Key developments:

  • Duffy’s cousin testified he got $500 for scanning and sending news stories, photos
     
  • A consultant testified that Duffy found a “different way” to pay him when the Senate budget was tight
     
  • The consultant said there was nothing sinister about his arrangement with Duffy

THE COUSIN

The first witness of the day was Mike Duffy’s cousin David McCabe from P.E.I.

McCabe received a $500 cheque from Gerald Donohue’s company for sending the senator scanned stories from local newspapers. He said he sent Duffy photos and articles about their relatives, but also news about “political stuff” that was happening in P.E.I.

McCabe said he never expected or asked to be paid. When he received a cheque in the mail, he didn’t know who it was from, but said his sister “suggested I contact Mike.”

McCabe said Duffy told him the cheque was for the scanning and articles he emailed. He said he continued with the practice after depositing the cheque and didn’t receive any more payments.

Duffy’s lawyer, Donald Bayne, suggested that McCabe was always on top of P.E.I. issues and media coverage and that it was important for a parliamentarian like Duffy to stay in touch with local news.

The Crown has alleged that Duffy used Donohue to funnel $65,000 of Senate money into a “reserve pool,” so he could spend it on non-parliamentary services.

THE CONSULTANT

Court also heard from Peter McQuaid, the owner of a consulting business who was the chief of staff to former P.E.I. Premier Pat Binns between 1996 and 2006.

McQuaid testified that he did research and consulting work for Duffy. In 2009, his contract was worth $2,750 plus GST and paid by the Senate. But when it came time to bill Duffy for the second time, McQuaid said the senator told him he would have to pay him “in a different way.”

Asked why he didn’t have a formal contract with Duffy for the second year of work, McQuaid recalled Duffy telling him the Senate budgets were tight and that “he’d find another way to do it.”

Court heard that McQuaid did the same amount of work for Duffy in 2009/2010, but was paid through Maple Ridge Media, Gerald Donohue’s company.

In 2010/2011, he once again had a formal contract with Duffy through the Senate and was paid by the government.

Duffy’s lawyer suggested that the Senate contracts issued to McQuaid weren’t 100 per cent accurate. He also argued that McQuaid did legitimate work for Duffy, involving the same type of services regardless of how he was paid.

McQuaid said that Duffy didn’t receive any kickbacks from the contracts, which were consistent for three years. Under questioning from Bayne, he also testified that Duffy never told him to keep the arrangement secret and that there was nothing sinister about the payment.