The Royal Canadian Mounted Police has launched a criminal investigation into the possible leak of information relating to the taxation of dividends and income trusts.
The RCMP announced the investigation on Wednesday of last week.
NDP finance critic Judy Wasylycia-Leis has called on Finance Minister Ralph Goodale to step down from his cabinet position while the investigation is underway.
Goodale, and Prime Minister Paul Martin have rejected demands for Goodale’s resignation.
The RCMP issued a news release that emphasized that the force had no suspects. “The RCMP wishes to note that at this time there is no evidence of wrongdoing or illegal activity on the part of anyone associated to this investigation including the Minister of Finance Ralph Goodale,” the release said.
On Nov. 23, 2006 Goodale announced just before 18:00 ET that the government would cut the tax on corporate dividends and would make no changes to the tax on income trusts.
There have been allegations since that time that information about the changes leaked out early, allowing some in the know to profit from the information.
Trading in many trusts and dividend-paying stocks became much heavier than usual in the hour or two before the market closed on Nov. 23 and share prices rose sharply.