Shory allegations 'personal': Tories

The Conservative government is dismissing comparisons between a Calgary MP's alleged involvement in a mortgage fraud scheme and allegations facing former Tory cabinet minister Helena Guergis.

And the Conservatives are raising questions about a Liberal MP's work for a Toronto law firm, saying a description of his activities on the firm's website constitutes lobbying.

During Thursday's question period, NDP Leader Jack Layton asked why Prime Minister Stephen Harper didn't kick Calgary Northeast MP Devinder Shory out of the Conservative caucus and call in the RCMP, as he did with Guergis last month when unspecified allegations emerged about her conduct.

Responding for the Conservatives, House leader Jay Hill called it a "personal, civil matter" that "has nothing to do with the business of Government of Canada."

A lawsuit filed by the Bank of Montreal names Shory, along with hundreds of other Albertans. Court documents obtained by CBC News allege Shory, a lawyer, executed legal transactions that misrepresented the true owner of at least five Calgary properties. The allegations contained in the lawsuit have not been proven in court.

During his visit to the Netherlands on Thursday, Harper was asked about the Shory and Guergis allegations and said the cases are very different. He called Shory's case a civil matter that predated his time as an MP.

In a statement, Shory said he only learned about the lawsuit through the media and will vigorously defend himself against the allegations.

"I have done nothing wrong," he said.

Shory has not been removed from caucus, but was not seen in the House of Commons on Thursday.

Guergis resigned her junior cabinet post and was kicked her out of the Conservative caucus on April 9 after Harper learned of what he called "serious and credible" allegations against her. She is sitting as an Independent MP, but learned this week the Conservative Party will not allow her to run again as its candidate for the central Ontario riding of Simcoe-Grey.

In a letter to the Conservative Party made public Thursday, Guergis vowed to appeal the decision and insisted she be allowed to clear her name before being pushed aside.

Lee defends law firm work, denies lobbying

The House has been embroiled in a debate over ethics and lobbying rules since it emerged that Guergis's husband, former Tory MP Rahim Jaffer, was contacting government members about access to federal money for alternative-energy projects. Jaffer, who is not registered as a lobbyist, denied his work constituted lobbying. 

The Commons voted unanimously in favour of a Liberal motion calling for tighter rules for lobbyists on Wednesday, but the Conservatives have vowed to go a step further and require all MPs and senators to disclose their meetings with lobbyists to the federal lobbying commissioner.

When responding to a question from Liberal MP Wayne Easter on the Shory allegations, Transport and Infrastructure Minister John Baird said the Liberals have "got something to hide" about their own members advertising their services as lobbyists.

Baird then read a portion of text from Liberal MP Derek Lee's profile on the website of Sun & Partners, which lists him as one of the firm's counsel.

The site describes his "valuable contributions" to its clients, including acting for foreign and offshore organizations in obtaining operating licences, securing regulatory and governmental approvals for mergers and acquisitions, reviewing policies and conduct of Canada's spy service, the Canadian Security Intelligence Service.

The firm's website also says Lee contributes by "lobbying government on policy issues as well as facilitating inter-governmental relationships."

Lee, who's been an MP since 1988, disclosed to the federal conflict of interest commissioner that he receives "business income" from Sun & Partners. According the commissioner's website, Lee is in compliance with government rules and regulations.

In a statement released Thursday afternoon, Lee acknowledged he is a legal counsel to a law firm "like several other Parliamentarians" and insisted he is "in full compliance" with federal laws.

"Contrary to accusations made by the members of the Conservative government, I am not a lobbyist, nor have I ever been paid to lobby the federal government," he said.

But Lee said he was unaware of how his role was portrayed on the firm's website, and asked said he has requested that his profile, including any reference to lobbying, be removed.

 "I apologize for any confusion this may have caused," he said.

In a separate letter, Lee referred himself to federal Lobbying Commissioner Mary Dawson and asked her to review his "files, information and other aspects" to ensure "continued compliance" with conflict-of-interest rules and the Lobbying Act.