NO EVIDENCE FEDERAL OFFICIALS LINKED TO DRUGS OR MONEY LAUNDERING, PM SAYS

Martin Promises Swift Action If Police Find Connection

OTTAWA -- Prime Minister Paul Martin defended some of his top organizers
Tuesday as opposition MPs demanded tougher action in dealing with possible
links between the Liberal party and an organized crime and drug
investigation in B.C.

One MP bluntly called on Martin to assure Canadians his 2003 leadership
campaign wasn't financed partly by drug money, while another called for
heads to roll in the Liberal party's West Coast organization.

But the prime minister, during a visit to Nova Scotia, told reporters there
is no evidence of wrongdoing involving his officials.

He assured Canadians that he will take action if the police probe finds a
direct link to the Liberal Party of Canada.

"One thing is very clear -- when the investigation is complete, if there
are any consequences flowing from that we will act very rapidly and
decisively."

Martin was asked if he is concerned that police visited the home office of
Mark Marissen, his chief leadership campaign organizer and the man expected
to chair the 2004 election campaign in B.C.

"The police have said Mark Marissen is in no way implicated. As far as we
know, there would appear to be no federal involvement at all."

He was also asked if he intended to seek the resignations of Erik Bornman,
the party's director of communications, and Bruce Clark, the chief
fundraiser. Police executed search warrants at the offices of both men.

"We really don't know what the nature of the investigation is," he said.
"We have not been contacted by the police, so essentially we don't know
what it is they are looking for."

Search warrants were also executed at the B.C. legislature offices of Dave
Basi, ministerial assistant to Finance Minister Gary Collins, and Bob Virk,
ministerial assistant to Transportation Minister Judith Reid.

Police say the raids were part of an ongoing probe into organized crime and
the drug trade, but they have not explained why political organizers are
part of the investigation.

B.C. MP John Reynolds, House leader of the Canadian Alliance caucus, said
the prime minister has to go further.

Canadians want assurance that no drug money made its way into Martin's 2003
leadership campaign, according to Reynolds (West Vancouver-Sunshine Coast).

"I'm asking that question. Can he assure us that it didn't?"

Reynolds said there are indications that many of the 36,000 British
Columbians who became voting Liberal members last year didn't pay their own
membership fees, in violation of party rules.

Now that police are executing search warrants against Liberals involved in
raising money and recruiting members, the possibility exists that dirty
money was used to help elect Martin prime minister in November, according
to Reynolds.

"If the same guys who were selling the memberships are the same ones having
warrants (executed by police) in their office, for whatever reason, these
guys are all running his team. Where did the money come that memberships
were purchased with?

"Where did all the fundraising money come from?"

New Democratic Party leader Jack Layton also called on Martin to take
tougher action by removing three key organizers -- Marissen, Bornman, and
Clark -- from the party organization on the West Coast.

"Why, more than a week after this story has broken, are these people still
wielding influence in the official capacities they hold in Canada's
governing party?" Layton told reporters.

"I think propriety would suggest that officials step aside during these
investigations."

Layton's stand triggered a defence of Marissen from an unusual source --
off icial opposition MPJames Moore.

"Mark Marissen is a constituent of mine, and is entitled to fair treatment,
and not the political hatchet work of Jack Layton," said Moore (Port
Moody-Coquitlam-Port Coquitlam).

"Mark Marissen has not been accused of anything, he hasn't been charged
with anything, an investigation is ongoing, and all people are innocent
until proven otherwise."