Scandal of Bay of Heats

The scandal of the Bay of Heats , which burst in 1891, shook the liberal government of the Quebec of the time and ruined the career of the Prime Minister Honore Mercier.

First steps

In 1882, the Railroad company of Bay of Heats, chaired by the senator and old Lieutenant-governor Theodore Robitaille and whose contractor names Charles Newhouse Armstrong, obtains the contract of construction of the railroad having to connect Matapédia to Gaspé. Work begins only in 1886 and, four years later, there is only the third of work in fact; moreover, the workmen and the suppliers have all miseries of the world to be made pay.

In spring 1891, the government Mercier decides to cancel the contract signed with the Railroad company of Bay of Heats and offers a subsidy of: 280000 CAD with any contractor who will offer to finish the railroad within reasonable delays. The Company accepts the cancellation of the contract but claims due: 175000 CAD .

Ernest Pacaud, treasurer of the Liberal party and director of the newspaper the Voter , is used as intermediary between the government and Armstrong, which negotiates for the Company. At the summer 1891, Mercier is in France and Pierre Garneau, Minister for Labor public, replaces it like Prime Minister. Pacaud requires of him to sign the letters of credit of: 175000 CAD . After some hesitations, Garneau ends up signing them.

The Cooper-Thom Company obtains finally the new agreement of construction of the railroad.

The scandal

The federal Committee of the railroads finds the transaction has a cast and decides to inquire into the subject. The August 12th 1891, Armstrong is quoted to appear. This one acknowledges that it kept only $75,000 of the $175,000 poured by the government. It gave again the $100,000 remainder with Ernest Pacaud. The Committee tries to find trace of what Pacaud in did and discovers that $5000 was versed to pay part of the voyage of Draper in France. What it did of the remainder of the amount seems nebulous.

Pacaud, in its turn, is quoted to appear, but it leaves at once for France without being made hear.

The scandal is made public. The preserving newspapers, like the Press , require accounts of the government. The September 7th, the lieutenant-governor Auguste-Réal Angers proposes the creation of a royal Commission of enquiry that Mercier accepts at once. Chaired by the judge Louis-Amable Jetté, it begins its audiences the October 6th. Pacaud testifies the October 20th. It decides to take on him the whole responsability for the business and declares under oath that Mercier forever nothing sû transaction. When one asks him what it did of the $100,000, it answers that this amount was used to pay electoral expenditure and to settle the personal debts of certain ministers of which those of the provincial secretary Charles Langelier.

A few days later, Mercier testifies in his turn before the Commission and affirms under oath not to have anything sû transaction before it is rendû public by the Committee of the railroads.

The December 16th, the Angers lieutenant-governor decides not to believe Mercier and makes the decision rather discussed to revoke the Gouvernement Draper. This one answers him by this letter: You said that you withdraw me your confidence. You made illusion because, you know it well, it always refused you to me, this confidence. You left the active fights of the policy to go up on the bench where you always remained in favor. You left the legal bench for Spencer Wood (remains of the lieutenant-governor) and, there still, you held all the time that I was your avisor the control of a political partisan .

Continuations of the scandal

Charles-Eugene Boucher of Boucherville becomes Prime Minister but, as it is minority with the legislative Assemblée, it starts elections which it gains the March 9th.

The April 20th 1892, Draper and Pacaud are quoted with lawsuit by the new new public prosecutor Thomas Drives out-Casgrain. The lawsuit takes place finally with the autumn of the same year. The November 4th, the two men are declared not culprits after only 17 minutes of deliberation of sworn. In spite of that, the preserving government and newspapers will continue to be baited on the former Prime Minister while wanting to let plane a doubt about its innocence. When he dies, the October 30th 1894, carried by the diabetes, he is however greeted like a large Prime Minister.

As for Ernest Pacaud, it keeps its position of director of the Voter who becomes the Sun in 1896. He dies the April 19th 1904.

Sources

Robert Rumilly, History of the province of Quebec .
Jacques Lacoursière. popular History of Quebec , volume 3. North. 1896.

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