When Philippines businessman Rizalino Espino was named as a participant in a bribery scandal involving a Canadian company, he assumed his day in court meant that a judge would hear him out and weigh his version of the facts.

Instead, it didn害羞草研究所檛 matter what evidence his lawyer presented.

A judge in Quebec wrote in May that there was 害羞草研究所渘o possibility of adjudicating facts害羞草研究所� in the case, in which the court approved a remediation agreement between federal prosecutors and a Quebec forensic technology firm that did business for years in the Philippines.

Remediation agreements 害羞草研究所� the Canadian version of deferred prosecution deals 害羞草研究所� are a new part of the legal landscape, that were supposed to make it easier to bring corrupt companies to justice, while allowing them to avoid prosecution.

But Espino害羞草研究所檚 experience highlights a potential flaw in the process: the judges who decide whether to approve the deals are unable to consider whether the agreed facts that underpin the agreements are true. Those agreed facts are decided upon solely by the accused company and prosecutors.

University of Ottawa law professor Jennifer Quaid said the remediation agreement regime in Canada relies on voluntary disclosure by people involved in wrongdoing, who are likely 害羞草研究所渢o paint the best possible picture of one害羞草研究所檚 involvement,害羞草研究所� she said.

害羞草研究所淓ven if one acknowledges responsibility, usually there is an effort to spin as positively as possible.害羞草研究所�

In the case that entangled Espino, the remediation agreement was struck by Quebec-based Ultra Electronics Forensic Technology. It admitted years of wrongdoing and agreed to pay a $10 million fine for a bribery scheme to sell its flagship ballistics identification system to the Philippines National Police.

Espino was not charged with a crime. But he and his company Concept Dynamics Enterprises went to court in Canada to clear their names after discovering they had been named as participants in the bribery scheme in the remediation deal害羞草研究所檚 害羞草研究所渁greed statement of facts.害羞草研究所�

The statement depicts Espino as a key player in the scheme that Ultra said 害羞草研究所渆armarked and promised害羞草研究所� bribes for top officials including then Philippines interior secretary Ronaldo Puno and his brother. The company admitted using the corrupt scheme to help it secure $17 million in contracts with Philippines police.

But Espino said he was a victim and a whistleblower who put an end to Ultra害羞草研究所檚 corrupt scheme, and didn害羞草研究所檛 provide bribes to the Puno brothers or anyone else.

In a series of emails to The Canadian Press, Espino said he wanted to 害羞草研究所渟alvage害羞草研究所� his reputation after being 害羞草研究所渄ragged through the muck害羞草研究所� during the court process of approving the remediation agreement.

害羞草研究所淭he court is not empowered to take any other information into consideration, no matter how compelling it may be,害羞草研究所� Espino wrote. 害羞草研究所淭his being just the second remediation agreement to be approved in Canada, there is still much to learn.害羞草研究所�

Espino said he wanted 害羞草研究所渁 chance to defend my name and reputation.害羞草研究所�

Quebec Superior Court Judge Marc David rejected Espino害羞草研究所檚 bid to have the accusations against him removed from the statement of agreed facts, in his decision to approve Ultra害羞草研究所檚 remediation agreement.

害羞草研究所淲hen presented with a remediation agreement, a court must accept the facts as exposed by the prosecutor and the accused organization,害羞草研究所� David wrote.

害羞草研究所淭he procedure is bipartite. There is no possibility of adjudicating facts. In principle, an agreed statement of facts cannot be unsettled based on the possible existence of contradictory evidence.害羞草研究所�

Third parties like Espino and Concept Dynamics are left with no immediate recourse to head off a remediation agreement even if they present what David called 害羞草研究所渁lternative facts.害羞草研究所�

Espino害羞草研究所檚 lawyer, Philip Aspler, told the judge that the agreed statement of facts was defamatory and 害羞草研究所渇ull of inaccuracies, mistakes and outright lies.害羞草研究所�

害羞草研究所淥ne cannot help wonder if the prosecutor ever even bothered to check the facts or just swallowed, hook, line and sinker, everything that the defendant did,害羞草研究所� Aspler told the judge. 害羞草研究所淥ne of the issues is, did the Crown actually bother to get all sides of the story, and I respectfully submit that it did not.害羞草研究所�

David, who called Espino害羞草研究所檚 claims a 害羞草研究所渃urveball害羞草研究所� in the December 2022 hearing, is only the second judge tasked with approving a remediation agreement since they were added to the Criminal Code in 2018.

The first involved SNC-Lavalin, which last year admitted corruption related to the refurbishment of the Jacques Cartier Bridge in Montreal.

But the remediation process had been put in the public eye in 2019, in a separate case involving SNC-Lavalin. Former attorney general Jody Wilson-Raybould claimed Prime Minister Justin Trudeau inappropriately pushed her to cut a deal with SNC-Lavalin over its corrupt dealings in Libya. She refused, and instead of remediation, the company ended up pleading guilty to fraud.

With Canada害羞草研究所檚 deferred prosecution regime still in its infancy, David remarked that his ruling in the Ultra case would likely impact future remediation agreements.

St茅phane Hould, the prosecution service害羞草研究所檚 remediation agreement coordinator, declined to comment on the case but pointed to Crown submissions depicting Espino as an admitted 害羞草研究所減articipant害羞草研究所� in the bribery scheme, which ran from 2006 to 2018.

In court, Crown prosecutors stood behind the agreed statement of facts. Fraud and offences under the Corruption of Foreign Public Officials Act, prosecutors told the court, don害羞草研究所檛 require that 害羞草研究所渂ribes were actually paid.害羞草研究所�

害羞草研究所淭he fraud scheme was designed to inflate the price of the contracts and was facilitated through the receipt of (Espino害羞草研究所檚) commissions,害羞草研究所� the Crown害羞草研究所檚 submissions said.

They warned David that entertaining Espino害羞草研究所檚 claims could derail the process by requiring him to adjudicate facts, which the remediation agreement regime doesn害羞草研究所檛 allow.

Judge David ultimately agreed, finding he couldn害羞草研究所檛 reject the agreement because Concept Dynamics failed to demonstrate that the prosecutors or Ultra Electronics had 害羞草研究所渨ilfully害羞草研究所� misled the court.

害羞草研究所淲hen presented with a remediation agreement, a court must accept the facts as exposed by the prosecutor and the accused organization,害羞草研究所� David ruled. 害羞草研究所淭here is no possibility of adjudicating facts. In principle, an agreed statement of facts cannot be unsettled based on the possible existence of contradictory evidence.害羞草研究所�

He added that Concept Dynamics 害羞草研究所渃an seek redress in the civil court system害羞草研究所� if it felt aggrieved.

In an emailed statement, Ultra Electronics said Espino害羞草研究所檚 claims have 害羞草研究所渘o basis in fact.害羞草研究所�

害羞草研究所淭his matter has been thoroughly investigated at length by the Royal Canadian Mounted Police, with our full co-operation,害羞草研究所� the company said. 害羞草研究所淯ltra Forensic Technology no longer uses any intermediaries in the Philippines. This includes Mr. Espino, who is implicated as an accomplice, in the historical misconduct as described by the agreed statement of facts executed by the PPSC and the company.害羞草研究所�

University of Ottawa law professor Quaid said the case involving Concept Dynamics is odd and 害羞草研究所渢ricky害羞草研究所� because the case dates back many years, and bribery schemes usually involve many parties with varying degrees of blameworthiness.

害羞草研究所淚 don害羞草研究所檛 objectively know where the truth is,害羞草研究所� she said. 害羞草研究所淣o one outside of the people who did the investigation and the parties themselves who were involved actually know the full extent of it.害羞草研究所�

But she said it害羞草研究所檚 highly likely that when the remediation agreement regime was devised, a scenario like this simply wasn害羞草研究所檛 contemplated.

Quaid said it害羞草研究所檚 possible that true victims could be overlooked, representing a 害羞草研究所済ap害羞草研究所� in a regime that is mandated to be victim-centric.

害羞草研究所淚t seems like that害羞草研究所檚 an oversight,害羞草研究所� she said.

Quaid said there害羞草研究所檚 a danger that investigations might miss things and it害羞草研究所檚 difficult to catch people in a lie if independent verification isn害羞草研究所檛 possible.

害羞草研究所淪o you need someone on the inside that says, 害羞草研究所榦h, I know what happened and I害羞草研究所檓 gonna tell you,害羞草研究所櫤π卟菅芯克鶟 she said. 害羞草研究所淏ut then there is a certain amount of faith afterwards.害羞草研究所�

Ultra Electronics was ultimately penalized $10 million under its remediation agreement, and foreign bribery and fraud charges are still pending against former employees Robert Walsh, Timothy Heaney, Ren茅 B茅langer and Michael McLean.

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