An inquiry into Winnipeg’s police HQ construction has issued misconduct notices to several witnesses, with hearings set to examine procurement and cost overruns.
Inquiry into Winnipeg Police Headquarters Misconduct Notices Issued
Several people have received formal notices of alleged misconduct in the inquiry into the procurement and construction of Winnipeg’s police headquarters, according to a report from the inquiry’s commissioner.
Three individuals who received these confidential notices cannot be subpoenaed under the Manitoba Evidence Act because they live outside the province, Commissioner Garth Smorang wrote in an interim report dated Dec. 5. “Thus far none of these individuals has indicated that they will voluntarily attend to testify,” Smorang wrote.
The names of these individuals were not included in the report. Smorang stated that “several individuals” received misconduct notices, but the total number was not disclosed.
Upcoming Hearings and Witnesses
The first phase of hearings is scheduled to begin on Feb. 10. These hearings will focus on the awarding of the development contract to Caspian Construction and the construction process.
Inquiry co-ordinator Stacy Nagle told CBC News that witness names will be published a week before the hearings start. During the project, the city bought a former Canada Post office and warehouse complex and converted it into the Winnipeg Police Service’s new headquarters. When completed in 2016, the project was $79 million over the council-approved budget.
Thirty-four witnesses are expected to testify at the public hearings between February and June. Eleven of these witnesses are subject matter experts on topics including construction project costing and public service ethics, Smorang said.
Legal Outcomes and Testimonies
Phil Sheegl, Winnipeg’s former chief administrative officer, has paid the city $1.15 million in damages, fees, and interest stemming from a 2022 Court of King’s Bench decision that found he accepted a bribe from the contractor responsible for the police headquarters construction project. Sheegl appealed that decision but lost the following year.
A 2023 Manitoba Court of Appeal decision stated that Sheegl engaged in 14 breaches of duty between 2010 and 2012 during the contractor selection for the police headquarters project. These breaches included giving confidential information to Caspian Construction owner Armik Babakhanians and manipulating the tendering process to favor the company.
Last week, the city’s current CAO Joseph Dunford informed the council that Sheegl had paid the city $1.15 million in damages, fees, and interest from that legal decision. Caspian Construction Inc. and its owner Armik Babakhanians are also among the parties granted standing in all phases of the inquiry hearings, according to Smorang’s report.
Legal representatives for the City of Winnipeg and the Winnipeg Police Service have also been granted standing for several phases of the inquiry.
Public Hearings and Final Submissions
The inquiry will aim to determine how to restore public confidence in the city’s ability to carry out large-scale construction projects efficiently, ethically, timely, and cost-effectively, as stated on the inquiry’s website.
The 48 scheduled hearings will be held at the Public Utilities Board building on Portage Avenue in Winnipeg starting next month. The public and media will be allowed to attend, Smorang wrote. “All proceedings are planned to be held in public,” he said. “The hearing room is large and there is adequate space for members of the public to attend and observe the proceedings.”
The inquiry’s final submissions are expected to be heard the week of June 15.
| Event | Date | Details |
|---|---|---|
| First Phase of Hearings | Feb. 10 | Focus on contract awarding and construction process |
| Final Submissions | Week of June 15 | Expected date for final submissions |
| Location of Hearings | Starting next month | Public Utilities Board building, Portage Avenue, Winnipeg |







