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Code of conduct breach won't lead to discipline for St. John's councillor

An independent investigation has found that St. John's city councillor Ron Ellsworth breached the city's code of conduct by profiting after the city bought land from one of his clients, but the city says it won't lead to discipline.

Ron Ellsworth voted on the 2024 city budget, which included a real estate purchase from his client

A man wearing a blue dress shirt stands in behind three microphones.
An independent report found St. John's Coun. Ron Ellsworth breached the city's code of conduct when he voted on the 2024 city budget, which included the purchase of a property he profited from. (Mark Quinn/CBC)

An independent investigation has found that St. John's city councillor Ron Ellsworth breached the city's code of conduct by profiting off land the city bought from one of his real estate clients — but the city says it won't lead to discipline.

In June 2024, the city bought a 13.8-acre vacant parcel of land at 72 Goldstone St. to help improve road safety in the area. Ellsworth was the realtor of the property, and received commission when the property was purchased.

Accusations of a conflict of interest from multiple external actors — including from former Premier Danny Williams — prompted an investigation, which was completed by St. John's lawyer Donna Ballard.

On Thursday, the city shared findings of the report that said Ellsworth breached the code of conduct by speaking and voting on the city's 2024 budget in December 2023 — which included money for the Goldstone Street purchase.

However, the city didn't accept that finding.

"I don't agree with that, [that] I have to assume what [council's] future decisions would be," Ellsworth told reporters Thursday.

St. John's Mayor Danny Breen said Ellsworth won't face punishment for the conflict, and all councillors and staff will instead go through training to better understand the nature of conflict of interest legislation — which was broadened in 2023.

He defended Ellsworth's actions when speaking to reporters, saying that the finding was "too remote in its impact."

WATCH | Mayor Breen says the city isn't accepting all of the report's findings:

"He never attended any meetings, never had any discussions," Breen said. "I watched it. And as chair of the meeting, I saw that he acted accordingly and properly."

The report also had three other major findings, all of which the city accepted.

Ballard's report found there was no evidence that Ellsworth made efforts to influence any of the decision-making process when it came to purchasing the property. Breen called that finding the most important of the four.

A man speaks at a podium behind three microphones.
St. John's Mayor Danny Breen defended Ellsworth Thursday, saying he won't face discipline. (Mark Quinn/CBC)

The report also noted an inadvertent breach of the code of conduct. Ellsworth did excuse himself from some meetings in which the matter was discussed, the report said, but didn't disclose that he was excusing himself from the meetings because of a conflict of interest.

Additionally, council also failed to ensure the general nature of the conflict was reflected in the minutes of all meetings. Breen said that partially falls on him, and said council knows there are administrative areas where it needs to improve.

Ellsworth commended the investigation when speaking with reporters, saying it's important to make sure internal practices are reviewed.

Danny Williams wasn't available for an interview when contacted by CBC News. But in an emailed statement, he welcomed Ballard's findings as a concerned taxpayer — but said he found the fact that the city didn't accept Ballard's fourth recommendation unsurprising.

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With files from Mark Quinn