Police HQ project director tells inquiry he didn’t take part in conspiracy, witnessed no fraud or bribes | CBC News


Police HQ project director tells inquiry he didn’t take part in conspiracy, witnessed no fraud or bribes | CBC News

Listen to this article

Estimated 3 minutes

The audio version of this article is generated by AI-based technology. Mispronunciations can occur. We are working with our partners to continually review and improve the results.

A Winnipeg construction expert hired by the city to protect its interests in the construction of the downtown police headquarters told the public inquiry into the project he did not take part in a conspiracy to defraud the city.

Ossama AbouZeid, whose Dunmore Corporation was paid $263,000 to function as the project director of the Winnipeg police headquarters construction from 2011 to 2013, testified Wednesday he was not aware of any fraud, bribes or money changing hands between officials during his time with the project.

In information presented to a judge in order to obtain financial records in 2016, the RCMP alleged Armik Babakhanians of police headquarters contractor Caspian Construction, Peter Chang of consulting firm Adjeleian Allen Rubeli and Pat Dubuc of GRC Architects conspired to offer AbouZeid a $600,000 secret commission “for the hiring of key project personnel.”

There is no evidence such a commission was ever paid, and the RCMP did not lay any charges following a five-year investigation of the police headquarters project.

The City of Winnipeg later launched a civil lawsuit against Babakhanians, Chang, Dubuc and other defendants, alleging they conspired to inflate and overcharge the city for work on the $214-million police headquarters  project.

As part of that lawsuit, the City of Winnipeg alleged in court documents AbouZeid accepted a $105,000 “kickback” from Babakhanians. The city withdrew that claim after AbouZeid demonstrated he was compensated for a land deal in Winnipeg that dated back to 2005.

Babakhanians, Chang, Dubuc and other defendants ultimately settled the city lawsuit for a maximum of $28 million.

Under cross-examination on Wednesday from Scott Pollock, a lawyer for Adjeleian Allen Rubeli, AbouZeid testified he scrutinized project invoices from the consulting firm.

AbouZeid told his own lawyer, Jamie Kagan, there were three layers of review for invoices filed by Caspian and its subcontractors.

AbouZeid told City of Winnipeg lawyer Gabrielle Lisi he did not take part in a conspiracy and told Kagan he did not witness anything untoward at a meeting at the home of Sam Katz, who was Winnipeg’s mayor from 2004 to 2014.

“Was there any discussion about money changing hands, bribes, anything like that?” Kagan asked AbouZeid.

No, AbouZeid responded.

AbouZeid said he was disappointed to be blamed by some city councillors for cost overruns on the project in 2013.

Kagan asked AbouZeid if he would ever work for the city again.

“Never, never” he said.

The inquiry at the downtown Winnipeg offices of the Public Utilities Board, which began earlier this month, is scheduled to hear from more than 30 witnesses and continue until June.

Myron Paryniuk of consulting firm AECOM, which conducted initial design work on the police headquarters project, is testifying Tuesday afternoon.