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Canada’s contractor problem

The Office of the Auditor General (OAG) has fired two employees and is investigating a third for failing to disclose secondary employment with the federal government. This breach of conduct comes amid heightened scrutiny over a $7.9 million contract awarded to a company owned by a public servant for work on the ArriveCan app.

According to statements from OAG spokesperson Natasha Leduc, the office discovered in June 2023 that three of its employees held undeclared contracts with the Government of Canada. Two employees were subsequently terminated in September and December after internal investigations, while the third case remains under review.

You can read more on the matter here.

What’s going on?

• ‘Sour Grapes’: Singapore’s Neighbors Aren’t Too Happy About This Exclusive Taylor Swift Deal (theDeepDive)

• Steven Mnuchin Says He Is Putting Together a Group to Buy TikTok (WSJ)

• Billy McFarland Flops On Raising Fyre Festival II Funds From Crypto (theDeepDive)

• X Removes Graphic Video Elon Musk Shared Over Rules Violation (BNN)

• Dollar Tree to Close Nearly 1,000 Stores Amid Disappointing Outlook (theDeepDive)

• Spacex confirms loss of starship at end of third test flight (Reuters)

• UK Housing Market Achieves ‘Soft Landing’ as Prices Stabilize (Bloomberg)

• Gaming Companies Secretly Partnering with FBI, DHS to Monitor Extremism —Report (theDeepDive)

• Wholesale inflation rose 0.6% in February, much more than expected (CNBC)

• Albemarle Plans to Auction Lithium With Aim of ‘Fair’ Valuation (Reuters)

What’s the latest?

• Canada’s TikTok Review: The Canadian federal government ordered a national security review of TikTok in September 2023 but did not disclose it publicly, citing confidentiality provisions. The review was based on the expansion of TikTok Canada, triggering enhanced scrutiny under the Investment Canada Act. This development follows the U.S. House of Representatives' passing of a bill to ban TikTok unless its Chinese owner sells its stake, driven by concerns about national security threats.

• Canadian Concerns: A new survey by the Angus Reid Institute reveals that the cost of living is the primary concern for residents in almost every province, with health care being the main issue in Quebec and New Brunswick. Housing also ranks high across the board, except in Saskatchewan where education takes third place. Overall, Canadians are dissatisfied with their provincial governments' handling of these issues, with only Nova Scotia showing improvement since 2019.

• O’Leary Wants TikTok: Kevin O'Leary has proposed purchasing TikTok's assets from ByteDance Ltd. and creating a new U.S. company amid concerns about data security and a potential ban on the platform. O'Leary emphasized the importance of addressing these issues and ensuring user safety by relocating servers to American soil and closing potential Chinese backdoors in the code.

• Empire Earnings: Empire Company, the parent company of Sobeys, Safeway, and FreshCo, reported a 8.5% increase in net earnings to $134.2 million compared to $125.7 million a year earlier in its latest quarterly report. Earnings per diluted share rose to 54 cents from 49 cents in the same period last year. However, adjusted net earnings declined to $153.1 million from $164.8 million in the previous year.

• SpaceX: SpaceX's Starship rocket, intended for lunar missions and beyond, achieved significant progress on its third test flight on Thursday by completing nearly the entire mission, including a low orbit cruise. However, the rocket was destroyed during atmospheric re-entry, SpaceX reported.

Uranium fundamentals remain strong

The stock market and stuff

• MicroStrategy To Issue Debt To Buy Bitcoin For A Second Time In Two Weeks (theDeepDive)

• Dick’s Sporting Goods soars past holiday quarter estimates, raises dividend 10% (CNBC)

• Patient Capital Management To Invest Up To 15% Of Book In Bitcoin ETF’s (theDeepDive)

• Shopify’s Surge Saw 85% of Canadian Stock Pickers Trail Targets (Bloomberg)

• US Orders Binance’s Changpeng Zhao to Surrender Passports (theDeepDive)

• Self-proclaimed bitcoin inventor is not 'Satoshi Nakamoto', UK judge rules (Reuters)

• ISIS Turns To Crypto To Fund Operations Globally (theDeepDive)

In the juniors

• Eloro Resources Crashes 19% After Discounted Financing To Fund Option Payments (theDeepDive)

• PharmaDrug: A Path To Safe Supply (theDeepDive)

• ALX Resources Begins Drill Testing Gibbons Creek Uranium Project (theDeepDive)

• Thacker Pass Receives Conditional $2.26 Billion Loan Commitment From US DOE (theDeepDive)

FULL DISCLOSURE: ATHA Energy is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of ATHA Energy. The author has been compensated to cover ATHA Energy on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.