Feb. 10, 2005. Commission counsel Neil Finkelstein is careful not to rattle the ice cubes in Paul Martin’s glass as he delivers the gentlest interrogation in the history of ever. Ooh. Ooh, Mr. Martin, could you maybe grace this court with rousing tales of your victory over the deficit? You bet he can:
Feb. 10, 2005. Commission counsel Neil Finkelstein is careful not to rattle the ice cubes in Paul Martin’s glass as he delivers the gentlest interrogation in the history of ever. Ooh. Ooh, Mr. Martin, could you maybe grace this court with rousing tales of your victory over the deficit? You bet he can:
MR. FINKELSTEIN: Sir, when former Prime Minister Chrétien gave his evidence on Tuesday, he described putting Canada’s finances in order as a top priority of the Government
of Canada at the time. I would like to go through some of the
context at the time with you. It may be useful for you to turn
up the little green book, Exhibit P-213, Tab 3.
What proportion of every tax dollar was used to pay
debt service charges in 1993?
THE RT. HON. PAUL MARTIN: Thirty-four and a half
(34.5) per cent.
MR. FINKELSTEIN: And now?
THE RT. HON. PAUL MARTIN: Under 20; 19.2 to be exact.
MR. FINKELSTEIN: And the government’s debt in 1993?
THE RT. HON. PAUL MARTIN: It was just under 500
billion, about 487, if my memory strikes me correctly — yes,
487.
MR. FINKELSTEIN: And what proportion of Canada’s debt
was in foreign hands?
MR. FINKELSTEIN: And what is the proportion of foreign debt now?
THE RT. HON. PAUL MARTIN: It is under 13.
MR. FINKELSTEIN: And what was the deficit in 1993?
THE RT. HON. PAUL MARTIN: It was 5.3 per cent. The
way we calculated it then, it was $42 billion. There has been a
change in the way they calculate it. It would have been $38
billion.
MR. FINKELSTEIN: And that is the 5.3 per cent you are
talking about?
THE RT. HON. PAUL MARTIN: Yes.
MR. FINKELSTEIN: That is the ratio of the deficit to
GDP?
THE RT. HON. PAUL MARTIN: That is correct.
..MR. FINKELSTEIN: We have no deficit — When was the budget balanced?
THE RT. HON. PAUL MARTIN: Nineteen ninety-eight
(1998).
Ooh, that’s so cool. Now, Mr. Martin, can you tell us how you were waaaaaay too busy to know anything at all?
MR. FINKELSTEIN: All right. Now, the Commission has heard evidence, in that time
period, that the first two tranches of sponsorship money for $34
million were approved by Treasury Board in November 1996, a
further $18.8 million in November 1997.
I am going to go into the Treasury Board submissions
with you shortly, but for the moment, can you tell me what your
involvement was in those draws on the Unity Reserve for
sponsorship?
THE RT. HON. PAUL MARTIN: I had no involvement.
MR. FINKELSTEIN: Did you know about it?
THE RT. HON. PAUL MARTIN: No.
MR. FINKELSTEIN: Were you consulted about it?
THE RT. HON. PAUL MARTIN: No.
MR. FINKELSTEIN: Did you speak to anybody in the
Prime Minister’s Office about it?
THE RT. HON. PAUL MARTIN: No.
MR. FINKELSTEIN: Or anywhere else?
THE RT. HON. PAUL MARTIN: No.
MR. FINKELSTEIN: Now, we know that there were
Treasury Board Minutes. As I said, we will go through them
shortly.
Would you have seen those Treasury Board Minutes at
the time?
THE RT. HON. PAUL MARTIN: No.
MR. FINKELSTEIN: How do you know?
THE RT. HON. PAUL MARTIN: Well, I checked. I mean, I
would not have seen them.
MR. FINKELSTEIN: Who did you check with?
THE RT. HON. PAUL MARTIN: I checked with my officials
and other officials have checked with Treasury Board.
MR. FINKELSTEIN: Commissioner, I am about to move to
the next area. …