Mark Carney gestures during a press conference following the second night of debate in the Liberal leadership race on Feb. 25.ANDREJ IVANOV/AFP/Getty Images
Liberal leadership candidate Mark Carney says he should have been more precise when he said he was no longer chair of a major investment company when the formal decision was made to move its headquarters to the United States, despite records showing the relocation was completed during his tenure.
Mr. Carney’s comments about his relationship with Brookfield Asset Management Ltd. came under scrutiny after this week’s Liberal leadership debate, when he was asked whether he supported the company’s decision to relocate its headquarters from Toronto to New York last year.
Mr. Carney was also unclear Friday when asked if he would proactively disclose any potential financial conflicts of interest, saying only he will follow all ethics and conflict of interest rules if he becomes prime minister. He added that he has now received his security clearance, unlike Conservative Leader Pierre Poilievre, and that he has initiated the process of renouncing his citizenships in the United Kingdom and Ireland.
Speaking to The Globe and Mail at a leadership event in Oakville, Ont., where he appeared with Transport Minister Anita Anand, the Liberal front-runner tried to explain the apparent discrepancy in his remarks about Brookfield. He said there were “several elements to the transaction” and that the agreement was complicated.
“I should have been more precise in my answer,” Mr. Carney said.
“I think the core, though, is, what are we actually talking about? We’re talking about the technical change to where the head office is. No difference to any employment.”
He said the move “enhances the liquidity” but it is still a “great Canadian company.”
Conservatives accuse Mark Carney of misleading Canadians about role in Brookfield’s move to New York
The former Bank of Canada Governor has framed his leadership bid around a promise to focus on growing the Canadian economy. He was pressed after the debate earlier this week as to whether that commitment was undercut by the fact he was the chair of a firm that decided to move to the U.S.
In response, Mr. Carney said “the formal decision of the board happened after I ceased to be on the board.”
Mr. Carney has been accused by the Conservatives of lying when he said he was not chair of Brookfield when the decision was made.
“Sometimes I answer questions that go into details when I should keep it at a higher level. That’s part of the problem with not being a politician,” Mr. Carney said.
Mr. Carney also skirted questions about proactively disclosing his finances beyond what is required by law. He is not currently subject to any federal ethics rules, as he is not an elected MP, nor is he a public-office holder.
“I will follow all the ethics rules and conflict of interest rules and all the appropriate rules as prime minister from day one,” he said.
“What you’re asking effectively is, am I going to do more than others do when Pierre Poilievre doesn’t even do the basics of what he should do as leader,” he added, criticizing Mr. Poilievre for not getting his security clearance.
“The question should be for Pierre Poilievre, why won’t you do the basics? As opposed to asking me to do something that no one else does.”
Opinion: Before electing Mark Carney as leader, the Liberals should pause for a moment of reflection
Under the existing rules, public office holders have up to 60 days after taking office to make a confidential report to the ethics commissioner, which must include a description of their direct and contingent liabilities, a breakdown of all sources of income over the past 12 months, their charitable work over the past year and “any other information” the commissioner considers necessary.
In addition, there is a 120-day deadline to make a public declaration of assets and outside activities, subject to some exemptions, and sign off on a summary statement to be posted on the commissioner’s website.
Mr. Carney joined Brookfield’s board in 2020 and became chair in 2022. He stepped down in mid-January when he launched his bid for the Liberal leadership, and walked away from numerous business roles and appointments at the same time.
The Globe and Mail first reported in September that the company was thinking about moving its headquarters to the U.S. The relocation was technical, and designed to give the firm better access to U.S. stock indices.
“As part of this effort, BAM has now changed its head office to New York,” the company then confirmed in an Oct. 31 press release, as well as a Nov. 4 letter to shareholders, that also laid out plans to pursue a new share arrangement.
The Globe repeatedly asked Mr. Carney’s campaign on Wednesday for clarification of his comments, considering the public statements from the company about the relocation had been made well before he stepped down.
His campaign has pointed to a Feb. 4 press release from Brookfield Asset Management noting the conclusion of the new share arrangement, and pointed out Mr. Carney was no longer on the board by then.
According to Brookfield’s disclosures, the company had already moved its headquarters by that point, without needing shareholders’ approval.
Its corporate parent, Brookfield Corp., still owns 73 per cent of Brookfield Asset Management and is based in Toronto. The relocation did not affect any Canadian operations.
Mr. Carney’s refusal to clarify his comments drew sharp criticism from the Conservatives, who have said he can’t be trusted.
The Conservative Party’s ethics critic, Michael Barrett, told reporters Friday morning a statement from the Carney campaign on the matter wasn’t sufficient for someone who could become prime minister in a matter of days.
The Liberals elect a new leader on March 9. Prime Minister Justin Trudeau has said he’ll resign when his replacement is chosen. That means the winner of the leadership contest would be prime minister before the next general election.
On Friday, Mr. Barrett also seized on a comment from Mr. Carney during the leadership debate where he referenced working with the Martin Liberal government, saying again Mr. Carney’s timeline does not match the facts.
“It was my privilege to work with Paul Martin when he balanced the books and kept the books balanced,” Mr. Carney said during the debate.
As Finance Minister, Paul Martin introduced a balanced budget in 1998. Mr. Carney did not join the finance department until 2004. By then, Mr. Martin was Prime Minister.
The Globe asked the Carney campaign for clarification Friday.
“He was referring to his work in government while Paul Martin was Prime Minister and kept on balancing the books,” Mr. Carney’s campaign said in a statement.
But Mr. Barrett said Mr. Carney needs to personally address the discrepancies in what he’s been saying.
“It seems like he only wants to take credit for some things some times and other things other times, dodging accountability when it suits him,” he said.
With a report from Robert Fife