C-59 passes unanimously in House of Commons

Earl Jones Victims Committee see it as a victory

By Kevin Woodhouse

For victims of fraudulent investor Earl Jones, seeing the creator of the Norbourg scandal, Vincent Lacroix, emerge from prison after only serving a sixth of his sentence was a lot to bear considering Jones, if he only has to serve one sixth of his 11-year sentence, could be out of lockup for next Christmas.

But the Earl Jones Victims Committee (EJVC) is not standing idly by as the committee continues to press for tougher legislation for white collar crime and is behind the new

C-59 bill 100 percent that was recently passed unanimously in the House of Commons.

In a recent press release, the EJVC stated it “would like to express their support for the ongoing efforts of both the Conservative government, and the Bloc Québécois, in their combined efforts to better protect the rights of all victims of white-collar crime.”

EJVC noted the work of Conservative ministers Keith Ashfield, Minister of Revenue and in March 2010 then Minister of Public Works and Government Services Christian Paradis who arranged a meeting with the committee and Ashfield.

“The victims have worked hard over the past 20 months with the Conservative government in bringing forward their many crime bills, and are very pleased with these legislative efforts. “

The bill would make it mandatory for white collar criminals to serve one third of their sentence.

But when it comes to getting the laws changed to protect victims of white collar crime as well as to recoup money lost from Jones, the EJVC is non-partisan as they have received a lot of help from the Conservative government and Lac St. Louis MP Francis Scarpaleggia and Lachine-NDG MP Marlene Jennings.

“Truly, without their initiative and the February 2010 white-collar crime roundtable they organized in Ottawa , we would not have been educated as to the path to recover income tax refunds for fictitious interest,” said EJVC spokesperson Kevin Curran.

“The elimination of the so-called one-sixth access to early day parole for crimes committed by non-violent offenders not only better protects these victims, but also serves to provide the strongest deterrent in our society against any acts of serious fraud, and theft resulting from such fraud, from white-collar criminals,” explained EJVC spokesperson Joey Davis. “Our voice was heard in the House of Commons with a unanimous vote in support of Bill C-59, the Abolition of Early Parole Act. If passed in the Senate, Jones will serve 44 months in prison — not the 22 months under the current law.”

Victims of fraudster Jones, who did not want to release their names, expressed their support for the bill that now has to be presented to the Senate.

“White collar crime is fast becoming the most debilitating crime for seniors in the country. We have been left without our savings and have been shamed and ridiculed in the press. Time is of the essence in this matter,” said one victim.  

A victim of Jones who lives in NDG said, “It makes no sense that a man, sentenced to 11 years in jail for ruining the lives of 158-plus people, will serve only 22 months in jail. I can tell you that my father died and his whole estate was stolen, all within three months, leaving us completely devastated. Two years later, we are still scrambling to pay Dad’s 2008 taxes.”

“We have lost our nest egg, as well as the money we wanted to leave to our children. We have had to go back to work. We don’t want to see this man out on parole as early as next December. This is not a good system. Please work with the other parties to come to a good conclusion for all of us that have been victims of ‘white collar crime,’” said a victim from Pierrefonds.

EJVC is not stopping there. Curran has been working hard with the CRA (Canada Revenue Agency) and Revenue Quebec to recoup losses the victims accrued by paying taxes over the years for interest or investments that were fictitious.

Last Friday, Scarpaleggia spoke out for the victims during Question Period in the House of Commons. “The taxes paid by Earl Jones’ victims belong to them,” said Scarpaleggia. “The government should give it back, not make the victims go to court at significant expense.”

About 75 victims are affected and could receive up to $10 million in recoupment. Curran is confident an answer will be forthcoming in a few more weeks. “We have been working for eight months on behalf of the more than 75 former Jones clients seeking income tax refunds on fictitious interest. We have hired lawyers and accountants to comply with the very strict guidelines set forth by the government for these white collar crime victims: they have directed the taxpayers to file a Motion in Court to obtain their refunds, and that’s what we expect to do in early March,” Curran said. “We expect the CRA to stand by their word and process the income tax refunds efficiently. It is unthinkable the Canadian government would deny these victims money that is rightfully theirs and continue to profit from the proceeds of this crime.”

As Curran and the committee continue their work with CRA, the class action suit against the RBC continues as well as the case against RBC Dominion Securities but for now, the unanimous passing of C-59 is a light in the darkness for the victims and EJVC.

“This is a milestone achievement and a history-making event for all victims of white-collar crime,” said Davis. “It’s high time the financial institutions like the Royal Bank of Canada, who have acted with callous disregard to its victims in their own brand of white-collar crime, are also held accountable.”