Harb did nothing wrong by borrowing from Ottawa businessman, lawyer insists

OTTAWA – Sen. Mac Harb is insisting he did nothing wrong when he borrowed money from an Ottawa businessman who deals with the federal government.

Harb is responding to a Canadian Press report about a loan provided by a company owned by Brian Karam, a businessman and lawyer who has for years done business with the government.

The Criminal Code says government officials cannot accept an “advantage or benefit” of money from someone who deals with the federal government without first getting written permission from the branch in which they work.

Paul Champ, Harb’s attorney, calls that interpretation of the law “twisted,” arguing the senator is not a government employee and holds no sway with the Harper government.

Champ says Harb is mortgaging his properties to fight the Senate’s bid to deny his expense claims, adding the loans were “completely transparent” and on “reasonable commercial terms.”

Public records show Harb has borrowed $230,000 since May from Karam’s numbered company by mortgaging four of his properties in and outside Ottawa.