RCMP Watch

Daniel Martins, The Ottawa Citizen
Ottawa resident Andre Lehaie took the RCMP to court yesterday morning, saying the national police force had no right to raid his satellite systems import company in 1998 effectively putting him out of business.

Mr. Lehaie’s company, Digital Supercity, imported U.S. satellite systems and modified satellite decoder cards to allow his Canadian customers to receive signals from U.S. satellite providers without their knowledge. The RCMP says the practice is illegal under Canada’s Radiocommunications Act.

After first obtaining a search warrant, the RCMP raided Mr. Lehaie’s Rochester Street home, where he had his offices, on Nov. 8, 1998.

It confiscated satellite systems units, business records and software used to hack into decoder cards to allow them to unscramble U.S. signals.

Some time later, the Mounties raided his offices again after observing him importing more units. After that, he declared personal bankruptcy.

Mr. Lehaie’s lawyer, Joseph Obagi, argued that at the time of the raid, it was unclear whether the Radiocommunications Act applied to signals from the U.S.

Mr. Obagi said the RCMP abused its authority, calling its actions “oppressive and unnecessary,” and saying the search warrant was obtained without taking into account the law’s then-hazy status.

“They proceeded as if this was a drug bust,” Mr. Obagi said. “They searched every square foot for satellite systems, notwithstanding that this was a legitimate business.”

Mr. Obagi also said the RCMP damaged his client’s reputation by stating in the press that he had been running an illegal business.

Lawyers representing the RCMP pointed to a 2002 Supreme Court ruling that said the law also applies to satellite signals from U.S. providers, even though the ruling came four years after the raid.
“This is not a question of fact, this is question of law,” lawyer Elizabeth Richards said. “The Supreme Court speaks retroactively. It did not become an offence in 2002. It always was an offence.”

Mr. Lehaie’s lawyers said the RCMP should not have gone ahead with the raid before the existing legal ambiguity had been resolved. Between 1994 and 1998, they said, there were 10 cases dealing with decoding signals from the U.S. without the knowledge of the satellite provider and in seven of them, the presiding judge ruled that it was allowed.

Mr. Lehaie had these cases in mind when he decided to pursue his business, and even sought legal advice, Mr. Obagi said.

But Alexander Gay, one of the RCMP’s lawyers, said individual rulings could not be considered definitive, and when Mr. Lehaie’s offices were raided, a legal letter advising him to cease and desist was found.

“You can’t say it’s ambiguous because different people came to different conclusions,” he said.

The case continues today.