Canada’s consul general in New York City will be brought before a Parliamentary committee to answer for the government’s decision to buy a $9 million condo in Manhattan’s famous “Billionaires’ Row.”
Tom Clark, a former journalist appointed to represent Canada in New York, and Foreign Affairs Minister Melanie Joly have been summoned to testify before the Standing Committee on Government Operations and Estimates.
They, along with other department officials, will be asked to explain the rationale behind the purchase of a new condo south of Central Park at taxpayers’ expense.
Representatives from the Treasury Board and government procurement department, as well as a panel of New York City real estate agents, will also attend the committee.
Global Affairs Canada confirmed the condo purchase, located in the Steinway Tower at 111 West 57th St. in Manhattan, in a recent press release.
According to the department, the condo was purchased for “networking receptions, official briefings, and hospitality events such as discussions with business and political leaders.”
Liberal MP Ron McKinnon defended the purchase, arguing that it’s an asset which can be liquidated and therefore is not an expense.
“It is owned by the Government of Canada. It can be sold at some point and presumably the value recaptured,” said McKinnon.
The committee is seeking that the government have the property assessed by a third-party and provide a list of “all properties, including addresses and listing prices, that have been viewed or considered for purchase for the Consulate General’s official residence in New York.”
Global Affairs Canada spokesperson Sabrina Williams said earlier this month that the department decided to proceed with purchasing a new, smaller and more economical apartment instead of paying the costs of renovating its current residence.
Williams claimed that the move will actually save Canadian taxpayers over $2 million.
According to the department, the previous residence was purchased in 1961 and has not been refurbished since 1982.
“It’s good that MPs are forcing bureaucrats to explain themselves because sticking taxpayers with a $9 million bill for a condo located in Manhattan’s ‘Billionaire’s Row’ is ridiculous,” federal director of the Canadian Taxpayers Federation Franco Terrazzano told True North.
Real estate website StreetEasy had the condo listed on its website, which described the property as being a 3,600-square foot residence with three bedrooms and four bathrooms.
The new condo has “an elegant entry foyer offers white macauba stone floors, and the stunning powder room is finished in jewel onyx” reads the listing description. “The separate kitchen features a wet bar and is finished with Cristallo Gold quartzite countertops and backsplash, custom hand-crafted cabinetry, and a full suite of Gaggenau appliances.”
Global Affairs Canada did not respond to True North’s request for comment.
“Time and time again, this government forces taxpayers to pay for its extravagance. When will the government realize that it’s broke and struggling taxpayers are tapped out?” said Terrazzano.