Item - 2024.EA12.4

The Compliance Audit Committee: 
  
Has decided not to commence legal proceedings against David Singer (the “Contributor”). 
 
1. The Compliance Audit Committee (the “Committee”) met on October 7, 2024, to hear Item EA12.4 – David Singer - A contributor in the 2023 By-Election for Mayor who appears to have Contravened Contribution Limits under Section 88.9 of the Municipal Elections Act, 1996. 
  
2. Section 88.34(2) of the Municipal Elections Act, 1996 requires the City Clerk to prepare a report identifying each contributor to a candidate for office on a council who appears to have contravened any of the contribution limits under Section 88.9. 
  
3. Section 88.9(4) of the Municipal Elections Act, 1996 states that the maximum total contribution that a contributor may make to multiple candidates for office on the same council or local board is $5,000. 
 
4. The report dated September 10, 2024, from the City Clerk identified David Singer as a Contributor that appeared to have exceeded the $5,000 contribution limit to the election campaigns of Brad Bradford, Josh Matlow, and Olivia Chow (the “Candidates”). The report (September 10, 2024) from the City Clerk identified David Singer to have contributed $5,850. 
  
5. The auditor, BDO Canada LLP, explained their report, attached as Attachment 1 to the report from the City Clerk, dated September 10, 2024, setting out the audit process and the findings with respect to David Singer. 
  
6. The Contributor, David Singer, appeared via the web portal, and an agent, Rodney Gill, provided a written submission. Another agent, from the same law firm, Matthew Stackhouse (the “Agent”), appeared for the Contributor and provided an oral submission to the Committee. The written submission and Agent explained that the alleged overage that caused the contravention of the contribution limit was due to human error. The Agent represented both, David Singer and his spouse, Jennifer Shnaider. The apparent overcontribution was a result of an administrative error, as $2,500 was contributed from a joint bank account of the Contributor and his spouse. The Agent provided a copy of a cheque dated September 26, 2023, showing the contribution made from the joint account, reflected on the Candidate’s financial information on October 17, 2023. 
  
7. For the reasons stated below, the Compliance Audit Committee has decided not to commence a legal proceeding against contributor David Singer for the contravention of Section 88.9 of the Municipal Elections Act, 1996. 
  
8. There was no contravention of the contribution limit because the Contributor did not make multiple contributions totalling $5,850, which would have exceeded the applicable limit of $5,000. Rather, there appears to have been a misattribution of contributions between the Contributor and his spouse.  
  
9. The Committee is entitled to consider all of the circumstances to determine whether legal proceedings should be commenced. This has been recognized by the courts in Lancaster v. Compliance Audit Committee et al., 2012 ONSC 5629.     
  
10. The Committee has decided not to commence a proceeding against the Contributor. 

Peter Hearn, BDO Canada LLP gave a presentation on David Singer - A Contributor in the 2023 By-Election for Mayor Who Appears to Have Contravened Contribution Limits under Section 88.9 of the Municipal Elections Act, 1996.

The Compliance Audit Committee recessed its public session to meet in closed session to deliberate in private on Item EA12.4 - David Singer - A Contributor in the 2023 By-Election for Mayor Who Appears to Have Contravened Contribution Limits under Section 88.9 of the Municipal Elections Act, 1996 and to receive advice that is subject to solicitor-client privilege.

The Municipal Elections Act, 1996 requires the City Clerk to review all contributions reported in financial statements submitted by candidates and registered third party advertisers in the 2023 by-election for mayor and to prepare a separate report for each contributor who appears to have exceeded any of the contribution limits.

The City Clerk retained an external auditor, BDO Canada LLP, through a competitive procurement process to review all candidates and registered third party advertisers' financial statements and to report on each apparent over-contribution.

This report transmits a report from the external auditor to the Compliance Audit Committee for consideration. The external auditor completed its review of initial and supplementary financial statements filed for the 2023 by-election for mayor and identified David Singer as a contributor who appears to have exceeded the contribution limits in the Municipal Elections Act, 1996.

Within 30 days of receiving this report, the Compliance Audit Committee is required to decide whether to: (1) commence legal proceedings against the contributor for an apparent contravention; or (2) not to commence legal proceedings against the contributor. The Committee must also provide brief written reasons for its decision.