How Canada’s Sidewinder probe warned of PRC infiltration at Vancouver ports

By The Bureau

Summary

Recently uncovered documents have brought renewed attention to Project Sidewinder, a 1990s joint investigation by the Royal Canadian Mounted Police (RCMP) and the Canadian Security Intelligence Service (CSIS) into allegations that Chinese state interests, organized crime, and influential corporate figures were reshaping Canada’s economic and political landscape.

The probe singled out major Chinese entities and players, including Hong Kong tycoon Li Ka-Shing, as well as companies Hutchison Whampoa Ltd. and CITIC, which are now under scrutiny in Washington for their influence over global port infrastructure like the Panama Canal.

Fresh scrutiny of Project Sidewinder underscores ongoing concerns about Chinese influence in Canada and the need for decisive action to address these threats.

The Sidewinder investigation, at the time led by former RCMP Chief Superintendent Garry Clement and immigration officer Brian McAdam, aimed to uncover Chinese-organized crime and potential infiltration of Canadian institutions.

A 1997 Sidewinder draft report estimated tycoon Li Ka-Shing, and other Chinese entrepreneurs, controlled significant portions of downtown Vancouver and other major urban centers. The draft suggested that CITIC, a major Chinese investment arm, had channeled substantial capital into Canada’s real estate, pulp, and energy sectors. It also warned that Beijing could leverage business ties for espionage, using companies owned by Chinese-Canadians to cover intelligence activities.

CSIS leadership disputed the draft’s conclusions and destroyed documentation related to the report, according to a 1999 review by the Security Intelligence Review Committee (SIRC). The destruction of records and contradictory positions taken by CSIS and the RCMP have fueled suspicions that credible national security threats may have been downplayed or dismissed. The Chrétien government prepared talking points to refute suggestions that the Prime Minister’s Office influenced CSIS’s handling of the Sidewinder file.

Garry Clement argues that the same issues he reported in the 1990s are now mirrored in U.S. warnings about Panama. U.S. officials, including Secretary of State Marco Rubio, have expressed concerns over Chinese state-backed commercial interests, particularly in global port infrastructure like the Panama Canal. Rubio urged Panama to make changes to reduce Chinese influence over the canal, following President Trump’s pledge to “retake the canal.”

In regards to the newly disclosed SIRC review records, Clement expressed surprise the RCMP did not know material had been destroyed. “That one kind of threw me for a loop because I was sure they must have known.”

The original version of this report is available at the publisher’s website here.