'Same old Liberal Party': Quebec opposition hammers Couillard over alleged real estate fraud

Allegations that key fundraisers of the Quebec Liberal Party were involved in fraud through a series of real estate transactions is evidence that the party hasn't cleaned up its act, says Parti Qubcois Leader Jean-Franois Lise.

"Of course, this simply piles on another layer of allegations around financingof the Liberal Party and its principal players," Lise said Thursday morning.

The Quebec Liberal Party has long been dogged by allegations of tight ties between fundraisers and government. In 2010, the government launched the Bastarache Commission after a former Liberal cabinet minister alleged fundraiserspressured him to appointjudges. In his report, Michel Bastarache concluded that was not the case.

• EXCLUSIVE|Quebec Liberal Partyfundraisersallegedly pocketed hugepayouts

Lisewas responding to a report from Radio-Canada's investigative program Enqute.

The report alleged three party insiders may havereceived large sums of moneythrough a series of real estate transactions, allegedly splitting that money with the former head of the provincial Crown corporation charged with managing those buildings (known by its former French acronym, the SIQ).

The SIQ's former president anddirector general, Marc-Andr Fortier,and three men well-known in provincial Liberal Party fundraising circles William Bartlett, Franco Fava and Charles Rondeau allegedly split close to $2 million deposited in accounts in Switzerland and the Bahamas.

Alleged fraudster worked for premier's campaign

Bartlett worked on Quebec Premier Philippe Couillard's campaign in 2007.

"I think it poses the greater question of why didn't Mr. Couillard, when he became leader of the Liberal Party, why didn't he clean house?"Lise asked.

Bynot holding an internal investigation prior to taking office, the PQ leader said Couillardwill continue to be haunted by his party'spast.

Franois Legault, head of the Coalition Avenir Qubec, echoed Lise's remarks and singled out Couillard in particular.

"He's with the Liberal Party since 2003. Soit's the same old Liberal Party again involved in a big corruption matter," he said.

The key players who spoke to Radio-Canada denied having received payments, and refused to answer many questions.

The investigation by Quebec's anti-corruption unitis all but complete and Crown prosecutors are reviewing the file. No one has been charged.

Government informed of investigation in 2012

Quebec Finance Minister Carlos Leitao confirmed the government has been aware of an investigation into a possible fraud since 2012, but dodged questioning about how these allegations will affect public perception of his party.

"When police is investigating a possible fraud, I don't think it is desirable to make it public; you want to make sure you're able to investigate properly, to be able to catch the bad guys," he said.

Leitao said the structure of the SIQ has undergone an overhaul to prevent fraudulent behaviour.

Couillard responds

Couillard reacted to the story Thursday evening during a Liberal event in the riding of Marie-Victorin, located inLongueuil, Que.

"I'm very sorry to hear such allegations," he said. "These events date from 10 years ago. Things have deeply changed both in our party and also in Quebec since that period."

"These elements in the Enqutestory are now being investigated by UPAC. That's the right way to deal with these things. ... Let the institutions play their role and see what comes out of this."