PUBLICATION:        CTV (CTV News)

DATE:                         2004.04.07

TIME:                          23:00:00 ET

END:                           23:30:00 ET

COLUMN:                  CTV News

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Whistle blower instalment: Groupaction received millions of dollars for "creative services" from the Canada Firearms Centre.

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LLOYD ROBERTSON: The company Groupaction, the Liberal friendly advertising, the Liberal friendly advertising agency embroiled in the federal sponsorship scandal, has been making money from that other much maligned government program, the billion dollar gun registry. Tonight, in this CTV News whistle blower instalment, an investigation has found Groupaction received millions of dollars for, quote, "creative services" from the Canada Firearms Centre. And as CTV's Ravi Baichwal reports, those services were of questionable value to taxpayers.

RAVI BAICHWAL (Reporter): Between 1997 and 2002, Ottawa paid Groupaction $5.1 million to help introduce the Canada Firearms Centre to the country and spur gun owners to register their weapons. GARRY BREITKREUZ (Conservative - Saskatchewan): I think what we have here is a scandal on top of a scandal.

BAICHWAL: When we asked the Canada Firearms Centre what services Groupaction provided for $5.1 million, here's all they showed us. Public education ads designed especially for placement in small publications. According to this long time ad industry watcher, an educational campaign such as this one shouldn't cost so much.

STAN SUTTER (Marketing Magazine): From what you've shown me, it doesn't look like they're paying for a lot of high profile high powered talent.

BAICHWAL: So CTV asked for more samples, but the Canada Firearms Centre would give us nothing more from the Groupaction file. They maintain they have all kinds of material in archives. A spokesperson for the gun registry says Groupaction did a lot more work including radio and television commercials like these. Did taxpayers get value for money?

THOMAS VARES (Canada Firearms Centre): Invoices are processed properly and are not forwarded until we are sure that services were rendered as required.

BAICHWAL: Briefing notes from 2002 for the minister responsible at the time, Martin Cauchon, make it clear none of the money paid to Groupaction went to buy ad space or air time. The firm only provided advertising services.

SUTTER: If that's the sum total of what have came out of it, it's certainly not worth $5 million.

BAICHWAL: Groupaction refused to speak to CTV News. 

UNIDENTIFIED MAN: But this is another area that really deserves investigation because the firms involved here also have been involved in scandals elsewhere in government.

BAICHWAL: Neither of the Justice Ministers who were in charge of the gun registry during the time in question consented to an on camera interview. Martin Cauchon, however, did say to us that when he was the Justice Minister, nobody ever came to him with concerns over the advertising contracts between Groupaction and the gun register. As for the minister in charge now, Deputy Prime Minister Anne McLellan, she stands by the Canada Firearms Centre. Ravi Baichwal, CTV News, Toronto.

ROBERTSON: Now if you know any examples of government or corporate waste on a grand scale, we'd like to hear from you. You can e-mail us at whistleblower.ctv.ca.