The Controversial WE Charity in Canada: Debunking the Myths

The Controversial WE Charity in Canada: Debunking the Myths

Recently, the WE Charity (WE) has been in the spotlight in Canada for various reasons. Despite initial hopes from the opposition that this issue would significantly impact Canadian politics, particularly with regards to the Liberal government of Justin Trudeau and his finance minister Bill Morneau, it remains mostly a past issue. Nonetheless, the scandal surrounding WE's practices and ties to the government ministries sparked a surge of controversy and scrutiny.

WE and the Liberal Government: An Unlikely Alliance

The WE Charity's connection to the Liberal government has been a major point of contention. After being awarded a contract worth $912,000,000 to administer a student volunteer program, allegations of impropriety have surfaced. It was discovered that WE had paid Sophie Trudeau, the prime minister's wife, as well as the prime minister's mother and brother over $500,000 for speaking engagements and expenses. Moreover, one of the finance minister's daughters had been employed by WE, and another's book had received an endorsement. The WE charity was presented to parliament as the only organization capable of handling the contract, despite the existence of an already existing department capable of performing the task without additional costs to the taxpayer.

Audit and Withdrawal of the Contract

Despite clear conflicts of interest, the prime minister and the finance minister did not excuse themselves from the vote. The motion was passed, and the contract was awarded. However, the situation was later rectified when the contract was withdrawn following the exposure of the violations. When WE was presented as the only organization capable, it was later revealed that they were the only one given a chance to even bid on the contract. Other highly capable charitable organizations were never contacted.

Further Revelations and Scrutiny

More issues have come to light regarding WE Charity. Prior to the official announcement of the contract, the majority of the board of directors resigned. Multiple corporate sponsors have dissolved their relationships with WE due to lack of transparency. Scrutiny has also been directed towards the charity's numerous non-profit and for-profit corporations, as well as its substantial real estate holdings. A rating from Charitable Intelligence found that WE had only received a "fair" rating for its impact level compared to its spending, and that the organization was in breach of its bank covenants for a second consecutive year.

Conclusion: A Shadow of a Controversial Past

While the immediate impact on Canadian politics may have been less than anticipated, the WE Charity scandal continues to cast a long shadow over the organization and its ties to the government. The series of events, from the initial contract award to the subsequent withdrawals, resignations, and scrutiny, highlights the need for transparency and accountability in charitable organizations.