
Mayor Peter Kelly is a liar. Which isn’t necessarily a dealbreaker. In his profession, being flexible with the truth is akin to a basketball player being tall or an undertaker being creepy. What matters in our politicians is whether they’re lying for us or to us. Kelly has long been an expert at keeping the majority on his side, but the report into the concert-funding scandal reveals the mayor standing practically alone. On behalf of a tiny group of men, including himself, Kelly lied, over and over again, to everyone else in Halifax. The facts in the report are clear: Kelly knew he was doing the wrong thing. His role in the funding scheme is incontrovertible. He should resign.
I’m not the first person to call for his resignation, or the last. Roy Salmon, a former auditor general for the province, felt compelled to add his voice to the chorus after reading the report from city auditor general Larry Monroe. The “Peter Kelly—Resign Now!” Facebook group is growing steadily, and is hosting a Step Down Kelly Rally this Tuesday, June 28, at 5:30 in Victoria Park.
The rally’s size will be an indicator of how many regular citizens have read the report. Following the report’s June 7 release, Kelly has dismissed criticism, saying voters can decide his fate in next year’s election, and his supporters on council have voted down efforts from other councillors to reprimand Kelly. But the more the facts sink in, the less support he’s going to have.
We now know fishy stuff was happening with concerts on the Common as far back as October 2007. Before that, the city was simply involved as the owner of the Common venue. A constituent emailed Kelly after the 2006 Rolling Stones show to say the city shouldn’t have to pay “a cent” for concerts—the risk should lie with the promoter—and Kelly wrote back allaying concerns: “HRM is not actually going into the promotions business.” But the auditor general found October 2007 documents in which the city had committed money and was indeed in the business of making concerts happen. And in this case, “the city” is mayor Kelly and chief administrative officer Wayne Anstey. They were backing promoter Harold MacKay. Soon this trio was joined by Trade Centre Limited’s Scott Ferguson.
These four built a Ponzi scheme. Working together—having meetings, emailing, sending contracts back and forth—they started covering one concert’s losses with ticket sales from the next concert. Violating all sorts of business standards and city regulations, Kelly and Anstey funnelled money to MacKay through the Ferguson-controlled Metro Centre and Ticket Atlantic. Out of sight of the city’s finance people and city council.

As losses mounted, they desperately tried digging themselves out of the hole. To keep the concerts coming, MacKay was given money, supposedly from advance ticket buys, before tickets even went on sale. Kelly dressed in KISS makeup to get people interested in that concert. All they needed to catch up was one big show. But after only 26,564 people paid to see Paul McCartney, how could they think Kid Rock would be a 40,000-ticket jackpot?
After the scheme collapsed, in March 2011, the city was left holding a bill for $359,550. Not big money compared to some of the risks they’d taken over the years—on July 19, 2009 they had $7.7 million of taxpayers’ money on the line—but too much to sweep under the rug. That’s when the scandal became public. Anstey had the good graces to resign. Kelly immediately claimed ignorance, blaming city lawyers for not doing due diligence in concert-related contracts they asked him to sign. He was lying. He signed most of the contracts before city lawyers ever saw them.
When the auditor general’s report came out, Kelly did an interview with Stephanie Domet, host of CBC Radio’s Mainstreet. The interview is on the Mainstreet site, and it makes for great listening if only because it includes what must be the clearest answer Kelly has given on any subject, anywhere. Domet asks: “Did you do anything directly or indirectly to authorize or facilitate those cash payments to concert promoters?” Kelly answers: “No.” What a liar.
This article appears in Jun 23-29, 2011.


Yawn. I believe I’ve read this same article multiple times already. We all get the point. I don’t think many would disagree but there is nothing new here. Is there not something else happening in HRM that could be written about?
The council voted to move on, it’s time you did too. Your rants are bordering on bigotry imo.
He’s got to go, now. It says a lot about residents and councillors when they are willing to allow a politician to continue to do a job he’s not suited for because it’s too much bother. If we allow him to stay, then it will happen again. Kelly wants this to go away because he does not have anything else to go to. That’s not our issue, that’s his and he has to face the consequences of what he did. I’m tired of all the lazy councillors who appear to live in fear of this mayor because the mayor controls what happens in their areas. It’s an abuse of power and anyone with a sense of decency and love for this city would leave quietly and quickly.
Yawn? I’m perplexed why we should “yawn” and say we are done with this matter. Kelly bleats on that “I have a job to do” and that it’s time to move on. Why does he get to decide? Why does he get to stay and give a black eye (peas) to this city? I believe the word you are looking for is “gone”.
I couldn’t agree more, Commons1. Enough already! Good heavens!
Peter Kelly should stay on as Mayor. Now that he’s disgraced himself, he can no longer be useful to slick developers and other purveyors and procurers of progress (P-3). Any scheme he favours will be subject to the justified skepticism of the general public. The new convention centre — pet project of Mayor Kelly and Trade Centre boss Scott Ferguson — makes the concert loans look like a bargain.
Peter Kelly should stay on as Mayor. Now that he’s disgraced himself, he can no longer be useful to slick developers and other purveyors and procurers of “progress” (P-3). Any scheme he favours will be subject to the justified skepticism of the general public. The new convention centre — pet project of Mayor Kelly and Trade Centre boss Scott Ferguson — makes the concert loans look like a bargain.
Why do people accept that Peter should stay. It makes us all look bad and backwards when we allow those who violate the public’s trust. Not asking for him to step down should also be seen as a violation of our own personal ethics. Remember, he got into this mess because he was trying to do someone else job. He has consistently shown that he is about maintaining power and perception than following procedures and policies.
I end with this:
Peter, Peter concert promoter,
Had a job position to which he didn’t adhere;
He violated the trust and it started to smell
And there he should stand to hear the public say farewell.
“Kelly has to go” Giving it a rest in the media or a publication like The Coast doesn’t mean you’re forgetting about it. When the time comes, voters will speak loud and clear. The police didn’t find any merit, the councillors voted to move on and sadly the people that are bitching the most about the Kelly are the ones that complain about everything. Like an old dog with a shoe. There are much bigger issues in the city, I wish the naysayers would inject some passion into those matters. Concert-gate? Give me a break.
Commons1, I hear what you’re saying, but if we can’t get the simple things right with our city, then we’re never, ever going to get the bigger things right for our city. It’s not just the Coast, see this for other coverage: http://thechronicleherald.ca/Front/1248945….
Peter Kelly doesn’t really have a job to do, so allowing him to spin a tale of him having to get back to work is a slight-of-hand trick. If this was a boss in your business, if this was a director in your organization, would you stand for him / her getting involved with something he / she had no right to do and then say I’m not responsible. If you do, then sadly, but respectfully, I say your business, your organization needs some ethical work. If you don’t, then you’ll understand why it’s important to have this mayor step down. It’s not that it just looks bad, it is bad for the city from an investment, progressive, and ethical point of view.
If we allow this to happen, it will continue to happen and our city will never succeed.
“The rally’s size will be an indicator of how many regular citizens have read the report.”
So if I disagree with you, I must not have read the report.
Fuck you.
I’ve read EVERY document and probably spoken to more of the people involved than you have.
I would counter that the vast majority of morons that show up at this “rallY” know no more than the headlines they’ve scanned, and the yapping of Kelly’s political foes.
D
@Kelly has to go
“I’m tired of all the lazy councillors who appear to live in fear of this mayor because the mayor controls what happens in their areas. It’s an abuse of power and anyone with a sense of decency and love for this city would leave quietly and quickly”
Do you even understand the way HRM’s government works?
“Live in fear” “the mayor controls what happens in their areas”
Kelly can be accused of a lot of things, but ruling with an iron-fist?
KHTG, say hi to SUe for me.
Gee, why did Fisher and Smith vote for this?
Let me think,let me think….
Oh that’s right!
Each of them owes their seat to Mike Savage!
What a surprise that they are laying the foundation for the cornation of Mayor Mike “I lost my seat, but I’ll take the mayor’s job” Savage.
Do you really think that they voted the way they did of a sense of justice?
Wow, you did?
Grow up.
This isn’t just about Kelly. Future public officials need to see that the public wont stand for the “old boys club” style of governing. Whether Kelly felt he was doing the right thing or not isn’t the point. It’s the fact that someone with 25 years of experience made such a disgraceful decision to misuse public funds. To say it is old news and we should all move on is sending the wrong message to elected officials. We could have moved on from this if council was willing to protect the interests of the people. They would rather protect the interests of the “old boys club”…
I couldn’t be more disappointed in HRM Council. They make our whole Province look bad. I applaud the media for keeping this story going. Nothing is going to get better until Kelly goes, and keeping pressure on is the way to do it.
I agree with most of the comments about the “other” problems facing HRM, however it is clear to me that Kelly has no capacity to lead the council in a direction that will result in any solutions. He is a small minded conservative politician with the attitude that most people in HRM don’t care enough to hold him accountable. Kelly, you are wrong!
@c.nit
Give it a rest.
You had your say on the radio yesterday, though I can’t understand why they put you on.
And trying to tie Paul Dunphy into this is just sad.
Get over it!
Kelly should stick to what he knows best and continue to haunt the grocery stores and picket lines giving out flowers and donuts.
@bewretheright
And yet he keeps getting re-elected.
Then again I’m sure youre one of those “Well they’re all idiots for re-electing him! Me, Don Mills and Citizens for Halifax know better than the great unwashed!”
HRM’s AG was specific about the problems created by Peter Kelly in that he should have been aware given the circumstances and asked the questions expected of someone in his and taken appropriate action. He didn’t and the city lost out. This is not about this mayor, it’s about wanting action taken. I don’t understand how residents say they love this city, but then don’t want changes to fix their city.
HRM’s AG was specific about the problems created by Peter Kelly in that he should have been aware given the circumstances and asked the questions expected of someone in his position and taken appropriate action. He didn’t and the city lost out. This is not about this mayor, it’s about wanting action taken. I don’t understand how residents say they love this city, but then don’t want changes to fix their city.
@Kelly Has to Go
“This is not about this mayor…”
Your name = Kelly Has to Go
“This is not about this mayor…”
Let’s let that sink in a little.
@Matthew Luthor
Kelly is a career politician, he continues to get re-elected because he knows how to pander to the lowest common denominator. Like you.
@bewaretheright
“Like you.”
Thanks, I do tend to be popular here
Matthew Luthor, you’ll notice there is no mention of “mayor” in front of “Kelly Has to Go”. So, I reiterate again that this isn’t about the mayor, in other words, it’s not personal. The use of the name “Kelly Has to Go” is about respectfully asking Peter Kelly to show the city and the residents, which he claims to love and represent, the respect they deserve by resigning. For him to continue – and for council to allow him to continue to chair meetings to discuss issues that involve him – only serves to shame the city and calls into question the leadership that is required at City Hall. If Peter Kelly played no role, then I would certainly say enough; however, that is not what has happened.
I’m reminded of Joseph Howe at this time and his quote: “my public life is before you; and I know you will believe me when I say, that when I sit down in solitude to the labours of my profession, the only questions I ask myself are, What is right? What is just? What is for the public good?” In this case, what is right is that Peter Kelly step down; what is just is that the people of Halifax get to hold accountable those that acted against the city’s charter and the best interests of the city; and what is for the public good is that steps be taken to improve the transparency of the what occurs at City Hall.
The reason this article shouldn’t go away is that Peter Kelly has not yet gone away, thereby getting away with agregious abuse of public trust. Yes, the whole council has other issues, and they mayor’s job is largely symbolic, but that makes his resignation or lack thereof all the more important a symbol.
And yes, I have read the reports, and yes, I was at council when Kelly LIED about the amount of tickets they had been selling. He
lied directly to me, based on my question to him.
Peter Kelly claims repeatedly in interview after interview that he has a job to do because as mayor he must tend to the duties of HRM. Sure, by definition tending to the duties of a municipality is what a mayor does. And sure, he was elected to that position. What is lost on Peter Kelly is that he should no longer hold that position given the AG’s conclusions. He is legally right about what the mayor’s role, but he’s ethically wrong about why he should remain. He repeats the first position because he’s mayor; he ignores the second position because it would necessitate resigning.
Don’t you think that “lying” whether “to or for us” is a value that is not only outdated, machiavellian, and unnecessary?
Thomas Jefferson said: “Whenever the people are well-informed, they can be trusted with their own government.” And: “If once they [the people] become inattentive to the public affairs, you and I, and Congress, and Assemblies, Judges, and Governors, shall all become wolves.”
I believe Thomas Jefferson is spot-on. When the people are well-informed “lying” of any sort in politics becomes absolutely unnecessary.
The article was great nonetheless. Will be there on Tuesday
You can quote anything you want but the rally is counter-productive to the stability of the city and is serving people’s own agenda and egos. I watched the interview with one of the rally organizers and it did nothing to win me over. I wish these people could realize the spotlight that they are shining on the city is not a positive one. Couple that with recent proceedings in council and the city looks like an absolute joke. Not to mention the report that followed with HRM now wanting to hold back services to this year’s Metallica show three weeks before tens of thousands of people flood the local hotels, restaurants and the downtown core. Nice one. Just another example of how city management doesn’t have a f’n clue.
I just saw the report http://atlantic.ctv.ca/?video=490701
Nothing in HorriblyRunMunicipality surprises me any more.
Remember that old 60/70’s show Hogans Heroes and Sgt. Schultz’ answer to EVERYTHING was “I know nothing, nothing”? Sounds eerily familiar.
Kelly is hoping this all “blows over” by the time the next election rolls around, hence his strategy of getting on with the job and trying to put the whole mess behind him.
His strategy may work. Voters in municipal elections in these parts are an apathetic lot. Of those who do care, a significant number (who must count themselves as Kelly supporters I guess) apparently relish a steady diet of horseshit.
When public officials sidestep established protocols and accounting procedures to fulfill private agendas (the wider public through their elected councilors was never consulted) they have abused the public’s trust. When they lose hundreds of thousands of tax payers dollars in doing so, they have abused the public purse.
HRM’s Acting Chief Administrative Officer Wayne Anstey knew this and resigned back in March. Kelly hopes to keep alive the illusion that he played no part in the fiasco, all evidence to the contrary, and avoid having to exit stage right into possible political oblivion, when the right thing for him to do would be resign.
With Kelly at the helm and a significant number of councilors supporting him, HRM will only see more of this kind of mismanagement.
It will be time for a thorough housecleaning at the next municipal election, and Kelly, as well as all those councilors who supported him over this, will hopefully be looking for new employment in the aftermath.
The HRM council should know that we as taxpayers are paying attention. A lot of citizens are taking names and marking councilors out for removal from office next year over this issue. Good riddance.
Only 26,000 plus people paid to see Paul McC. That’s because it’s an outdoor venue: at my age I want a little more comfort. If there was somewhere indoors with a seat, I’d have paid 4 times that much.
Dear coastsucks12: If, as you say, “city management doesn’t have a f’n clue”, shouldn’t that be reason enough for people to organize something like a rally to highlight the issue and keep its profile high to force change? Clearly Kelly is culpable – especially if you listen to former HRM staffer Carol Macomber interviewed on CBC Mainstreet – yet he is evading all responsibility and is refusing to step down. That is wrong. The sooner he and his council mates realize that people want these people gone, the better.
Kelly will never resign. He will be re-elected. Mark my words. Halifax/Nova Scotia is one, of if not the most, corrupt post colonial regime in the western world not in a conflict (Northern Ireland, eg). It has always been run on corruption and greed under strict colonial conditions and always will be. We have more in common with Libya and Syria than we do with Toronto or Moncton – and I’m not talking rock concerts. However, there will never be a ‘revolution’ here – not through elections or any other means. Haligonians are no better than any subdued population living under tyranny – it’s all they know, fearful, and lacking the education and impetus for change. And, we live under an opiate that we are part of the free world, everywhere is like this, we are so NICE, etc. In short, Haligonians lack the sophistication to see themselves critically and take positive action. Every Haligonian (at least everyone living here for the past 50 years years) knows this – those who tolerate it, stay, those who cannot, leave. Now the problem is made worse because of the expansion of the Halifax empire. When the ‘city limits’ practically extend to Cape Breton to the east and inclusive of people who live 3 hours away, rarely in the city, with no knowledge of cities, and filled with people who largely ignorant and backward – well, you can kiss all hope goodbye. The only way we will be liberated from this evil, and have any hope for progress, development, growth (the siren call of the fearful) is if there is an external intervention (like shame from Central Canada or NATO). That won’t happen. Everyone thinks we live in Canada and we are all the same. One of the great lies of post colonial Canada. So basically Mr Shaw you have the same choice as all Haligonians have had for decades, either you turn your heart to stone and suck it up or you move. Sorry.
Carol Macomber
hahahhahaha!
Nope! I like our current mayor
Carol Macomber,
Yea, yea, yea, yea
Thanks for speaking up.
The sad part about all this is that Kelly’s long tenure as mayor,he will only be remembered as a ‘LIAR’,a CHEAT and a typical arrogant politican who thinks that he’s above the law…please,there must be a capable person out there to run against him in next year’s election…as of today,ill vote for a mental retarted monkey if it would get this embarassment of a man out of public office…Peter,do the manly thing and resign!!!!!
I’ll vote for a mental retarted monkey”
You may get your wish, if seeing a former MP running around in Bedford with his new Aide, is any indication.