Wire Report, TekSavvy executive Peter Nowak said the company is planning to return the complaint to the federal integrity commissioner. Nowak said Wednesday’s decision “does not exonerate Scott’s conduct in the least.” “It focused on the narrow definition of the word ‘friends’ and it's unfortunate that the conflict of interest and ethics commissioner took Scott at his word about the nature of his relationship with Bell’s CEO,” he stated. Nowak said the commissioner should have interviewed witnesses, which it has done with similar reports in the past. He said the company plans to focus its efforts on its case with the Federal Court of Appeal to overturn the CRTC’s May 2021 decision to revert rates for wholesale-based internet service providers to interim levels from 2016. In the filing, TekSavvy pointed to Scott’s conduct during the course of the wholesale rates review, claiming that Scott’s actions “raised a reasonable apprehension of bias.” – Reporting by Jenna Cocullo at jcocullo@thewirereport.ca and editing by Paul Park at ppark@thewirereport.ca.

Ethics commissioner finds no conflict of interest in TekSavvy complaint over Scott-Bibic beer

Broadcast | August 24, 2022

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Ethics commissioner finds no conflict of interest in TekSavvy complaint over Scott-Bibic beer

Broadcast | August 24, 2022

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