A small building is flanked on the right by a completed condominium and on the left by one being built in the King St. West and John St. area, on July 12 2017.Fred Lum/The Globe and Mail
TOP STORIES
Bombardier unit hid shell company from World Bank, court told
Bombardier Transportation won a lucrative tender to install train signalling systems in Azerbaijan by keeping a separate set of books that concealed the presence of a Russian-controlled shell company from the World Bank, and ignored a whistle-blower who raised alarms, a Swedish court heard on Thursday. The shell company, known as Multiserv Overseas, appears as a subcontractor on Bombardier's internal bid books for the 2013 contract, which were approved by senior Bombardier Transportation executives based in Sweden, Belgium and Britain. But Multiserv Overseas, which appears to have made an $84-million (U.S.) profit in the deal, is not listed in the submission to the World Bank and the government of Azerbaijan from the Bombardier-led consortium that won the $340-million contract. (for subscribers)
UN solitary-confinement rules aren't binding in Canadian prisons, Attorney-General lawyer says
Solitary-confinement rules adopted by the United Nations are not binding on Canadian prisons, a federal government lawyer argued on Thursday as a two-month trial over the segregation of prisoners winds to a close. The Mandela Rules prohibit prolonged solitary confinement of more than 15 consecutive days. A lawyer for the Attorney-General of Canada argued the Mandela Rules provide context, but the court is not required to adopt them. A lawyer for the plaintiffs disagreed, and said the Mandela Rules are a principle of justice.
Draft tax changes put families, partners of deceased business owners in legal limbo: experts
Some children and business partners of recently deceased business owners are in legal limbo owing to a proposed package of federal tax reforms. Federal officials insist the changes are drafts for public consultation and discussion. "Tax professionals have always proceeded under the assumption that draft legislation will be passed into law with the same effective date as initially announced," said Marion Howard, a tax lawyer. "To simply assume it won't pass, or that the effective date will be changed, is not an option."
Canada's fast GDP growth raises spectre of more interest-rate hikes
Canada's economy reported its best performance in almost six years in the second quarter, raising the odds of a key interest-rate hike as soon as next week. Statistics Canada said that the economy grew at an annual rate of 4.5 per cent this spring. "Another interest-rate hike this fall is almost certainly a done deal," said Toronto-Dominion Bank economist Brian DePratto. (for subscribers)
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MORNING MARKETS
Gains for Europe and Asia pushed world shares back towards record highs on Friday, while the dollar crept up ahead of the monthly excitement of U.S. payrolls data. Tokyo's Nikkei and the Shanghai composite each gained 0.2 per cent, though Hong Kong's Hang Seng dipped about 0.1 per cent. In Europe, London's FTSE 100, Germany's DAX and the Paris CAC 40 were up by between 0.2 and 0.7 per cent by about 5:10 a.m. ET. New York futures were also up, and the Canadian dollar was trading at just over 80 cents (U.S.). Oil fell, partly reversing sharp gains from the previous session, amid turmoil in the oil industry with nearly a quarter of U.S. refining offline.
WHAT EVERYONE'S TALKING ABOUT
U.S. Congress is NAFTA's best friend
"It is unclear whether Congress actually has the right to prevent the President from abandoning the trade agreement. But the possibility is another thing Mr. Trump has to worry about if he pulls the trigger. As has been evident, he is not one who is necessarily persuaded by rational argument. But if he senses his political livelihood is at stake, he will be more likely to forge alliances necessary to save him. That could well be what saves the continental trade accord." – Lawrence Martin
Under Andrew Scheer, Conservatives are still figuring out who they are
"Overall, though, Mr. Scheer's direction is still mysterious. The self-defeating divisiveness of the party's past could well be lying dormant, and could easily revive itself in the crucible of the election campaign in two years. If that happens, it will be disastrous for Conservatives and for Canada. Mr. Scheer needs to choose another route. He also has to remember the ironclad rule in politics that, if a leader doesn't define his party and himself, someone else will do it for him." – Globe and Mail editorial board
Unless they can win over ordinary citizens, Ottawa's proposed tax changes will sting
"It's the classic case of the angry few outweighing the ambivalent many. Tax changes proposed by Finance Minister Bill Morneau have riled up small-business owners who think they'll lose money. And Mr. Morneau's problem is that even if there are 20 times as many people who would judge it to be fair, they'll probably never give it a second thought, let alone cast their vote to support it." – Campbell Clark (for subscribers)
HEALTH PRIMER
Don't let bad posture be a pain in the neck
"Typically, most people are not concerned with training their neck – until pain has forced them to consult a physiotherapist. Ignoring the position and muscles of the neck is shortsighted. Become aware of your head position before physio is required; 'prehab' so you don't have to rehab. Improving neck alignment is analogous to building the foundation of your 'house.' The stronger the foundation, the fewer the future renovations." – Kathleen Trotter
MOMENT IN TIME
Terry Fox ends his run
September 1, 1980: The pain, he could take. Losing most of his right leg to cancer was a challenge, but one he knew he could overcome. But seeing the children suffering with cancer knowing he was in the lucky one-third who survived, that Terry Fox could not let go. His goal was to raise $1 for cancer research for every Canadian. His Marathon of Hope began in St. John's, Nfld., and over the next 143 days, he ran 5,373 kilometres. But partway into his run on this day, just outside of Thunder Bay, Ont., the 22-year-old was forced to stop. The cancer had spread to his lungs. He would live to see his fundraising goal achieved but died nine months after his last run. Today, runs are held in his honour every September with participants from around the world, and his foundation has raised more than $715-million for cancer research. – Iain Boekhoff
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