Ethics Commissioner to Investigate Chair of Feds’ Green Fund

The investigation comes in response to a request by a Tory MP who alleges Annette Verschuren contravened three sections of the Conflict of Interest Act.

Konrad W. von Finckenstein waits prior to his appearance before a House of Commons science and technology committee on Parliament Hill in Ottawa on Feb. 3, 2011. Pawel Dwulit/The Canadian Press

The ethics commissioner has launched an investigation into the chair of a federal green fund who approved grants to her own company.

Interim Ethics Commissioner Konrad von Finckenstein said he would examine the conduct of Annette Verschuren in relation to the deal in a Nov. 16 letter to Conservative MP Michael Barrett.

Ms. Verschuren is the chair of Sustainable Development Technology Canada (SDTC), an arms-length federal not-for-profit agency funding green technologies. She’s also the CEO and beneficial owner of company NRStor.

During a House of Commons committee hearing on Nov. 8, Ms. Verschuren testified that she had moved a motion for the board to approve COVID-19 relief payments to SDTC-affiliated companies.

Her company NRStor received $106,000 in 2020 and $111,000 in 2021 from SDTC. Ms. Verschuren said the board had sought legal advice before going forward.

She said legal advice determined that since money would go to companies already under the SDTC portfolio, conflicts of interest had already been declared. NRStor was supported by SDTC before she became chair of the board of the foundation.

Mr. von Finckenstein received a request from Mr. Barrett, his party’s ethics critic, asking for an investigation.

In the letter, Mr. Barrett alleges that Ms. Verschuren contravened three sections of the Conflict of Interest Act, including participation in “making a decision that provided an opportunity to further her private interests.”

Mr. von Finckenstein says he has advised Ms. Verschuren that he has started a review of the matter.

The Epoch Times sought comment from Ms. Verschuren through SDTC and NRStor but didn’t immediately hear back.

The investigation into Ms. Verschuren follows the resignation of SDTC president and CEO Leah Lawrence on Nov. 10, two days after testifying at the Commons ethics committee alongside Ms. Verschuren.

“Given recent media reports, House of Commons committee testimony, and the surrounding controversy, it is clear there has been a sustained and malicious campaign to undermine my leadership,” Ms. Lawrence reportedly wrote in her resignation letter as reported by CBC News.

Ms. Lawrence told the committee she had not recused herself when SDTC was discussing funding a project involving one of her friends.

Her resignation came after Conservative MPs had asked Liberal ministers why no one at SDTC was fired over the allegations of conflict of interest and mismanagement.

Whistleblower allegations against the leadership surfaced at the beginning of the year and Innovation Minister François-Philippe Champagne commissioned third-party firm Raymond Chabot Grant Thornton to conduct a fact-finding exercise.

The report, which was submitted to the government in September, noted conflict of interest rules have not been “consistently followed” at SDTC.

In response, Innovation Canada put a freeze on the SDTC funding of new projects and provided the foundation with a management response and action plan.

SDTC reported in its latest annual report that it approved $196.4 million in funding during fiscal year 2022–2023 and disbursed $133.2 million to funded projects.

The Office of the Auditor General is currently reviewing how SDTC funds its projects.