Manitoba officials have chosen, once again, not to proceed with criminal charges in relation to a construction project that substantially exceeded its budget. This project is now set to be the focus of a public investigation.
The Manitoba Prosecution Service has been examining the Winnipeg Police Service headquarters’ construction, a repurposed Canada Post building that ended up costing $79 million more than planned upon its completion in 2016. The case involved an RCMP inquiry and numerous individuals, but no charges were laid in 2019 due to the perceived low probability of achieving a conviction.
The NDP government has recently declared its intention to hold an investigation into the project to understand what transpired and propose changes for future construction undertakings. The city has sued several individuals, including its ex-chief administrative officer, Phil Sheegl, who was ruled by a civil court judge to have accepted a $327,000 bribe from a contractor.
In spite of the civil court’s findings and subsequent appeal, the prosecution service initiated another review. However, they arrived at the same conclusion as before – that there is no reasonable chance of securing a conviction.
Sheegl contended that the $327,000 was payment for a separate real estate transaction in Arizona. Despite appealing the civil court’s decision, he lost. The Court of Appeal stated that Sheegl was involved in 14 different breaches of duty, amounting to disgraceful and unethical conduct by a public official.
The prosecution service appointed a retired prosecutor for the most recent review. They considered whether criminal charges should be authorized for accepting a secret commission, fraud, or breach of trust. Ultimately, they concluded that no criminal charges should be laid due to a lack of reasonable likelihood of conviction. The prosecution didn’t have enough proof to meet the standard of ‘beyond a reasonable doubt.’
The forthcoming inquiry has been allocated a budget of $2 million and is required to produce a final report by January 1, 2027. Garth Smorang, the Winnipeg lawyer selected as the inquiry commissioner, has indicated that he is unlikely to probe into why the Crown did not lay charges. Manitoba Justice Minister Matt Wiebe has stated that the inquiry will aim to make projects more transparent and rebuild public trust.
