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Former Montreal police chief Jacques Duchesneau, the man hired to head an anti-collusion squad in Quebec to fight irregularities in the awarding of government road-building contracts, now finds himself at the centre of one of the numerous scandals that have rocked Premier Jean Charest's government in recent months.

Mr. Duchesneau, who some called Mr. Clean, temporarily stepped down from the anti-collusion squad in Quebec's Transport Department on Thursday after allegations that he violated provincial election laws during his unsuccessful bid in 1998 to become the mayor of Montreal.

Mr. Duchesneau denied a TVA news report on Thursday that he camouflaged an alleged illegal loan to his campaign during the mayoralty race. Gilles Prud'homme, a campaign organizer for Mr. Duchesneau's Nouveau Montréal party, alleged to TVA that he was asked to act as a front to help conceal a $10,000 loan to the party.

"I refute the allegations against me. In fact, I'm offended by them," Mr. Duchesneau said in a statement that he read at a news conference. "I cannot accept to have my reputation tarnished in this way. The information conveyed by certain media organizations was wrongly reported and the facts wrongly interpreted."

After meeting earlier in the day with Transport Minister Sam Hamad, Mr. Duchesneau decided to step aside temporarily pending the conclusion of an investigation by the province's Chief Electoral Officer. "This is not an admission of any guilt,' he insisted.

Mr. Duchesneau refused to respond to queries from the media and quickly left the room, leaving a trail of reporters and unanswered questions.

Moments after Mr. Duchesneau announced his decision, the Charest government was struck with another piece of bad news. Marc Gascon, the president of the Union of Quebec Municipalities, which represents the province's major cities, also stepped aside.

Mr. Gascon, who is mayor of St-Jérôme, located just east of Montreal, was alleged to have received personal favours from a construction entrepreneur who got several municipal contracts. The Ministry of Municipal Affairs has been investigating the awarding of contracts by the city.

The ministry was also investigating the Mayor of Laval, Gilles Vaillancourt, who on Tuesday denied media reports that he offered illegal cash donations to candidates in provincial by-elections in 1993 and 2002. The revelations fuelled speculation that corruption had overtaken Laval municipal politics.

Thursday's incidents capped a week of revelations that have undermined the Charest government's refusal to call a full public inquiry into the province's construction industry, the awarding of government contracts and the financing of political parties.

On Thursday, the Parti Québécois announced it will table a no-confidence motion in the National Assembly next Wednesday.

"Quebec is paralyzed, people are angry and they are truly fed up," PQ Leader Pauline Marois said at a news conference. " If Mr. Charest revises his position and decides to hold a public inquiry, only then will we withdraw the motion."

The vote may play havoc with the Liberals, who have a majority of only three seats in the National Assembly. Mr. Charest is planning an official visit to France next week along with two senior ministers. However, he may have to change his plans, because the government could fall in their absence if all the opposition members support the PQ motion.

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