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Canada’s recognition of Juan Guaido as true Venezuelan leader was months in the making – National

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The politician Canada and its allies recognizes as Venezuela’s real leader stood in a Caracas plaza Friday and exhorted his supporters to “stay the course” if he winds up behind bars.

Juan Guaido’s defiant pronouncement against President Nicolas Maduro – whom Canada has branded a dictator who stole an election – marked the latest dramatic development in Venezuela’s political crisis. It followed Guaido’s decision two days earlier to declare himself his country’s interim leader, two weeks after Maduro’s contested inauguration.

WATCH: Every country ‘ought to recognize constitutional leader’ of Venezuela: Pompeo






But emboldening Venezuela’s opposition has been a labour of months, The Canadian Press has learned. Canadian diplomats in Caracas, with their Latin American counterparts, worked to get the country’s opposition parties to coalesce behind the one person who emerged strong enough to stand against Maduro: 35-year-old Guaido.

The turning point came Jan. 4 when the Lima Group – the bloc that includes Canada and more than a dozen Latin American countries – rejected the legitimacy of Maduro’s May 2018 election victory and his looming Jan. 10 inauguration, while recognizing the “legitimately elected” National Assembly, sources say.

WATCH: Elliott Abrams joining State Department as point person on Venezuela






“They were really looking for international support of some kind, to be able to hold onto a reason as to why they should unite, and push out somebody like Juan Guaido,” said one source.

The Canadian Press interviewed senior Canadian government officials, who spoke on condition of anonymity because of the sensitivity of the crisis in Venezuela. They detailed Canada’s role in aiding democratic forces to rescue the once oil-rich country from the economic and political spiral that has forced three million Venezuelans from their homes.

Canada anticipated this week’s developments because its diplomats have been keeping in close contact with Guaido and other opposition figures in Venezuela. “We listen to them. We listen to the diaspora in Canada and elsewhere in the world, and we do what we can,” said one source.


READ MORE:
‘Fulfill my order’: Defiant Maduro recalls Venezuelan diplomats from the U.S.

The quiet Canadian diplomacy was conducted in tandem with Lima Group allies such as Chile, Peru, Colombia and Brazil. It was part of a Canadian diplomatic tradition that included efforts in the 1980s to shield Chilean dissidents fighting the Pinochet dictatorship.

And in 2000, foreign-affairs minister Lloyd Axworthy led a multilateral mission to Peru that ousted strongman Alberto Fujimori, said Canada’s former ambassador to Venezuela Ben Rowswell.

“The tradition here is that Canada believes in the principles of human rights and democracy and takes pragmatic measures on the ground to unblock political situations,” said Rowswell.

WATCH: Political crisis in Venezuela as military backs Maduro






Rowswell said he drew on that tradition while he was in Venezuela, hosting a high-profile award party at the Canadian Embassy to honour a local civil-society leader. The annual gathering sent a message that the world was watching pro-democracy efforts in the face of Maduro’s growing authoritarianism.

After Rowswell’s 2017 departure, the Lima Group was born and Canada began working within that coalition – which does not include the United States – to further human rights and democracy in the hemisphere.

Maduro’s May 20, 2018 election victory galvanized the Lima Group’s efforts. The group denounced the vote as illegitimate and downgraded diplomatic relations.

WATCH: Venezuela facing power crisis as international community looks on






The diplomats who remained focused on building bridges with a fractured opposition that was as much at odds with itself as it was with Maduro.

In a November report, the International Crisis Group documented the divisions and urged the groups to set aside their “personal and political rivalries.”

The top contenders to lead the opposition were long-time leaders Leopold Lopez and Julio Borges, but there were problems with both. Lopez has been under house arrest since 2014, while Borges is living in exile.


READ MORE:
Maduro vs Guaido: Venezuela is split between leaders and the world is taking sides

Borges put forth Guaido as a contender, said one source.

Guaido made a clandestine trip to Washington in mid-December to brief U.S. officials on his strategy for dealing with Maduro’s Jan. 10 inauguration. He secretly crossed his country’s border with Colombia so Venezuelan immigration officials wouldn’t know he’d left and prevent his return.

As talks among Venezuelan opposition factions progressed, one source said, they began to set aside their differences. A key realization set in: “This is not about us. This is about the country.”

The source said the opposition groups deserve full credit for getting to that point. But it helped that Canadian diplomats “could facilitate conversations with people that were out of the country and inside the country” with other foreign diplomats.

WATCH: Kremlin: Nicolas Maduro is Venezuela’s legitimate president






On Jan. 5, Guaido assumed the presidency of the National Assembly, which the Lima Group regards as “the only remaining democratically elected institution in the country.”

Four days later, Foreign Affairs Minister Chrystia Freeland telephoned Guaido to “congratulate him on becoming president of the National Assembly and his work on uniting the opposition,” said another source.

The next day, Maduro was sworn in as president with support of countries such as Cuba, Russia and China; Freeland said “the Maduro regime is now fully entrenched as a dictatorship.”

WATCH: Chilean president says Chile, Lima Group recognize Juan Guaido as Venezuelan president






On Wednesday, after Guaido declared himself to be the interim president, Venezuelans took to the streets in protests across the country. “It’s an important day for Venezuela,” Freeland said in Davos, Switzerland.

On Friday, Maduro told a news conference he’d be willing to talk to the opposition to settle the question of who leads the country, but he defended his presidency. He also called Guaido’s declaration “a desperate act” backed by the U.S.

Canadian officials said that while U.S. leaders such as President Donald Trump, Vice-President Mike Pence and Secretary of State Mike Pompeo have also denounced Maduro, there has been no direct co-ordination between the Lima Group and Washington.

WATCH: Trump backs Maduro rival amid protests in Venezuela






As for this week’s rallies, the Venezuelans have full ownership of those.

“It was completely done by the opposition and their people on the ground in Venezuela,” said one official. “We couldn’t have helped them get to this point … if they weren’t willing and really putting their necks out.”

— With files from the Associated Press

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‘Business as usual’ for Dorel Industries after terminating go-private deal

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MONTREAL — Dorel Industries Inc. says it will continue to pursue its business strategy going forward after terminating an agreement to go private after discussions with shareholders.

« Moving ahead. Business as usual, » a spokesman for the company said in an email on Monday.

A group led by Cerberus Capital Management had previously agreed to buy outstanding shares of Dorel for $16 apiece, except for shares owned by the family that controls the company’s multiple-voting shares.

But Dorel chief executive Martin Schwartz said the Montreal-based maker of car seats, strollers, bicycles and home furniture pulled the plug on a deal on the eve of Tuesday’s special meeting after reviewing votes from shareholders.

“Independent shareholders have clearly expressed their confidence in Dorel’s future and the greater potential for Dorel as a public entity, » he said in a news release.

Dorel’s board of directors, with Martin Schwartz, Alan Schwartz, Jeffrey Schwartz and Jeff Segel recused, unanimously approved the deal’s termination upon the recommendation of a special committee.

The transaction required approval by two-thirds of the votes cast, and more than 50 per cent of the votes cast by non-family shareholders.

Schwartz said enhancing shareholder value remains a top priority while it stays focused on growing its brands, which include Schwinn and Mongoose bikes, Safety 1st-brand car seats and DHP Furniture.

Dorel said the move to end the go-private deal was mutual, despite the funds’ increased purchase price offer earlier this year.

It said there is no break fee applicable in this case.

Montreal-based investment firm Letko, Brosseau & Associates Inc. and San Diego’s Brandes Investment Partners LP, which together control more than 19 per cent of Dorel’s outstanding class B subordinate shares voiced their opposition to the amended offer, which was increased from the initial Nov. 2 offer of $14.50 per share.

« We believe that several minority shareholders shared our opinion, » said Letko vice-president Stephane Lebrun, during a phone interview.

« We are confident of the long-term potential of the company and we have confidence in the managers in place.”

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Anglais

Pandemic funds helping Montreal businesses build for a better tomorrow

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Many entrepreneurs have had to tap into government loans during the pandemic, at first just to survive, but now some are using the money to better prepare their businesses for the post-COVID future.

One of those businesses is Del Friscos, a popular family restaurant in Dollard-des-Ormeaux that, like many Montreal-area restaurants, has had to adapt from a sit-down establishment to one that takes orders online for takeout or delivery.

“It was hard going from totally in-house seating,” said Del Friscos co-owner Terry Konstas. “We didn’t have an in-house delivery system, which we quickly added. There were so many of our employees that were laid off that wanted to work so we adapted to a delivery system and added platforms like Uber and DoorDash.”

Helping them through the transition were emergency grants and low-interest loans from the federal and provincial governments, some of which are directly administered by PME MTL, a non-profit business-development organization established to assist the island’s small and medium-sized businesses.

Konstas said he had never even heard of PME MTL until a customer told him about them and when he got in touch, he discovered there were many government programs available to help his business get through the downturn and build for the future. “They’ve been very helpful right from day one,” said Konstas.

“We used some of the funds to catch up on our suppliers and our rents, the part that wasn’t covered from the federal side, and we used some of it for our new virtual concepts,” he said, referring to a virtual kitchen model which the restaurant has since adopted.

The virtual kitchen lets them create completely different menu items from the casual American Italian dishes that Del Friscos is known for and market them under different restaurant brand names. Under the Prasinó Soup & Salad banner, they sell healthy Greek options and their Stallone’s Sub Shop brand offers hearty sandwiches, yet the food from both is created in the same Del Friscos kitchen.

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Downtown Montreal office, retail vacancies continue to rise

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Some of downtown Montreal’s key economic indicators are heading in the wrong direction.

Office and retail vacancies in the city’s central core continued to climb in the fourth quarter of 2020, according to a quarterly report released Thursday by the Urban Development Institute of Quebec and the Montréal Centre-Ville merchants association. The report, whose first edition was published in October, aims to paint a socio-economic picture of the downtown area.

The survey also found office space available for sublet had increased during the fourth quarter, which may foreshadow even more vacancies when leases expire. On the residential front, condo sales fell as new listings soared — a sign that the downtown area may be losing some of its appeal to homeowners.

“It’s impossible not to be preoccupied by the rapid increase in office vacancies,” Jean-Marc Fournier, the former Quebec politician who now heads the UDI, said Thursday in an interview.

Still, with COVID-19 vaccinations set to accelerate in the coming months, “the economic picture is bound to improve,” he said. “People will start returning downtown. It’s much too early to say the office market is going to disappear.”

Public health measures implemented since the start of the pandemic almost a year ago — such as caps on office capacity — have deprived downtown Montreal of more than 500,000 workers and students. A mere 4,163 university and CEGEP students attended in-person classes in the second quarter, the most recent period for which figures are available. Border closures and travel restrictions have also brought tourism to a standstill, hurting hotels and thousands of local businesses.

Seventy per cent of downtown workers carried out their professional activities at home more than three days a week during the fourth quarter, the report said, citing an online survey of 1,000 Montreal-area residents conducted last month.

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