The Ontario Court of Appeal has overturned a landmark 2004 court ruling that recognized journalists have a broad right to protect confidential sources, even in the context of police investigations.

Today’s decision resurrects a search warrant giving the Royal Canadian Mounted Police the authority to seize a document from a National Post reporter that went to the heart of the “Shawinigate” scandal involving former Prime Minister Jean Chretien.

The court ordered the Post’s editor-in-chief to produce the document and envelope to the Crown.

The envelope held by reporter Andrew McIntosh contained an apparently forged loan document inside, purporting to show the owner of a Quebec golf club owed money to Chretien’s holding company and planned to repay it with a loan from the Business Development Bank of Canada.

Chretien admitted lobbying the bank president for loan approval.

In a 2004 decision, Ontario Superior Court justice Mary Lou Benotto quashed the warrant, calling the proposed search unreasonable and a violation of the media’s constitutionally protected right to freedom of expression and interfered with journalists’ rights to protect sources.

She called them “essential” to the functioning of the media in a democracy.

Without them, many important stories of public interest wouldn’t have been published, she said, citing everything from Watergate to reports on hazardous waste dumping.

“When viewed at a broad level, we agree with the reviewing judge that the relationship between a journalist and a confidential source should be diligently fostered for the public good,” the court said in today’s judgment that was jointly authored by Justices John Laskin and Janet Simmons.

“We do not diminish the press’ important role in uncovering and reporting an alleged wrongdoing,” they said.

“But in our society it is the police who are charged with the crucial role of investigating and prosecuting crime.

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