Alec Salloum
Regina Leader-Post
While sitting as a Saskatchewan Party MLA, Gary Grewal breached the Members’ Conflict of Interest Act two times, according to a report released by the conflict of interest commissioner (COIC) this week.
Grewal was being investigated by the COIC in relation to hotels he was affiliated with or owned that entered into contracts with the Ministry of Social Services (MSS).
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The five-month investigation was triggered in May when NDP candidate Meara Conway, who was sitting as an MLA at the time, raised concerns about Grewal’s involvement in the operation of the Sunrise and Thriftlodge motels. Both locations were used for emergency shelter through the MSS.
The hotels linked to Grewal have been paid $731,000 since 2020, which is the year he was elected, though the Sunrise did take MSS clients in 2018. Grewal’s wife works as a bookkeeper at the Sunrise Motel.
Contracts with the Thriftlodge started in 2020.
Conflict of Interest Commissioner Maurice Herauf says Grewal was warned about being in breach of the act on Dec. 15, 2023 and was given 90 days to come into compliance. While he largely did — he was no longer accepting new clients as of March 15, 2024 — three MSS clients continued to stay until March 24. Grewal did this “out of a desire not to evict these vulnerable individuals from where they were residing,” Herauf noted.
“However, and as set out above, he continued to participate in government contracts until July 17, 2024, when the final Social Services payment was received. This still amounts to a breach.”
Grewal’s connection to the Thriftlodge started with a $100,000 loan he made to the owner. While he was a “creditor” and not an owner, the loan occurred outside the “ordinary course of trade,” Herauf said.
“This was a personal loan. I therefore find that Mr. Grewal has an interest in the Thriftlodge Motel.”
Unlike with the Sunrise Motel, Grewal did not take action when faced with the 90-day timeline to come into compliance, and remains a creditor.
“Mr. Grewal took no steps to ensure that the Thriftlodge Motel would cease participating in government contracts,” Herauf found.
In an emailed response provided Tuesday morning, the Sask. Party said it accepted the commissioner’s findings and went on to note that “he did not make any recommendations to consider.
“Mr. Grewal is now a private citizen and is not running again.”
The party also pointed to changes in procurement practices the government made earlier this year that were meant ensure the process for hotel usage considers fair value, availability and transparency.
In a news release issued Monday night, Conway described Grewal’s actions as “corruption” and said the Sask. Party is “more interested in cashing in on their government positions than representing the people of Saskatchewan.”
In his report, Herauf concluded that Grewal twice breached Section 15 of the act, which prohibits MLAs from taking part in government contracts.
Herauf left the decision on penalties for being in contravention of the act with the legislative assembly, given that Grewal is not running for re-election. The act also lays out possible discipline for MLAs, including a reprimand, fine, suspension, or for their seat to be “declared vacant.” In this case, only a reprimand or a fine would apply to Grewal.
Speaking from a media availability in Prince Albert on Tuesday morning, Sask. Party Leader Scott Moe said he would not comment on what the legislature “may or may not do” when asked if he would seek any matter of penalty for Grewal’s actions.
He said the expectation is that all MLAs follow conflict of interest laws.
Speaking in Moose Jaw, NDP Leader Carla Beck called Grewal’s actions “deeply concerning.”
“This should not stand for Saskatchewan people,” she said Tuesday. “People need to know that their elected officials are treating public dollars with respect.”
alsalloum@postmedia.com
