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T-3101-80
Canadian Javelin Limited (Applicant) v.
Restrictive Trade Practices Commission (Respondent)
Trial Division, Mahoney J.—Ottawa, October 14 and 20, 1980.
Prerogative writs — Applications for writs of prohibition and certiorari to quash orders denying right to question wit nesses in the course of an investigation pursuant to s. 114 of the Canada Corporations Act — Application for writ of man- damus ordering re-attendance of witnesses — Whether reme dies are available — Applications dismissed — Canada Cor porations Act, R.S.C. 1970, c. C-32, as amended by R.S.C. 1970 (1st Supp.), c. 10, s. 114(10),(13).
APPLICATIONS. COUNSEL:
M. L. Phelan and P. S. Bonner for applicant.
D. Scott, Q.C., and J. B. Carr-Harris for respondent.
SOLICITORS:
Herridge, Tolmie, Ottawa, for applicant. Scott & Aylen, Ottawa, for respondent.
The following are the reasons for judgment rendered in English by
MAHONEY J.: The affairs and management of the applicant, hereinafter "Canadian Javelin", are presently subject of an investigation under section 114 of the Canada Corporations Act.' Canadian Javelin has been allowed to be present at hearings but its counsel has been denied the right to ques tion witnesses. It now seeks writs of certiorari and prohibition to quash the orders or decisions deny ing the right to question the witnesses and a writ of mandamus requiring the respondent, hereinafter "the Commission", to order re-attendance of those witnesses to permit their questioning.
R.S.C. 1970, c. C-32, as amended by R.S.C. 1970 (1st Supp.), c. 10.
The evidence of the witnesses was taken pursu ant to orders made under subsection 114(10) of the Act.
114. ...
(10) On ex parte application of the inspector or on his own motion a member of the Commission may order that any person resident or present in Canada be examined upon oath before, or make production of any books or papers or other documents or records to the member or before or to any other person named for the purpose by the order of the member ....
Canadian Javelin was allowed to be present when the evidence was taken by virtue of a determina tion made under subsection 114(13).
114. ...
(13) A member of the Commission or any person named by a member of the Commission to examine a witness under oath may allow any person whose conduct is being investigated to be present at a hearing held pursuant to this section and if he is present at any hearing he is entitled to counsel.
Once allowed to be present, it was entitled to counsel.
Section 114 provides a number of means where by the inspector may carry out the investigation. Subsection (10) is one of them. The Commission is merely providing the facilities by which the inspec tor, appointed by it under subsection (2), may carry out his investigative function. The only dif ferent result that flows from the taking of evidence under subsection (10) is that, by subsection (18), the inspector cannot now discontinue the investiga tion without the concurrence of the Commission. That difference does not alter the investigative character of the interrogation of witnesses under subsection (10).
Likewise, that investigative character is not altered by the fact that subsection (13) calls the interrogation a "hearing" and provides that, if present, a person whose conduct is being investi gated is entitled to counsel. There is nothing in the use of the word "hearing" that imports a right to question witnesses that does not exist independent of the use of the word; it is the character of the "hearing" that determines the extent and nature of the participation to which an interested person is entitled. Furthermore, I am not persuaded that Parliament's intention, in entitling such a person to counsel at the hearing, is frustrated by the Commission's refusal to permit the counsel to
question witnesses. Parliament's intention is more plausibly explained than in terms of a mandate to render the inspector's use of the investigative means afforded by subsection (10) a rehearsal of what may ensue if the inspector acts under either subsection (22) or (23). If an allegation is made against Canadian Javelin in the inspector's state ment of the evidence or if the Commission pro poses to make a report against Canadian Javelin, subsections (24) and (29) assure its right to the sort of hearing it now seeks to have at the inves tigative stage. If the Attorney General of Canada elects to take action against Canadian Javelin by reason of evidence submitted by the inspector, the protection afforded every person accused in a criminal prosecution will be available to it.
The refusal to permit Canadian Javelin to ques tion witnesses at the investigative stage of the process under section 114 is not unfair. No statu tory right to question them arises under subsection (13). Finally, the fact that Canadian Javelin's counsel did question one witness before the ruling in issue was first sought and made is immaterial; it neither vested Canadian Javelin with a right to question all subsequent witnesses nor precluded the Commission from denying it.
JUDGMENT
The application is dismissed with costs.
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