REGINA - Former Regina Northeast MLA Gary Grewal has been found in breach of two counts of the Members Conflict of Interest Act, according to a ruling from the Conflict of Interest Commissioner released Monday.
According to the opinion released to the media by the NDP, Grewal was found by commissioner Maurice Herauf to have breached s. 15(5) of the Act with respect to both Sunrise Motel, and the Thriftlodge Motel.
The case against Grewal involved contracts with Social Services to house clients at both hotels. With respect to the Sunrise Motel, it was found Grewal contravened the Act by participating in government contracts from March 15 to July 17, 2024; for the Thriftlodge he contravened the same section by participating in government contracts again from March 15 to July 31, 2024.
Regarding the Sunrise Motel, the Conflict of Interest Commissioner stated he had issued a preliminary opinion on Dec. 15, 2023 that Sunrise Hotel had been in a government contract, and gave Grewal 90 days to come into compliance with the Act.
Herauf stated “he did not”; he stated Grewal acknowledged that three Social Services clients continued to stay at the Sunrise to March 25 and that the Sunrise did not receive the final payment from Social Services until July 17, 2024.
For the Thriftlodge, Grewal was a creditor who loaned $100,000 to the individual who owned the Thriftlodge, and had received interest-only payments on his loan. Grewal also was provided a registered mortgage on the property as security.
Unlike with the Sunrise, Herauf stated the circumstances here were different — that Grewal took no steps to come into compliance with section 15 and remains a creditor of Thriftlodge to this date. Herauf also stated Grewal took no steps to ensure the Thriftlodge would cease participating in government contracts.
The commissioner stared that while he accepted that taking such steps would be difficult, if not impossible, given that Grewal is not involved in the operations of a motel, it was “incumbent on Mr Grewal to divest himself in his interest in that Motel. He did not.”
Asked for a penalty, Herauf declined to make any recommendation, noting Grewal is no longer a member of the Assembly. Heraud instead is leaving the matter of the appropriate penalty to the Assembly for determination.
In a news release, the NDP characterized the ruling as a “scathing report” and characterized Grewal as “swindling $731,000 from taxpayers after the government awarded social services contracts to its own MLA’s hotel.” The NDP had accused Grewal of having doubled the motel rates when charging government clients, with taxpayers footing the bill for it.
“Scott Moe tried to defend the Sask. Party’s behaviour but the Commissioner called it what it is – illegal,” said Meara Conway, Saskatchewan NDP candidate for Regina Elphinstone Centre, in a statement. “This is corruption, plain and simple.”
The Saskatchewan Party has issued a statement with their reaction to the ethics commissioner’s ruling.
"We accept the Commissioner’s findings. He did not make any recommendations to consider.
"Mr. Grewal is now a private citizen and is not running again.
"Earlier this year, the procurement practices were changed to ensure the process for hotel usage considers fair value, availability and transparency."
