Calgary

Investigation into alleged Russian bribe plot aimed at Nenshi results in no charges: Crown

No charges will be laid following an investigation into an alleged plot to set up and record former mayor Naheed Nenshi accepting Russian money as a bribe, the Alberta Crown Prosecution Service confirmed to CBC News. 

2 councillors signed letter to diplomats in purported scheme against then-mayor

Former mayor Naheed Nenshi speaking at a podium.
Former Calgary mayor Naheed Nenshi was the target of an alleged plot to set him up and record him accepting Russian money as a bribe. Police investigated over the past year and the Crown now says no charges will be laid. (Adrian Wyld/The Canadian Press)

No charges will be laid following an investigation into an alleged failed plot to set up and record former mayor Naheed Nenshi accepting Russian money as a bribe, the Alberta Crown Prosecution Service (ACPS) confirmed to CBC News. 

"The ACPS reviewed the available evidence and determined that it did not meet the prosecution standard," said a spokesperson for the service in a brief emailed statement. 

In the fall of 2022, the news site Canadaland reported that several people were involved in an alleged attempt to remove Nenshi from office by videotaping him taking illegal Russian money.

Canadaland reported that "Operation Peacock'' was an attempt by a political fixer, backed by business owners and arranged by political strategists.

According to Canadaland, political operative David Wallace said he was hired by developers and conservatives in 2019 to set up a scenario that would get politicians into compromising positions and then record them accepting favours.

Nenshi took no money.

Letter posted to social media

In October 2022, Wallace posted a letter from October 2019, on which he was cc'd, to social media.

The letter, addressed to Russian diplomats and signed by Ward 4 Coun. Sean Chu and then-councillor Joe Magliocca, invited the diplomats to Calgary "to discuss potential investment opportunities and bilateral trade."

In response to the post, Chu said he sent the letter after he was approached by someone about investing in Calgary.

According to Chu's statement, he was "very concerned" the letter was part of a scheme to trap Nenshi and said he was "relieved it failed."

Chu joined Nenshi in calling for investigations by the Calgary Police Service and RCMP.

While a criminal prosecution won't take place, a $1-million lawsuit remains active.

Edith and Shane Wenzel — the mother-and-son owners of Shane Homes — launched a lawsuit against Canadaland and Wallace in the weeks after the investigation was published.

Canadaland's stories suggested the Wenzels helped fund the plot through Prem Singh, who is described as a political fundraiser.

The Wenzels have not denied providing money to Singh but say they were unaware of how those funds would be used. 

Nenshi was first elected in 2010 and won two more times before not seeking re-election in 2021. 

Last year, Nenshi said he was "shocked" the two councillors wrote a letter to the Russian government.

He said he had no recollection of Chu or Magliocca ever being involved in economic development or international protocol visits.

CBC News requested a comment from Nenshi on this week's development but did not hear back prior to publication.

ABOUT THE AUTHOR

Meghan Grant

CBC Calgary crime reporter

Meghan Grant is a justice affairs reporter. She has been covering courts, crime and stories of police accountability in southern Alberta for more than a decade. Send Meghan a story tip at [email protected].