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Montreal Mayor Michael Applebaum

Canada reels from corruption scandals

Montreal mayor quits after arrest for fraud; his predecessor resigned over party funds inquiry

Canada, among the 10 least corrupt countries in the world the past six years, according to rankings by Transparency International, is mired in scandals.

Montreal Mayor Michael Applebaum was arrested by Quebec's anti-corruption task force on Monday over fraud allegations, adding to controversies rocking political circles in Toronto and Ottawa that have taken the shine off Canada's image as a squeaky-clean nation.

We do not have as pristine a reputation internationally as we once did
PROFESSOR RICHARD LEBLANC

Applebaum quit on Tuesday, saying he plans to focus on defending himself against the "unfounded" accusations.

The scandals risk denting Canada's reputation as a largely corruption-free country. Canada has not fallen below the top 10 of Transparency International's corruption perception index since 2006 and rose to as high as sixth in 2010.

"We do not have as pristine a reputation internationally as we once did," said Richard Leblanc, a law professor at York University in Toronto.

"There seems to be a culture of entitlement and lack of controls and lack of oversight, which needs to be addressed."

In Toronto, the mayor of Canada's biggest city, Rob Ford, faces allegations he was caught on camera smoking crack cocaine. In Ottawa, a controversy over Senate expenses is the first scandal to touch Prime Minister Stephen Harper's inner circle, costing him his chief of staff.

Applebaum faces 14 criminal charges linked to two real estate transactions that involved "tens of thousands of dollars" in illegal payments between 2006 and 2011, Robert Lafreniere, head of Quebec's anti-corruption unit, said in Montreal.

Applebaum was arrested at his home, police said.

"I have never taken a cent from anyone," Applebaum said at City Hall. "I have the profound conviction of having always acted in the best interest of Montrealers, and I will do everything to demonstrate to them that the accusations against me are unfounded."

Applebaum, the city's first anglophone mayor in a century, became interim city head in November after his predecessor, Gerald Tremblay, quit amid reports that his party received illegal contributions. Tremblay denied the allegations.

While "not any one of these stories would have been a big deal," said Nelson Wiseman, a political science professor at the University of Toronto, "all of a sudden, when you get three piled on in a couple of weeks, people start saying, 'Hey what's going on in Canada?'"

Harper's government is facing its lowest popularity ratings in four years as it struggles with the fallout from the departure of his wealthy chief of staff, Nigel Wright, and two of his senators over questions about expenses.

Wright left after the disclosure that he personally paid about C$90,000 (HK$680,000) to Senator Mike Duffy to settle ineligible expenses.

"Mr Wright has been very clear that he will answer questions from authorities and he will be held accountable for his actions," Harper said. "This matter is between Mr Wright, Mr Duffy and the authorities."

Calls for more government accountability helped bring Harper's Conservative Party to power in 2006, after the ruling Liberal Party of Canada became mired in a scandal in which fundraisers accepted kickbacks in exchange for government advertising contracts.

This article appeared in the South China Morning Post print edition as: Canada reels amid string of political corruption probes
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