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Feds Push Packer Contempt Charge

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    Feds Push Packer Contempt Charge

    FEDS PUSH PACKER CONTEMPT CHARGE

    By Barry Wilson Western Producer
    Ottawa bureau

    When the new Parliament begins Oct. 4, political wheels will begin grinding almost immediately to resurrect the demand that two of Canada's major packers open their books to confidential scrutiny over whether they made excess profits during the early months of the BSE crisis.

    If the contempt of Parliament finding is resurrected as expected, Cargill and Lakeside Packers could face stiff fines and even jail time for company managers if they do not comply.

    "I can assure you I will be pressing to have this move forward and to have penalties assessed if we do not get compliance," said rural Ontario Liberal and former agriculture committee chair Paul Steckle.

    "Farmers have a right to know. Consumers have a right to know what happened to the hundreds of millions of dollars that were paid out."

    Conservatives say they will oppose any attempt to resume the parliamentary fight with the packers.

    "To rehash this would be a waste," Conservative agriculture critic and rookie MP Diane Finley said. "I am going to be arguing that we look to the future and try to design better programs rather than refight old battles."

    NDP and Bloc Québecois MPs on the committee are expected to side with the Liberals who want to resurrect the issue.

    When Parliament was dissolved for the June 28 election, the packers had been found in contempt of Parliament for refusing a committee demand that they produce their books for a confidential audit to determine their profits during the early months of BSE.

    MPs suggested the books be sent to House of Commons-appointed forensic auditors who would present a report and analysis to MPs. The politicians would not have access to the books.

    The packers refused to comply because they said the confidentiality of commercial information could not be guaranteed.

    The agriculture committee recommended fines of up to $250,000 per day for non-compliance.

    On the second last day of the last Parliament in May, Conservative MPs blocked a Liberal attempt to have the issue debated and sanctions applied. The election call put the issue on hold.

    At the time, Conservative critic Gerry Ritz said the packers were merely taking proper advantage of a poorly designed federal aid program that saw cattle prices collapse when federal aid was tied to slaughter. A rush of cattle to slaughter caused a glut and sank the price.

    Under the rules of the House, the new agriculture committee will have 30 days to get the contempt charge back on the table.

    Take care.

    #2
    They should keep pushing this.

    Here is a comment I found on the Manitoba government market report.

    "In Canada, packers appear to have an ample supply of cattle, possibly enough for 2 to 3 weeks. This week Alberta steers sold approximately $1.85/cwt lower with top bids at $77.40/cwt while top prices for Choice type steers in Ontario reached $98/cwt. CanFax suggest that even if producers choose to hold in anticipation of better prices once the fed cattle set-aside begins, it will take awhile for the packers to chew through their own inventory."

    It seems that we will have to wait for the packer owned cattle to get through the pipe before anything good happens for ours. This is the second time today I have heard this sentiment, from two completely different sources. This is not good.

    Our fearless leaders had better do a top to bottom review of the entire industry setup.

    Comment


      #3
      Perhaps they might even take the time to read Ostercamps paper - it gave them all this information last Spring. Perhaps while they are looking for his article they might look for some backbone as well - I don't believe they are unaware of the true picture , rather they are just too afraid to tackle the American corporate bullies. What pathetic leadership.

      Comment


        #4
        We all know the Conservative/Alliance Party was dead against the Parliamentary Committee before the election. No reason to believe they have changed their stance now. The Conservative/Alliance are against the Committee Investigation, the NDP probably would be in favour, don't know where the Bloc sits on this issue. The Liberals will be focused on the immediate problem of getting their Throne Speech approved by a majority of Parliament. It will be an interesting session of Parliament as all such votes have the potential to topple the government. Will have to wait and see if the Parliamentary Committee has a high enough profile to make it onto the radar screen in a minority government situation.

        Really the next Federal election campaign begins today with the throne speech. Whether the government can last 6 weeks, 6 months or two years we know there is an election coming up. What happens with the Parliamentary Committee will depend of how the various parties want to appear to the voter. If the decision to proceed with the Committee needs a vote in Parliament it probably won’t happen.

        Comment


          #5
          I heard that positions are more or less the same as pre-election. Bloc would vote with the Liberals and NDP. Conservatives with vote against. I think they said they have 30 days to get this bill through. Not sure what that implies. Sounds rather pessimistic but I am encouraged that they will try again.

          Comment


            #6
            The whole thing is a waste of time. You can't take back any money so why bother?
            This is nothing more than idiot politics, with the Liberals playing the big hero against big business? Let's not forget who the idiots were who set this thing up, so the packers could profit in the first place? Hint...It is the same idiots who refuse to put any laws in place that protect the producer and small packers from the pirates?
            What has been lost here is the fact Cargill and IBP are not doing anything wrong and never have! The federal government says "Here are the rules. Live within them"? Now it is the duty of the packers to get the best deal for their shareholders/owners under these rules? Would you hire any manager who wasn't going to get you the best return possible?
            The packers are not the bad guys here...it is our idiot government! And all this inquiry talk is nothing but smoke and mirrors to cover up how inept they are!

            Comment


              #7
              But could this inquiry lead to changes for the better? At the end of every inquiry is a recommendation, is there not?

              This is where the Conservatives can try and redeem themselves...prove that they have our interests at heart, rather than using this to just throw rocks at the Liberals.

              When the inquiry is over, make changes to help assure we will not be pillaged again.

              Comment

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