DETECTIVE LIED IN $30M COCAINE TRIAL, JUDGE FINDS

Three Acquitted: Latest Blow To Reputation Of Toronto Police Drug Squad

TORONTO - Three men on trial in an alleged multi-million-dollar cocaine
trafficking conspiracy have been acquitted of all charges in part because
the judge doubted some of the testimony of the key witness -- a senior
Toronto police detective.

In delivering her verdict yesterday, Justice Wailan Low said Detective
David Caravella "bent the truth" during portions of his evidence.

The defendants, Kurt Ianuzzo, Paul Vidotto and David Nobleman, were accused
of conspiring to traffic anywhere from 175 to 750 kilograms of cocaine.
They were arrested in late 1997 after a lengthy Toronto police
investigation known as Project Dado.

During the investigation, about five kilograms of cocaine were seized from
two storage lockers connected to a fourth defendant who pleaded guilty
earlier this year to conspiracy to import cocaine.

Police alleged the cocaine was shipped from Costa Rica, embedded in several
dozen chairs. A few chair parts containing cocaine residue were recovered,
again linked to the fourth defendant.

The court heard that Det. Caravella posed as a Colombian drug lord during
two meetings with Mr. Ianuzzo and Mr. Nobleman and accused them of stealing
the cocaine that was supposed to be inside the chairs.

Some of the Crown evidence in the case estimated that 175 kilograms of
cocaine were involved in the alleged conspiracy.

But Det. Caravella testified that he set up the meetings because he was
told by a confidential informant that Mr. Ianuzzo and Mr. Nobleman were
attempting to sell 750 kilograms of cocaine, with a street value of
$30-million.

The defendants denied the accusation and testified that they were
threatened by the high-ranking drug officer, who they said waved his hands
at them in the shape of a gun at one point.

The detective vehemently insisted he never took his hands out of his coat
pockets, testimony that seemed to be contradicted by police observation photos.

Judge Low referred to the detective as "creative" and "courageous" with "an
agile mind." But she concluded that "as a witness he was less than truthful
on some material points."

The acquittals are the latest blow to the reputation of the Toronto Police
drug squad.

Ten former Toronto drug squad officers are currently facing criminal
charges. As a result of the scandal, the federal Department of Justice has
been forced to drop or put on hold at least 115 drug cases in the past two
years.

Recently, Toronto's police chief called in a veteran RCMP officer to look
into allegations of perjury involving some drug squad investigations.

Defence lawyer Heather McArthur described Judge Low as "a careful,
conscientious judge" throughout the lengthy trial. "At the end of the day,
she had concerns about Det. Caravella's truthfulness," said Ms. McArthur.

Another defence lawyer in the case, John Hill, estimated the investigation
and criminal proceeding cost taxpayers millions of dollars.

"The war on drugs is a cash cow to keep police officers and drug
prosecutors employed," Mr. Hill said.

A Department of Justice official said yesterday the verdict will be
reviewed but it is unlikely there will be an appeal.