Former Liberal MP Raj Grewal faces breach of trust, fraud charges

Former Liberal MP Raj Grewalfaces a handful of criminal charges after he allegedly failed toreport receiving millions in personal loans to the ethics commissioner"in circumstances that constitute a criminal breach of trust," says the RCMP.

"It is further alleged that Mr. Grewal solicited loans for his own personal benefit in connection with the use of his public office, and that he administered his government-funded constituency office budget for his own personal benefit, under circumstances which constituted a criminal fraud or breach of trust," saysa media release from the RCMP's national division.

Grewalfaces fourcounts of breach of trust and one count of fraud over$5,000under theCriminal Code charges his lawyer says he denies.

"Mr.Grewaladamantly denies these allegations as he has done steadfastly since 2018.He looks forward to having his day in court and clearing his name," saidNader Hasan in an email.

The RCMP says itsinvestigation started back in September2017, after it received proactive disclosures from theFinancial Transactions and Reports Analysis Centre of Canada, known asFINTRAC, about "suspicious transactions" involvingGrewal.

According to a recent filing from theLaw Society of Ontario, thelawyer-turned politician allegedly defrauded six people who were not his clients out of $1 million, and one companyhe was representingout of$200,000,between 2016 and 2017.

The law society is looking into whether Grewal engaged in professional misconduct. According to an Aug. 10 filing on that matter, he is accused of"using false pretenses to obtain or borrow money from them ... and thereby engaged in conduct unbecoming."

The former Brampton East MP left the Liberal caucus in 2018, weeks after the Prime Minister's Office said hewasreceiving treatment from a health professional "related to a gambling problem that led him to incur significant personal debts." He then sat as an Independent and didn't run duringthe2019 election.

His resignation came after the Globe and Mail reportedthat Grewal hadaccumulated more than$1 millionin debt.

Grewal addressed gambling problem in 2018

Grewaladdressed the allegations inan 11-minute Facebook video in December 2018. In it,hesaidhe got into the habit of frequenting the Hilton hotel in Gatineau, Que., which houses the Lac-Leamy Casino.

What started as recreational blackjack spiraled into a "significant problem,"he said.Grewal said he accumulated gambling debts in high-stakes games over three years debts he hid from his friends and family.

In the video, Grewalsaidhe routinely borrowed from his loved ones and no money was obtained illegally.

He is expected to appear in court Oct. 6.

The Opposition Conservative said Grewal's charges are part ofatrendfor the Liberals.

"The Trudeau Liberals keep running into problems with the law," said Michael Barrett,the party's ethics critic."It's a sustained pattern of law-breaking."

The NDP's critic made the same point.

"For the Liberals, these latestcharges fit with a pattern Mr. Trudeau has created in his government, from [former finance minister Bill]Morneau to the WE scandal and going back to the prime minister's SNC scandal and illegal luxury Island vacation," said Charlie Angus.

"Today's charges should remind Trudeau that even though he does not like these rules, that doesn't put him or other Liberals above the law."