Auditor General To Probe Radwanski Tax Scandal

by Mike Godfrey, Tax-News.com, Washington

27 June 2003

The Canadian Auditor General, Sheila Fraser, has been asked by the government to begin investigating a $500,000 tax break given to ex privacy commissioner George Radwanski who resigned last Monday amid much controversy.

According to court documents, Revenue Canada excused Radwanski over $500,000 in tax debt just days before being appointed to the post of privacy commissioner, a job which pays $210,000 per year. Some, notably Alliance MP Paul Forseth, believe that the ex-commissioner deliberately failed to inform officials of his impending appointment to the government position, something which Forseth considers "undermines and undervalues" the deal struck with the Revenue regarding his tax debt.

The auditor general is anticipated to present the results of her investigation by the end of September according to reports. Meanwhile, Canadian Prime Minister Jean Chretien was staying tight-lipped on the issue, though did remark recently: "When he was named, he had settled his problems. I never heard about a bankruptcy until I read it in the paper last week."

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