Nov 6, 2026
When a company lands a $2.3 billion federal defence contract, Canadians expect the decision to have been made on merit, not based on who the CEO knows.
That expectation is now at the centre of a political fight in Ottawa. The Conservatives want Canada’s ethics watchdog to examine whether Prime Minister Mark Carney’s long friendship with Dan Goldberg, CEO of Ottawa-based satellite operator Telesat, means Carney should be formally walled off from the company’s dealings with his federal government.
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Telesat and the government both reject any suggestion of favouritism, and no wrongdoing has been found. But Carney still has decisions to make about the company, and Telesat has a large debt bill coming due. That makes the outcome matter for Canadian taxpayers and for anyone holding Telesat shares.
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What are the Conservatives asking the ethics watchdog to do?
In a five-page letter obtained by CTV News, Conservative MP Jamil Jivani asked Konrad von Finckenstein to review the relationship between the two parties. Von Finckenstein is the Conflict of Interest and Ethics Commissioner, Parliament’s independent officer who enforces ethics rules for public office holders.
Jivani wants the commissioner to decide whether Carney needs a conflict-of-interest screen, which is a formal arrangement that keeps an office holder out of any discussion or decision involving a named interest. Under the federal Conflict of Interest Act, friends and relatives are listed among the private interests that can create a conflict.
Prime Minister Carney’s existing screen covers 103 companies, almost all of which are tied to Brookfield Asset Management, which he chaired before entering politics. Telesat is not on it. In contrast, Artificial Intelligence Minister Evan Solomon, who is also friends with Goldberg, has a screen that covers both Goldberg and Telesat.
Jivani argues that, given the friendship and the money involved, “a reasonable person would expect at the very least an ethics screen.” The commissioner’s office has confirmed it received the letter.
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How have Telesat and the Prime Minister’s Office responded?
The friendship between the two isn’t a secret. Carney told the Ottawa Business Journal back in 2019 that the two met when their children played in the same preschool soccer league.
Telesat says Goldberg has never asked Carney for government money, contracts or special treatment, either before or after Mark Carney took office, a company spokesperson told CBC News. Carney’s office told The Globe and Mail in October that the prime minister has not taken part in any decisions or discussions involving Telesat or Goldberg. When the contract was first announced, the Privy Council Office said the Defence Investment Agency had followed proper process.
What’s at stake for taxpayers?
The Defence Investment Agency, the federal body created to speed up military procurement, awarded Telesat the contract, worth $2.3 billion, over the summer, including options to add another $432 million. The deal will provide the Canadian Armed Forces with secure Arctic communications through Telesat’s Lightspeed satellite network.
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Other decisions on the deal are still to come, including on those contract options. Telesat’s finances add pressure. In its latest quarterly results, released in October, the company said it remains focused on refinancing its debt. That debt doesn’t come due all at once: more than $2 billion matures in stages in December 2026, June 2027 and October 2027.
When the government is both a company’s major customer and a decision-maker in its future, the question of who sits at the table carries real and significant financial weight.
What does this mean if you own Telesat shares?
Telesat trades on the TSX and Nasdaq. For shareholders, an ethics review doesn’t change the contract on its own but it does add political headline risk to a stock already facing a tight debt timeline.
Companies that depend heavily on government contracts carry policy risk. Shifts in political pressure, procurement scrutiny or public funding decisions can move share prices quickly, in either direction.
What to do now
Whether you’re an investor, a taxpayer or both, a few steps can help you follow the story with your money in mind:
- Watch for the ethics commissioner’s response to the Conservatives’ request
- Track Telesat’s refinancing updates ahead of its upcoming December debt deadline
- Check whether your mutual funds or exchange-traded funds (ETFs) hold Telesat stock
- Keep speculative positions small relative to your overall portfolio
- Talk to a licensed financial advisor before buying or selling on political news
The friendship between Carney and Goldberg itself isn’t in dispute. The question is whether the rules require more distance between the prime minister and a company with billions in federal business on the line.That decision now sits with the commissioner, and it may shape who weighs in when Telesat’s next decisions reach cabinet.
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Leslie Kennedy served as an editor at Thomson Reuters and for Star Media Group, followed by a number of years as a writer and editor and content manager in marketing communications, before returning to her editorial roots. She is a graduate of Humber College’s post-graduate journalism program and has been a professional writer and editor ever since.
