Will a new Bank of Canada governor shake up interest rates?

Mark Carney's successor as governor of the Bank of Canada is not expected to implement a radical change in interest rate policy and most likely will hold the current underlying philosophy, which includes a hawkish attitude toward inflation.

Speculation has already begun about possible candidates to replace Carney, who announced on Monday that he will step down next June to become the next governor of the Bank of England.

But it's unlikely that the new Bank of Canada governor will diverge from Carney when it comes to setting interest rates here, says Louis Gagnon, a finance professor at Queen's University School of Business.

"In this business you're either hawkish or dovish. Hawkish people are very suspicious of inflation and dovish people are slightly more accommodating. [Carney] is in the hawkish camp," Gagnon said.

"I think the Bank of Canada as an institution, not only the governor, but the body, is hawkish. I'd be very surprised if they were to select someone who has a different philosophy because that person would not sit well with that group of people."

The Bank of Canada has a two per cent target for inflation, which means that if inflation should exceed that level interest rates would be increased to keep it in check. With the Canadian economy growing slightly — the OECD yesterday predicted moderate growth for Canada in 2013 — inflation might go up as well, which means the next governor could end up raising interest rates.

The Paris-based Organization for Economic Co-operation and Development said in its report the Bank of Canada may need to start raising interest rates from near record lows by the latter half of 2013.

However, Gagnon said that such a move shouldn't be interpreted as a new governor having a different policy objective than his predecessor.

"If [Carney] saw that inflation rose consistently above the two per cent mark, he'd most certainly increase interest rates."

As for governor contenders, Gagnon said there's no pecking order right now and that it will be a long time before a shortlist is created.

He said the candidate must have a deep and solid understanding of the macro economy, the capital marketplace, financial markets and the overall banking system.

"Monetary policy is so crucial. It's central to everything. It establishes the short-term interest rate, which itself is the starting point of the credit marketplace.

"So credit markets take their queues from monetary authorities. And so you have to have a very, very solid understanding of all these dimensions."

The board of the Bank of Canada vets candidates for the governor's job and comes up with a short list, from which the government chooses.

Finn Poschmann, vice president of research at the C.D. Howe Institute, said that with Carney leaving after just over five years in a seven-year term there may be an incentive for the board to look for continuity.

This is one of the reasons that Tiff Macklem, the senior deputy governor at the Bank of Canada, has been suggested as a leading candidate. Macklem has been with the Bank of Canada for a number of years, and also spent time in the finance department.

"There's of course no shortage of qualified possible contenders. But with continuity an incentive if not an imperative then you look inside for an experienced hand," Poschmann said. "They don't have to look very far for someone with the right set of experiences, both through Tiff's work on previous jobs including the department of finance."

If continuity is important, then Bank of Canada deputy governors Agathe Côté and Timothy Lane could also be up for consideration.

Another possible contender is Jean Boivin, the associate deputy minister of finance and former deputy governor of the Bank of Canada.

Don Drummond, TD Bank's former chief economist, who spent years in senior roles at the department of finance, could also be a candidate. But Drummond said on Monday that he wasn't interested in the job, Bloomberg News reported

Economic analyst Patti Croft said Julie Dickson, who heads the Office of the Superintendent of Financial Institutions Canada, would be her top pick.

"Her experience, expertise on the regulatory side would be a wonderful addition," Croft said. "It's something Mark Carney was very interested in. It was one of his comparative advantages and she has it in spades."

Croft also said Stephen Poloz, president and chief executive officer of Export Development Canada, who is an economist with global experience, would be a good choice.

"The important thing is there's a remarkable pool of talent they can draw from," Croft said.

With files from The Canadian Pres

21.48 | 0 komentar | Read More

Budget Rent a Car fraud claims probed by RCMP

B.C. Attorney General Shirley Bond says provincial agencies are investigating allegations of fraud at Budget Rent a Car locations in the Vancouver area.

CBC News has spoken with Budget customers and former employees who accuse the company of grossly overcharging customers for minor repairs that sometimes aren't even done.

"There will be a fair process to look at whether the allegations are true or not," Bond said.

"It is being taken very seriously and I don't accept the fact that consumers should be treated inappropriately in this province and I expect the processes to be rigorous and examine the allegations."

Vancouver area Budget franchises are owned by Syd Belzberg, a prominent businessman who has won awards for philanthropy.

But some of his former employees claim Belzberg makes money by systematically deceiving customers.

Former employees allege Budget Rent a Car locations in the Vancouver area intentionally rip off customers. (CBC)

"We would consciously lie to people," Dylan Paul told CBC News.

"I will use the word lie and I will use the word swindle. It was by design. I had personal meetings with the owner, with the general manager, and I know how I participated in that. And a lot of times I should have just said, 'No.'"

Former employee Martin Torres tells a similar story.

"It was a big grab of money, like unbelievable — lots of money being made on a daily basis dishonestly. And you were part of it. And finally I got out," he said.

Paul, who managed Budget's downtown location, says he feels terrible about what he did.

"I've had people cry … because they can't afford [the repairs] ... and we are charging $1,000 for a windshield and it doesn't cost that," Paul told CBC News.

"And if someone did that to my wife, it would just break my heart. That was the reason I left."

Bogus charges

According to Paul, the scam was to slap customers with a bogus charge of at least $300 for minor vehicle damage.

From left to right, former employees of Budget Rent a Car shared stories about duping customers with CBC News: Martin Torres, Graeme Darbyshire, Dylan Paul and Elie Daher. (CBC)

"A car would come in and we would charge the person $1,000 for the windshield and tell them we are going to send it to get repaired," Paul said.

"Thirty minutes after that customer has left, we will rent that car to someone else … without repairing it."

The repair shop that came up with the estimates and repair bills is also owned by Belzberg, but customers were led to believe it was independent.

"We are all operating under the same business concept, business idea, which is find damages and charge people," said Elie Daher, who worked as a customer service representative for Budget's downtown location for several months.

Graeme Darbyshire, the lead customer service agent in charge of a suburban outlet, says ripping off customers was mandatory.

"It's Budget's way or the highway with everything from top to bottom — more so Syd Belzberg's way."

Darbyshire estimates as much as 70 per cent of the additional charges were unfair.

Foreigners bilked

The former employees say bilking foreigners was Budget's specialty.

"We knew one, these are foreigners so the chance of them complaining is very unlikely and two, the language barrier they don't know," said Paul.

Daher remembers an incident when his manager spotted a wealthy customer from Hong Kong and flagged her to pay more.

"We charged the lady $4,000 a week for renting the car … for a Mercedes C class," he said, adding the rental would normally cost $199 a day, or about $1,400 for seven days.

The employees all worked on commission, so the more they overcharged customers, the more they made.

"If you add up what happened with the dishonest sales tactics, the damage, the stuff like the fuel, it's easily millions of dollars," Paul said.

Belzberg has declined repeated requests for an interview with CBC News.

But his manager said in an email to CBC News he was "shocked" by the allegations made by former employees.

"We take these allegations very seriously," the email said. "We take great pride in the excellent service we give to our customers. Under no circumstances would we condone any business practices which do not serve the best interests of our customers."

The company earlier said the employee commission system for repairs had been scrapped and vehicle damage would now be assessed by an independent appraiser and repaired at an independent shop, adding that anyone caught misleading customers would be fired.

No apology

David Klein, a well-known class action lawyer, says tracking down customers who may have been overcharged could be a challenge.

Lawyer David Klein believes Budget customers have a solid case. (CBC)

"Finding all those people from all over North America can be a challenge and could be an impediment to having the matter proceed," he said.

"There are, though, enough people who are local, enough people who are right here in British Columbia, that I think a case would be viable."

The former employees who spoke to CBC News hope things will get cleaned up — but they're skeptical.

"Even now, with all this coming to light, you don't have the owner or the [general manager] come out and apologize for it," Paul said.

Budget's corporate head office in the U.S., which has the power to enforce changes in the Belzberg operation, says the allegations are being investigated.

"When this process is complete, we will then review our options with respect to taking appropriate action," the company said in a statement.

21.48 | 0 komentar | Read More

What's the secret to Gangnam Style's success?

With Korean lyrics delivered by a cartoonish rapper riding an invisible horse, Gangnam Style was an unlikely candidate to become a worldwide phenomenon.

But on the afternoon of Nov. 24, the colourful and wacky video for PSY's pop tune became the most-watched YouTube clip of all time, racking up more than 805 million online views. (Justin Bieber's mega hit Baby previously held that title.) At last count, Gangnam Style views had surpassed 834 million.

Korean pop stars and record label executives the world over are no doubt eyeing the tune and its quirky choreography for clues on how to duplicate its success.

Experts say that while Gangnam Style has all the key elements of a pop hit – including a catchy hook – its success is the sum of many elements, producing a "fluke" that will be tough to duplicate any time soon.

"I don't think any other Korean or Asian artist is likely to repeat this," said Jason Anderson, arts writer and film critic for The Grid newspaper in Toronto.

"I think just having that kind of hit song is such a freak incident. To have a song of this scale, it doesn't create any kind of precedent. It's a scientific fluke. A kind of perfect storm of pop music comes together every once in a while to create this kind of song."

Numerous parody videos

The video for Gangnam Style, which was first posted to YouTube in July, has spawned countless parodies, with everyone from UN Secretary General Ban Ki-Moon to Britney Spears to the CBC's own Peter Mansbridge galloping and throwing an imaginary lasso to PSY's infectious synth beat.

Korean rapper PSY, right, teaches UN Secretary-General Ban Ki-moon, left, how to dance to his massive hit Gangnam Style during a photo opportunity at the UN headquarters in New York. (United Nations, Eskinder Debebe/Associated Press)

"One of the surprising things about that song is that the lyrics are mostly in Korean ... [it's] proved that you can have a global song phenomenon that's not English-language lyrics," said Mark Simos, associate professor of songwriting at the Berklee College of Music in Boston, a school PSY himself once attended.

"There have been plenty of cases of songs with English lyrics breaking into international markets. Much fewer cases going the other way."

Gangnam Style is not the first international pop track to capture a global audience.

'A hit song can't have the same impact that it used to. Except in this case.'—Arts writer Jason Anderson

Some of its predecessors include Los del Rio's Macarena, a ubiquitous '90s ditty that also featured a signature dance, and Austrian musician Falco's Rock Me Amadeus, in the 1980s.

But in today's fractured pop music landscape, it's more difficult for songs – in any language – to reach the kind of critical mass that Gangnam Style has, said Anderson.

"It's got a lot to do with the way the pop music industry is these days," he said. "It's very polarized. A hit song can't have the same impact that it used to. Except in this case. Hit songs don't have that kind of penetration any more."

English-lyric hook a factor

One key element that helped is the explosion of Korean pop music – so-called "K-pop" – in recent years.

The growing base of fans of that genre inside and outside Korea likely helped give Gangnam Style a boost, said Simos.

"I would imagine that there was a pretty large Korean-speaking population that was a foundation … if you get millions of views from one constituency, that's certainly going to get you on the map and give you a chance of breaking in more globally," he said.

PSY joined Madonna and her dancers onstage to perform his hit song Gangnam Style during her MDNA concert in New York on Nov. 13. (Guy Oseary/Associated Press)

However, the fact that Gangnam Style is a rap song may have also helped it cross over to Western markets, he added.

"You have the rhythmic aspect of the lyrics to engage you there. I don't know if it would have worked as well with a sort of sweet Korean-language pop song or ballad. I'm not sure it would have swept in the same kind of way. You can kind of just listen to the [Gangnam Style] lyrics almost like like a rhythmic track."

The song also has a catchy hook with just enough English – "Heyyyy, sexy lady" – to keep those who don't understand Korean interested, he added.

"Who wouldn't want to sing that?" said Simos, adding that "the way in which it's put together [isn't] all that unusual in that style of pop music."

A 'throwback' to dance craze songs of '50s, '60s

The song's throbbing beat is in line with the European-style techno sounds that are ever-present on Top 40 charts in Western markets.

But there are also song production techniques that PSY used well within the song, said Simos. He points to a portion of Gangnam Style where the fast flashes of sound speed up to an unexpected pause before the music and the rapping reappears.

"That pause is just a little bit out of time… It doesn't come in quite where you expect it. It's a cool musical effect," said Simos. "This is not the first song where something like that happens. But he's used a lot of these kind of production and writing techniques. And it's done well and it creates an exciting dance pop song."

The horse dance is also a key element. Gangnam Style is a throwback to the dance craze songs of the '50s and '60s such as the twist, said Simos.

"Look at the 900 or so imitations of [Gangnam Style] that have sort of sprung up. That particular dance and the moves, that's a lot of what's gone viral," he said.

'Not your typical pop star'

The character PSY himself is an affable "anti-pop star," said Simos.

"There is no doubt that part of the charm of the video is the quirky character that is not your typical pop star. Not in his looks —he's kind of nerdy. And the dance itself is a little nerdy," he said. "Some of the charm of that is going against type."

The song's lyrics poke fun at the posh district of Gangnam in Seoul, South Korea. The four-minute video is a barrage of glossy, ridiculous scenes ranging from the South Korean rapper riding a children's carousel to PSY emphatically rapping while seated on a toilet — the kind of quirky clips that tend to go viral online, said Simos.

'It's the fact that he's both adopting pop culture and mocking [it] at the same time.'—Mark Simos, songwriting professor at Berklee College of Music

"It sort of looks like a spoiled rich guy trying to act really hip, and being a little hapless about it … It's the fact that he's both adopting pop culture and mocking [it] at the same time," he said.

"In a way, it's a very ironic video. The kind of thing that plays really well on YouTube."

Ken McLeod, an associate professor of music history and culture at the University of Toronto, said this kind of pop music sensation could be duplicated, but it's highly unlikely.

"Everyone once in a while, there's a song like Nena's 99 Luftballons that catches people's imagination," he said. "People don't understand, but they like something about it… It will happen again, but it won't happen tomorrow."

With files from CBC News and the Associated Press

21.48 | 0 komentar | Read More

Household flame retardants potentially ineffective, dangerous

Some chemical flame retardants used in home furnishings may not help in a house fire, and can pose health hazards, a CBC investigation has found.

A probe conducted by Marketplace tested the effectiveness of chemical retardants in upholstered furniture and also examined their potential health risks. Previous research has cast doubt on the retardants' ability to slow or stop fires, particularly in furniture foam.

Environmental and health researchers are also concerned that some of the chemicals are linked to a wide range of health problems.

Flame retardants are found in a wide array of household items, including upholstered furniture, electronics and children's toys. The problem, says fire scientist Vyto Babrauskas, is that these supposed lifesavers have no benefit for the average consumer.

"It's a really sad situation, because [consumers] get enough fire-retardant put in there to do toxic harm to the environment, to the people, and yet it's not enough to do any good in terms of quenching the fire," he says. "Flame retardants in the home do not help. That is regrettable, but true."

Chemical industry's 'blatant falsehoods'

The problem isn't that fire retardants don't work, Babrauskas says, but that household items typically don't contain enough retardants to do the job.

Marketplace conducted a test using one chair containing foam with fire retardants and another without, but both burned at similar rates. (CBC)

In 1987, Babrauskas led a study that found flame retardants can vastly increase escape time from a fire.

Chemical manufacturers point to this study as proof that flame retardants save lives, but Babrauskas says the claims are a "blatant falsehood" and that the industry is "totally misrepresenting what we had done."

The original test evaluated flame retardants for military use, meaning there was far more fire retardant than used in household items.

Flame retardants can work very well, but only when used in very large amounts, Babrauskas explains. The problem is that more retardants add up to a larger price tag.

'[Consumers] get an ineffective amount of fire retardant put into the furniture.'—Fire scientist Vyto Babrauskas

"If you are some sort of institution or military … you have a very deep pocketbook, and you can buy exceedingly wonderful fire retardants that completely stop the fire dead in its tracks," he says.

"That is not what Mr. and Mrs. Consumer get when they go to their local shop and buy some furniture or consumer articles. If they buy furniture which has fire retardants in it, they get an ineffective amount of fire retardant put into the furniture."

But even small amounts can create a big danger when they burn. Smoke from burning fire retardants can contain elevated amounts of carbon monoxide as well as dioxins and furans, toxic chemicals that can cause immune disorders, liver problems, skin lesions and certain types of cancer.

Dangers in dust

Toxic smoke is just one of the potential threats from chemical flame retardants, since tests have found they pose potential health risks even if they aren't burning.

"It's a tremendous problem … that these are really noxious chemicals that are being put in [furniture]," Babrauskas says. "If you have a sofa with that type of a foam, every time you sit up and down on it, you're basically beating some of the material out of the foam."

Flame retardants can end up in household dust, which researchers say is a major route of exposure. And some flame retardant chemicals bioaccumulate, meaning they gradually build up in the body.

Retardants are found on so many household products that they're nearly unavoidable.

University of Toronto chemist Miriam Diamond has found traces of chemical retardants all over Toronto homes.

"We found them everywhere, everywhere from the kettle, to the computer, TV, couches, chairs, the backing on your carpet," she says. "They're in every room, in every location."

A study released Wednesday also found that that chlorinated Tris, a retardant banned from baby pyjamas in 1977, was the most common retardant in couches tested in the U.S.

Some chemicals banned

Diamond was also surprised to find potentially toxic retardants in children's toys.

A recent U.S. study found that children with higher levels of an older class of flame retardant chemicals called PBDEs, or polybrominated diphenyl ethers, showed lower IQs, shorter attention spans and weaker motor skills than those with lower levels.

Studies have found young children tend to harbour the highest levels of such chemicals since they tend to play on carpets and furniture, increasing their exposure. Some classes of toxic flame retardants, like many other chemicals, are also transferable through breast milk.

PBDEs and similar retardants are also linked to altered thyroid functions in pregnant women, as well as increased difficulty in conception.

The Canadian government has already banned two classes of PBDEs, but critics say that more action is needed. Environment Canada has announced it plans to ban a third class of PBDE by 2012, but legislation hasn't been introduced.

As older chemicals have been banned or phased out, a new generation of flame retardant chemicals has come into increasing use. Environmental and health researchers worry that new chemicals have not undergone enough toxicological scrutiny to properly assess their safety.

Watch Marketplace's episode, Burned, Friday at 8 p.m. (8:30 p.m. in Newfoundland and Labrador) for more on the potential dangers of flame retardants.

21.48 | 0 komentar | Read More

Ex-astronaut Marc Garneau to launch Liberal leadership bid

Former astronaut and Montreal MP Marc Garneau is widely expected to announce Wednesday that he will be a candidate for the Liberal leadership.

It would be hard to imagine why Garneau would hold two news conferences, one in the morning in his riding, and then one mid-afternoon in Ottawa, if he's not running.

When someone tweeted to ask whether Garneau would be "window dressing" in a contest where he will run against Justin Trudeau, he answered, "Do you really think I would take on a huge personal commitment to be window dressing?"

Garneau will add another kind of celebrity to a race that's been dominated by Trudeau, who is often referred to as the "rock star candidate."

What other leadership contender has two high schools named after him, as Garneau does? Who else was once asked by the Montreal Alouettes to try out for their team, as he revealed on Twitter during the Grey Cup furor.

Garneau, born in Quebec City and a Royal Military College graduate, became a naval officer after getting his doctorate in engineering. In the mid-80s he became one of six Canadian astronauts (out of a field of 4,000 serious applicants) and flew his first shuttle mission in 1984. His biography on his website says he's logged 644 hours in space.

In 2001, he became head of the Canadian Space Agency and left in 2005 to enter politics. He lost his first election in 2006, but in 2008 won the riding of Westmount-Ville-Marie. He is the Liberal House Leader and the party critic for science, industry and technology. In his political career, he has championed the idea of a commissioner for children and young people.

Garneau becomes the third sitting MP to enter the race, after Justin Trudeau and B.C. MP Joyce Murray.

Garneau has 'intellectual heft'

One supporter says he is attracted to Garneau because of his "intellectual heft." A Liberal insider says that if Trudeau falls flat on his face, then Garneau will be there as a solid, credible candidate, and a household name to boot.

At 63, Garneau qualifies as an early boomer, a member of a political age-cohort that ranges from Bill and Hillary Clinton, Mitt Romney, Bob Rae and a number of his seatmates on the Liberal bench. There is a sense of the headiness of what it was like coming of age in the 60s as he relates how he crossed the Atlantic in an 18-metre yacht with 12 others in 1969, the same year, he notes, as Woodstock and the moon landing.

His 8000 Twitter followers don't compare to Trudeau's nearly 170,000, but nothing humanizes him more than some of his tweets, as he obligingly answers questions about life in space. Is there a special space toilet, how does the shuttle's vacuum cleaner work when the shuttle's flying in a vacuum, is there a Velcro strip inside the helmet to aid in nose-scratching? (Answers: yes, it just does, and no).

The other candidates who have declared their leadership bid or their interest are former MP Martha Hall Findlay, Ottawa lawyer David Bertschi, Deborah Coyne, Vancouver lawyer Alex Burton, retired air force colonel Karen McCrimmon, senior government economist Jonathan Mousley, B.C lawyer David Merner, and Toronto lawyer George Takach.

21.48 | 0 komentar | Read More

What's next for Toronto Mayor Rob Ford?

A ruling by an Ontario court judge that forces Rob Ford to vacate the Toronto mayoralty has opened up a legal and political quandary in Canada's largest municipality.

Having found that Ford had violated provincial conflict of interest rules for municipal politicians, Ontario Superior Court Justice Charles T. Hackland gave the mayor two weeks in office before the ruling takes effect, saying the decision "will necessitate administrative changes in the City of Toronto."

But if yesterday is any indication, those two weeks will be filled with intense legal speculation about whether Ford will seek a stay of the Hackland ruling while an appeal is heard, not to mention political intrigue as Ford opponents and supporters jockey to figure out how to replace him.

If he does go, there are currently two options on the table: appoint a caretaker mayor to fill the remaining two years of the term or call a byelection. And while it is early days yet, some councillors, including some previously loyal Ford supporters, are beginning to make their preferences heard.

As for the mayor, Ford has said he will appeal the decision at a divisional court. But in order to remain mayor while the appeal is going forward, he would likely also have to apply for a stay of proceedings.

Ford's legal team could either ask that of Hackland, the lower court judge who made the initial decision, or the court they are appealing to.

"They'd have to make the tactical decision, who's more likely to hear them out," Stephen D'Agostino, who specializes in municipal law, told CBC News. "Part of the consideration is going to be what are the chances on appeal.

"If it looks like it's a pretty iffy appeal, the court might say, 'We'll hear the appeal but you're out [of office].' On the other hand, if it's controversial but looks like it's a good appeal, a court might be more cautious."

Appeal could take months

If a stay was granted, Ford would continue to be mayor for the duration of the appeal and legal process, which could be several months. His term is supposed to end in December 2014.

Yet there seem to be differing opinions over whether such a stay would be granted. John Mascarin, a municipal law expert who had predicted the judge's ruling, suggested on Monday that Ford would get a stay.

But D'Agostino told CBC News that he believes granting a stay to Ford would be unprecedented.

"I've been involved in conflict of interest work for 15-odd years," he said. "I've never seen it done.

"The normal appeal rules would allow someone to apply to court to stay the decision that's being appealed, but I have never seen it done," D'Agostino said.

If a stay is not granted, the City of Toronto Act states that city council would have 60 days to either fill the vacancy by appointing somone to be mayor or by passing a bylaw requiring a byelection be held to fill the vacancy.

The Globe and Mail reported that council had earlier passed a bylaw that would ensure that only an elected councillor could be appointed mayor under these circumstances, but it's unclear whether that bylaw would supercede the provincial act governing municipalities should there be a challenge.

Confusion over when Ford can run again

Still, there seems to be some confusion surrounding part of the judge's ruling. In one of the last paragraphs, Hackland wrote that he would not disqualify Ford from running for or holding office "beyond the current term."

The question is what the judge meant by "beyond the current term" and whether that refers to Ford's term as mayor, scheduled to end in December 2014, or whether he could run again immediately if a byelection were to be called.

Mascarin said that he believes Hackland clearly meant to bar Ford from running for office until the current council term is over in 2014.

But Alan Lenczner, the lawyer who represented Ford in the conflict hearing, told CBC News in an email that he believes the mayor can run in a byelection if one is called ahead of the 2014 municipal election.

D'Agostino said that it's unclear what Hackland meant. "If I just read that one paragraph, I'd walk away saying that the court meant to the end of the term — as in an election term.

"But because I read the whole decision, I read that and it kind of jarred me because there's no real discussion about that, it just sort of comes out of the blue. It's really a well-worded, well-thought-out decision, and I would have anticipated some discussion on it. So that's what I'm left with, a bit of a question mark."

It is possible the two sides may call the judge's assistant to set up court time or a conference call with the judge for clarification.

As for council's option to appoint someone to fill the mayoral void, the provincial act doesn't specify who that person should be — meaning it could be anyone of voting age, and not necessarily someone from city council.

Adding another twist, if a stay is not granted, and Ford is booted out of office, it's possible he could be reinstated if the appeal court sides with him, meaning the person who had replaced him as mayor would in turn be replaced by Ford at some future date.

Byelection would cost $7M

Meanwhile, many city council members were cautious in their remarks about the possible mayoral vacancy and which option they might consider — a $7-million byelection or the appointment of an interim mayor until 2014.

Some took to Twitter to say that Ford was entitled to his appeal process, while others were raising names of those who might succeed the mayor.

Deputy Mayor Doug Holyday told CBC News that he'd favour an appointment if that person's agenda was similar to the mayor's. He later said he wouldn't rule out a run himself if a byelection were called.

Coun. Mike Del Grande, another Ford supporter on council, told the Globe and Mail that he would like to see the fiscally conservative Holyday in that post if council was to go the appointment route.

But Coun. Paula Fletcher told the Globe and Mail that she thought two years is too long for a "caretaker" to run the city.

The ruling has already prompted some to reconsider their political future. Coun. Giorgio Mammoliti, a loyal Ford supporter, quit the mayor's executive committee, saying his constituents have asked him to put some distance between himself and the embattled mayor.

With files from The Canadian Press

21.48 | 0 komentar | Read More

Tories and NDP hold on to seats in tight byelections

The Conservative Party won two of three federal byelections Monday night, holding on to its seats in Calgary Centre and Durham, Ont., while the NDP kept its seat in Victoria.

None of the ridings had been expected to change party hands, though two of them turned into close races.

NDP candidate Murray Rankin won in Victoria, holding off a surprising challenge from the Green Party's Donald Galloway.

Rankin won with 37.2 per cent of the vote to Galloway's 34.3, in a race that seesawed throughout the night.

"We knew this would be a tough fight," said federal NDP Leader Tom Mulcair, who was on hand in Victoria to congratulate the newest member of his caucus.

The NDP is a party at the centre of Canadian life, and one that is on the move, Rankin said. "I see the faces of a great national party, steadfast in our determination to build a better Canada."

In Calgary Centre, the Conservative Party held on to what has traditionally been one of its safest ridings in the country. Tory candidate Joan Crockatt won with 36.9 per cent of the vote to Liberal Harvey Locke's 32.7 per cent.

"Conservative support in Calgary Centre remains strong and growing," the beaming victor maintained after arriving to a cheering throng at her campaign headquarters.

"It was a nail biting evening but I'm a new candidate, I'm not an incumbent and byelections are always challenging for a majority government."

Byelections do tend to be hard on sitting governments, but Calgary Centre wasn't supposed to be a problem for the Harper Conservatives.

The riding hadn't seen a three-way race since Reformers and Progressive Conservatives were fighting for the right to roast a Liberal in the early 1990s. Locke's second-place finish matched the Liberal party's 1993 high-water mark in Calgary Centre.

Quoting a line from the Leonard Cohen song "Anthem" -- "There is a crack in everything; that's how the light gets in" -- Locke said, "I think we made a crack."

Liberals, Greens challenge Tory dominance

The combined conservative vote Calgary Centre hadn't fallen below 50 per cent since 1972.

But Crockatt's vocal support for the upstart Wildrose party in the last Alberta election appeared to divide the local conservative base, with some openly defecting to support Locke.

"I think that the question for me as a Liberal that has been answered tonight is can a Liberal run competitively in Calgary and the answer is unquestionably, yes."

It seemed the Greens' Chris Turner was the deciding factor, with a strong showing that likely took votes away from the Liberals in a riding that's been painted Tory blue since the riding was formed in 1968.

"We were defeated at the polls, but we did not lose anything today," Turner said in a statement.

Turner's strong campaign may have been aided in the final stretch by Liberal gaffes elsewhere.

First, Liberal MP David McGuinty was quoted calling Alberta MPs "shills" for the oil industry and suggesting they "go home" and run for town council if they want to be so parochial.

Then a November 2010, French-language interview by Justin Trudeau, the Liberal leadership heir apparent, surfaced in which he stated that "Canada isn't doing well right now because it's Albertans who control our community and socio-democratic agenda."

Trudeau apologized but not before federal Conservatives had a field day, stalling Liberal momentum in Calgary Centre and making the Green option -- and a welcome Liberal-Green vote split for Crockatt -- more viable.

Conservative candidate Joan Crockatt speaks to supporters following her win in Calgary Centre on Monday evening. (Jeff McIntosh/Canadian Press)

Martha Hall Findlay, another Liberal leadership hopeful who, like Trudeau, spent time in the riding during the byelection, said Monday that perceptions of Calgary's political uniformity are changing.

"I've been involved with Calgary long enough to know it's not something that's all of a sudden changed," she said.

"I think what has changed is that there is a sense that maybe there's an opportunity for a representation that actually reflects who Calgarians are."

Comfortable win in Durham

Conservative Erin O'Toole was the runaway winner in Durham, Ont., retaining the Tory seat in the riding northeast of Toronto with 50.7 per cent and all polls reporting. The seat had been held by onetime Conservative MP and cabinet minister Bev Oda before she resigned in July under a public uproar about her ministerial expenses.

O'Toole said Oda's spending controversies weren't a major concern for voters he met while campaigning.

"That came up less and less as we got our message out and as people got to know me as a candidate and realized I'm from this community," said O'Toole, whose father John is a member of the Ontario legislature.

Here's a quick look at the results in all three three contests:

Calgary Centre

What: A Tory stronghold that sits next to Prime Minister Stephen Harper's riding.

Why: Veteran Conservative MP Lee Richardson resigned to take a post as chief of staff to Alberta Premier Alison Redford.

Main candidates:

• Joan Crockatt, Conservative (36.9 per cent).
• Harvey Locke, Liberal (32.7 per cent).
• Chris Turner, Green (25.6 per cent).
• Dan Meades, NDP (3.8 per cent).

Voter turnout: 29.4 per cent.

Victoria

What: A Vancouver Island riding once held by Sir John A. Macdonald, but more recently held for more than 10 years by the Liberals until it was won by the NDP in 2006.

Why: New Democrat Denise Savoie resigned due to health issues.

Main candidates:

• Murray Rankin, NDP (37.2 per cent).
• Donald Galloway, Green (34.3 per cent).
• Dale Gann, Conservative (14.4 per cent).
• Paul Summerville, Liberal. (13.2 per cent).

Voter turnout: 43.9 per cent.

Durham

What: A riding northeast of Toronto that was held for more than a decade by the Liberals, but has been Conservative since 2004.

Why: Former Conservative cabinet minister Bev Oda resigned last summer after a series of controversies.

Main Candidates:

• Erin O'Toole, Conservative (50.7 per cent).
• Larry O'Connor, NDP (26.3 per cent).
• Grant Humes, Liberal (17.3 per cent).
• Virginia Ervin, Green (4.1 per cent).

Voter turnout: 35.8 per cent.

With files from CBC's Hannah Thibedeau and The Canadian Press

21.48 | 0 komentar | Read More

Rob Ford in football mode despite sport-related political fall

One day after a judge's ruling ordered him out of office, Toronto Mayor Rob Ford will try to enjoy a day drenched in football, a sport he loves but that played a key role in the conflict of interest case that led to his political fall.

Justice Charles T. Hackland ruled Monday that Ford's council seat be vacated in the case that began when Ford solicited donations for his football foundation using city letterhead.

On Monday evening, hours after the ruling to oust Ford made international headlines and sparked a media frenzy at Toronto City Hall, Ford was seen wrapped in a hooded sweatshirt against near-zero temperatures while running a practice of the high school team he coaches, the Don Bosco Eagles.

Tuesday's front page of the Toronto Sun continued the Ford-football theme, featuring a cartoon caricature of Ford tumbling head over heels Charlie Brown-style after a missed kick under the headline: "Good Grief." Playing the role of Lucy and snatching the football away at the last second was Hackland.

On Tuesday morning, Ford will help the city celebrate the Toronto Argonauts' Grey Cup win with a downtown parade that will end in a celebration at city hall. Ford will join the city to revel in Sunday's victory, even though he officially has only 13 days left in office, pending any possible appeals or stay applications.

Ford's team plays in Metro Bowl tonight

On Tuesday night, Ford's team plays in the Metro Bowl, the citywide high school championship, which will be played on the same Rogers Centre field where the Argos captured the CFL championship.

In recent weeks, Ford has been criticized for leaving council meetings to coach his team. Earlier this month, football landed Ford in hot water again when he called the Toronto Transit Commission boss to request that a bus pick up his team after a near brawl broke out on the field. Paying passengers were asked to leave the bus in inclement weather to make the trip. TTC boss Andy Byford was not happy about the incident.

Things won't get any easier for Ford when city council meets Tuesday. Squabbling is sure to ensue as the budget process gets underway, as will the political manoeuvring as council members try to prepare for a possible future without Ford as mayor.

But like a quarterback back whose team needs a big play to save the game, Ford the football fan has vowed to continue fighting.

Ford has said he will contest Hackland's decision using every legal option available to him. He has also vowed to run again as soon as possible, whether that's in a byelection or in the next municipal election in 2014.

21.48 | 0 komentar | Read More

Bombardier signs record $7.8B jet deal with VistaJet

Bombardier Inc. has made the biggest sale of business aircraft in its history, potentially worth up to $7.8 billion if all options are exercised, the Montreal-based company announced Tuesday.

VistaJet, a private European company that provides luxury chartered flights, has placed firm orders for 56 Bombardier Global jets valued at $3.1 billion and acquired options for a further 86 Global jets.

'We are thrilled VistaJet has again chosen to grow their fleet with the industry-leading Global family.'—Steve Ridolfi, president of Bombardier Business Aircraft

VistaJet currently operates a fleet of Bombardier aircraft based in Europe, the Middle East, Asia and West Africa.

The new purchase is part of VistaJet's goal of making business aviation more accessible to emerging markets, said VistaJet chairman Thomas Flehr, who founded the company in 2004.

"This order is the most significant milestone for VistaJet and is a testimony to our successful strategy that focuses on global coverage," Flehr said in a joint statement by the companies.

"Our customers need to fly point-to-point across the globe, and in many instances at short notice."

Steve Ridolfi, president of Bombardier Business Aircraft, said it was also a historic order for Bombardier.

"It goes without saying that we are thrilled VistaJet has again chosen to grow their fleet with the industry-leading Global family," Ridolfi said.

VistaJet has placed firm orders for 25 Global 5000s, 25 Global 6000s and six Global 8000 jets. Deliveries will begin in 2014.

21.48 | 0 komentar | Read More

'Useless' breast cancer test touted across country

Medical clinics across the country are touting the benefits of a diagnostic test for breast cancer that medical experts say is useless.

A CBC News investigation has identified dozens of clinics offering thermography for breast examinations.

Proponents of the test believe it can detect breast cancer years earlier than mammography.

Gillian Bromfield, senior manager of cancer control policy at the Canadian Cancer Society, says thermography tests fail to detect most cancers and generate false positives. (CBC)

But medical authorities worldwide say there is no proof that thermography actually works as a diagnostic tool for cancer.

They say false positives from thermography tests are gumming up the system, resulting in patients worrying about the results of tests that have no value. Alternatively, the tests may be giving others a false sense of security about their health.

"It's not effective at detecting breast cancers," said Gillian Bromfield, senior manager of cancer control policy at the Canadian Cancer Society.

"It misses the large majority of breast cancers and, on top of that, it also detects cancers when there actually are none."

Regardless, some Canadian clinics continue to make startling — and unproven — claims about the benefits of thermography.

The U.S. Food and Drug Administration has sent out warning letters to those making similar assertions south of the border, but there has been no such action in this country.

Heat-sensitive imagery

Thermography uses a heat-sensitive infrared camera to take images of the body.

Those images are then assessed elsewhere, often in the U.S. After a wait of several days, patients are informed of their test results.

The service is provided at dozens of facilities coast to coast in Canada.

Claims used to promote the service are not accepted by the mainstream medical community.

Health Scan Digital Thermography Clinic, for example, offers the test in Ontario.

The company's website makes a number of assertions about thermography:

• "Earliest method of possible breast cancer detection known."
• "Can detect a pathologic state of the breast up to 10 years before a cancerous tumour can be found by any other method."

Stamina Clinic in Lethbridge, Alta., says thermography is not a substitute for mammography, but "can be an invaluable tool for earlier detection of breast disease" — especially for women in their 20s and 30s.

Thermography is offered by dozens of clinics across the country. (CBC)

"Thermography is a vital screening tool for younger women (20-45 years) whose denser breast tissue makes it more difficult for mammography to be effective," the clinic notes on its website.

"There is a rise in breast disease in younger women and thermography offers a safe alternative without harmful effects of radiation for this age group."

Integrated Health Clinic in Fort Langley, B.C., says in promotional text that "thermography's role in breast cancer and other breast disorders is to help in early detection" and monitoring of physiology that is considered abnormal.

"It is used as part of an early detection program to give women of all ages the opportunity to increase their chances of detecting breast disease at an early stage," the company's website notes.

And thousands of kilometres away, in St. John's, Avalon Laser Health offers thermography scans at $215 a pop.

A CBC News undercover reporter went to the clinic to have the test, and was informed by the nurse of the benefits of thermography over mammography.

Avalon Laser Health later removed text on its website dealing with thermography's role in screening for breast cancer after being questioned about those claims by the CBC.

Contacted afterward, the clinic said the nurse provided the wrong information.

Test is 'actually useless'

Medical experts take issue with claims trumpeting the benefits of thermography in diagnosing breast disease.

Nancy Wadden, a St. John's doctor who chairs the mammography accreditation program of the Canadian Association of Radiologists, says women are paying big money for a test that is "actually useless."

Nancy Wadden chairs the mammography accreditation program of the Canadian Association of Radiologists. She says the "useless" thermography tests add to waiting times for women who actually need treatment. (CBC)

Wadden says that women who actually need treatment face longer wait times because of women who register false positives after thermography.

"These women have a significant number of false positives, so then they are coming and they are clogging up my ultrasound list and my mammogram list and then displacing the people who really need to have the test, who are waiting there," Wadden said.

"Their length of time to get a diagnosis is prolonged, because we've got people who have had this useless test that has given a false positive result."

Regulatory action south of the border

In the U.S., regulators have sent warning letters to those making unproven claims about thermography.

In April 2011, the Food and Drug Administration sent one of those letters to Peter Leando, president of Florida-based Meditherm Inc.

The FDA took issue with how the company was marketing its Med2000 thermography device, specifically objecting to the claim that it could "increase your chances of detecting breast cancer in its earliest stages."

The health regulator also took issue with the claim that the device was "FDA approved."

Peter Leando, president of Florida-based Meditherm Inc., says thermography provides an early warning. (CBC)

In an interview with CBC News, Leando downplayed the warning letter.

"That was in relation to some wording on a website which they weren't happy about," he said.

"And that wording was changed immediately. I think the wording was related to 'accurate,' and something else. And we just changed the words so that it wouldn't be likely to mislead anybody into thinking that it was accurate in the detection of breast cancer. We've got to make sure that nobody actually makes claims as far as a stand-alone diagnostic test."

Leando says the Meditherm system is used by roughly 100 locations in Canada, and about 4,000 worldwide.

Australia recently removed the Med2000 from the country's medical device registry. Leando, however, says the firm deregistered it voluntarily.

Leando says criticisms of thermography — such as those coming from the Canadian Cancer Society — ignore its role as a type of early warning system for "suspicious changes," and detecting abnormalities.

"So that's the whole role of thermography, in giving us the opportunity to intervene, to treat, to actually do something before there is a tumour that is dense enough to be seen with mammography or ultrasound," Leando says.

Meditherm's website continues to reference thermography's role in breast cancer and other breast disorders: "to help in early detection and monitoring of abnormal physiology and the establishment of risk factors for the development or existence of cancer."

Health Canada role

Asked about its role in the thermography debate, Health Canada says it approves medical devices and prohibits false or misleading advertising of health claims.

A federal spokeswoman says Health Canada takes action if a manufacturer makes misleading claims.

But she says it's up to the provinces to take action against clinics that are doing the same thing.

Breast cancer survivor Linda Venus believes there should be more stringent oversight of thermography. (CBC )

Meanwhile, there is no evidence that Health Canada has gone after any manufacturers producing devices related to thermography.

That's not good enough for breast cancer survivor Linda Venus, who says there should be more stringent oversight of thermography.

The Winnipeg woman calls the current situation "a vacuum in the regulatory structure of the health system that is supposed to protect us from scoundrels, basically."

Venus says the issue needs to be addressed.

"They are allowed to be there, and there is no governing body anywhere that can prevent them from being there," she said.

"And providing women with false information — and in some cases, false hope."

21.48 | 0 komentar | Read More