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    Thursday, April 14, 2005

    The Dangers of Cutting and Pasting Invoices


    Geezuz, if you're gonna rip off the government for millions of dollars, take the time to do it properly. These guys sure ain't good at communications consulting. They're not even good at being crooks!!

    Gomery told millions paid to Chretien friend
    CTV.ca News Staff

    Jacques Corriveau, a central figure in the sponsorship scandal, is set to take the stand at the Gomery inquiry Thursday, one day after testimony alleged he raked in close to $7 million in sponsorship money.

    All eyes will be on Corriveau as he testifies, following potentially damaging testimony about his role in the scandal.

    On Wednesday, Luc Lemay, the owner of Groupe Polygone, testified he paid Corriveau a commission of 17.5 per cent, totalling $6.7 million, to steer sponsorship contracts to the firm. Polygone eventually handled $41 million in contracts.

    Lemay said he hired former prime minister Jean Chretien's friend Corriveau, who often visited 24 Sussex Drive, to "rearrange" exhibit spaces at Olympic stadiums.

    Lemay testified that Corriveau submitted invoices for hunting and fishing shows in Quebec that did in fact take place, however he did little or no work on them.

    These shows were held in communities such as Rimouski, Chicoutimi, Sherbrooke and the Quebec City suburb St. Foy.

    Corriveau billed thousands of dollars for working at the Olympic Stadiums in these communities, inquiry counsel Bernard Roy noted.

    The only problem is there were no Olympic stadiums in those communities.

    In fact, the Gomery inquiry heard that many of the events actually took place in Quebec shopping malls and hockey rinks.

    "To your knowledge, is there an Olympic stadium in Rimouski?" Roy asked Lemay adding: "These details escaped you because you did not examine the bills.''

    "Essentially,'' Lemay replied.

    The invoices Corriveau submitted to Lemay appeared to be cut-and-paste from an earlier legitimate invoice for a hunting and fishing show at Montreal's Stadium in the late 1990s.

    Corriveau appeared to have replaced the names of the communities while leaving the rest of the invoice unchanged, Lemay said

    Lemay said he rubber-stamped Corriveau's invoices from 1996 to 2002.

    This caught Justice John Gomery by surprise.

    "I have trouble believing you simply accepted any bill for any amount," he said. "You aren't the businessman I thought (you were)."

    Lemay estimated that Corriveau only did real work on two of 19 federally sponsored events worth $36 million.

    As for the other 17 events that were worth nearly $28 million, Lemay said he didn't ask for details about the work Corriveau had done on them, citing a "good faith" agreement.

    Corriveau will undoubtedly be questioned Thursday on what he did with the money he collected.
    "It all depends on what (Corriveau) has to say for himself after some of the damaging allegations made by (Jean) Brault and then yesterday by Luc Lemay," said CTV's Jed Kahane, appearing on Canada AM.

    "The question is: Did Mr. Chretien know? How high up did it go? Those are the questions we may get at today," Kahane reported.

    Ad executive Jean Brault has also testified that Corriveau directed huge sums to the Liberal Party.

    Brault said he paid Corriveau nearly $500,000 under a bogus contract, and alleged Corriveau directed the money to the coffers of the Liberal Party's Quebec wing.

    Lemay admitted that some of the $1.9 million in billing from Groupaction was "perhaps a bit inflated," but insisted Brault told him the money was to help manage sponsorship contracts.

    Lemay also claimed he had no idea that Brault was being pressured to support the Liberals financially, adding no Liberals urged him to donate cash.

    With a report from CTV's Rosemary Thompson and files from The Canadian Press
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