Bill C-25 (Historical)

An Act to amend the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and the Income Tax Act and to make a consequential amendment to another Act

This enactment amends the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to enhance the client identification, record-keeping and reporting measures applicable to financial institutions and intermediaries. It establishes a registration regime for money services businesses and foreign exchange dealers and creates a new offence for not registering.
It allows the Financial Transactions and Reports Analysis Centre of Canada to disclose additional information to law enforcement and intelligence agencies, and to make disclosures to additional agencies.
It permits the Centre to exchange compliance-related information with its foreign counterparts and permits the Canada Border Services Agency to share information about the application of the cross-border currency reporting regime with its foreign counterparts. It also includes a consequential amendment to the Canada Border Services Agency Act.
It creates an administrative monetary penalty regime.
It amends the Income Tax Act to allow the Canada Revenue Agency to disclose to the Centre, the Royal Canadian Mounted Police and the Canadian Security Intelligence Service information about charities suspected of being involved in terrorist financing activities.

Proceeds of Crime (Money Laundering) and Terrorist Financing Act

[Steven Blaney, Conservative, Lévis—Bellechasse, QC]

Mr. Speaker, I wish to salute the work of our Minister of Finance, who is doing a great job for Canadian taxpayers. His excellent work helps them, while also allowing us to fight money laundering.

My question for the hon. member, who made an excellent speech, is: what does he see in terms of concrete impact in his riding, considering that there are contact points when it comes to money laundering?

[Rick Dykstra, Conservative, St. Catharines, ON]

Mr. Speaker, one of the things I certainly would like to do is talk a bit about the strength of our local economy, the strength of the St. Catharines community, and the strength of where we are going and what we need to do to become a more vibrant economic part of the Niagara region.

However, we are close to the border. I appreciate my colleague's question, because it points to exactly why we need to implement this legislation. It does not just work here in Ottawa. It works in the member's community, my community of St. Catharines and all of our communities.

[The Acting Speaker, Royal Galipeau]

It being 1:30 p.m., the House will now proceed to the consideration of private members' business as listed on today's order paper.

The House resumed from October 20 consideration of the motion that Bill C-25, An Act to amend the Proceeds of Crime (Money Laundering) and Terrorist Financing Act and the Income Tax Act and to make a consequential amendment to another Act, be read the second time and referred to a committee.

[Paul Szabo, Liberal, Mississauga South, ON]

Mr. Speaker, I am pleased to participate in the debate on Bill C-25.

A number of members, when they hear money laundering, probably will hearken back to discussions they have had on the subject, whether they be with regard to the underground economy or organized crime. As a matter of fact, I just received a report from the Ontario Construction Secretariat, which calculated that approximately $1.3 billion of federal and provincial government revenue was forgone as a consequence of the underground economic activity within the construction industry.

It is an issue which has been around for some time. A lot of people probably do not know how money laundering works. If someone is paid under the table, the money is received from somewhere but it is not recorded on the books because that money has to be paid out to someone else. It is not reported, nor is a T4 slip issued, nor is any kind of other payment indicated so that paying taxes on it can be avoided.

When 9/11 occurred all of a sudden this entire area, including organized crime, expanded into an enormous consideration. It led to the development of the Anti-terrorism Act. It also led to the creation of a significant variety of jurisdictional bodies and government bodies to look into the aspects of financing terrorists.

I wanted to give credit to the Senate of Canada, which we do not do often enough in this place. In May and June of this year, the Senate conducted a special review and provided an interim report on the subject matter now before us. The report is called, “Stemming the Flow of Illicit Money: A Priority for Canada”. It is a parliamentary review of the proceeds of crime, namely money laundering and the terrorist financing act.

Usually when I look at a report, I look at the beginning and the end of it to find out why the issue was raised, and so what. In looking at the introduction, there was a paragraph which I thought properly characterized the reason we were looking at this. It states:

While witnesses were not able to provide the Committee with consistent or precise estimates of the amount of money that is being laundered each year or the costs of money laundering and terrorist activity financing, we believe that it is probably in the tens of billions of dollars. The human and societal costs associated with money laundering and terrorist activity financing must also be remembered, since the costs are not simply economic. Clearly, the costs are significant, and we must ensure that Canada has the best possible anti-money laundering and anti-terrorist financing regime in place, consistent with the protection of privacy, for the sake of Canadians, the sake of citizens worldwide and the sake of legitimate commerce.

That one introductory paragraph really encapsulates many of the details which hon. members have spoken about in the debate thus far.

I said at the outset that I look at the beginning and the end of a report. I wanted to look quickly also at the conclusion. I can see from the list of witnesses that this touches a broad range of areas. Finance Canada, Justice Canada, and Public Safety and Emergency Preparedness Canada appeared before the committee. The Superintendent of Financial Institutions was involved, as was the Financial Transactions Reports Analysis Centre of Canada, commonly known as FINTRAC. In the speeches on this bill we are going to hear that name. It is an institution which deals with financial transactions and reports. The Royal Canadian Mounted Police were involved, as were the Canada Border Services Agency, the Office of the Privacy Commissioner, the Office of the Information Commissioner of Canada, the Canadian Bankers Association, the Certified General Accountants Association, the Canadian Life and Health Insurance Association, and the Federation of Law Societies of Canada.

Canadians should know that when a study is done in the House or in the Senate, we have the tools to call some of the most important people involved to provide some input. They will be able to tell us not only where we are and how things have evolved, but also how to respond because terrorists and those who finance terrorist activity are like viruses in that they tend to mutate. In order to be resistant, viruses will change into other things. They become moving targets. Terrorists and those who finance terrorist activity also have the tendency to continue to be moving targets. It is vital that we know the techniques and the tendencies that occur within terrorist financing. On behalf of the Parliament of Canada, the Senate has done a very important service by consulting and issuing its report.

I will get to some of the recommendations that were made, but I want to read into the record the Senate's conclusion in this excellent report. Some members may want to include it in their householders. This is a very good report. It lets Canadians know that these are significantly important issues for parliamentarians to deal with on their behalf. It says:

As a global partner in making the world safer and more secure, and as a member of various international fora, Canada's anti-money laundering and anti-terrorist financing regime must meet not only our domestic needs but also reasonable international obligations. Crimes that underlie money laundering and terrorist activity financing--including fraud, embezzlement, drug trafficking, and trade in arms--have harmful human, societal and economic effects, with domestic and international consequences.

The Committee believes that Canada should be an example worldwide--particularly as Canada assumed the presidency of the Financial Action Task Force on Money Laundering in July 2006 and as we undergo a mutual evaluation review by the Task Force in 2007--

It says also:

This regime must respect several principles: the appropriate entities and individuals must be required to report; the appropriate types and values of financial transactions must be reported; and the appropriate balance must continue to exist between providing law enforcement and other agencies with the information they need to do their jobs effectively and efficiently on the one hand, and ensuring that the privacy rights of Canadians are protected on the other hand.

Members have heard this before. When do privacy issues relating to Canadians have to be balanced with our need to deal with problems like terrorist financing? Places have been identified where it can cause some difficulties. The Senate committee made some recommendations in its report to deal with this balancing act that they have to go through. These recommendations are not in the report itself, but are on the website. I will mention some of the key recommendations here.

The first recommendation was the introduction of a reporting requirement for dealers of precious metals, stones and jewellery when transactions are greater than $10,000. The RCMP pointed out that as other avenues become less attractive for money laundering, avenues such as precious metals, stones and jewellery are becoming more attractive. We have always been addressing cash, but other commodities of value are becoming part of this whole activity.

The second recommendation says that there has to be an increase in two-way information sharing. We have heard this often with regard to other areas, even with regard to security on Parliament Hill between the Senate and the House of Commons. In this regard, the committee suggested that FINTRAC should not only be able to disclose more information to government agencies such as the RCMP, but also should provide feedback to the disclosing entities about the usefulness of the information they send to FINTRAC. This was also a recommendation in the 2004 Auditor General's report.

Another recommendation of the Senate committee was that white label ATM machines work with law enforcement and the industry to address the potential money laundering risks associated with white label ATMs, i.e. machines that are not owned or operated by banks. The concerns with these ATMs arise from the possibility for owners or operators to self-load the machine with cash. This is an opportunity for laundering money.

The fourth recommendation was that FINTRAC only disclose Canadians' personal information to authorities in countries which have privacy legislation that is consistent with the Privacy Act in Canada. We are looking at almost like a reciprocity or the same or similar protections in countries that we deal with.

Recommendation 5 was that we increase the ability of Parliament to scrutinize FINTRAC. Currently it is responsible through the Minister of Finance and delivers an annual report in the fall. This is too important to wait for an annual report. We should have the scrutiny process going on more frequently to engage Parliament more fully.

I would think that gives a pretty good idea of the issue we are dealing with. This particular bill actually had its genesis in the last Parliament. The Liberal government started to put this together and now it is before us. Of course, I do not think there is any question in this place that the bill is a significant bill that should get prompt scrutiny by the House of Commons and in the other place so that these laws are in place and we can do the job properly.

In looking at some of the details, I note that Canada's financial intelligence agency reported $5 billion worth of suspected money laundering and financing of terrorist activities last year. That total is more than double what it was a year earlier and $256 million of that was tied to suspected terrorist activities. We have a significant growth. That is why it is important that we deal with this quickly. This is becoming more and more sophisticated. It is a moving target. Our legislation and the tools available to our financial institutions, our government agencies, and the policing authorities and so on, have to be as flexible as possible, again keeping that balance or that respect for the privacy rights of Canadians.

Of the 143 reports FINTRAC made to law enforcement agencies, there have been no convictions. The Auditor General in 2004 suggested that allowing more information to flow to law enforcement authorities would help in investigating these suspicious activities, and the bill before us, Bill C-25, provides those powers. Members probably will be a little concerned to note that there were 143 reports by FINTRAC of suspicious activity and not one conviction.

The bill before us, Bill C-25, has seven broad objectives. I am not going to get a chance to go into all of them, but perhaps I can highlight them.

The first is to enhance client identification and record keeping measures for financial institutions and intermediaries.

The second is the reporting of attempted suspicious transactions. Just to amplify on that, I will note that all reporting entities currently report suspicious transactions, but they would be required to report suspicious attempted transactions. There is a subtle difference, but the experts who were before the committee seem to think that this will give more latitude because it will provide more information.

The third area is the registration regime for money services businesses, referred to as MSBs, and foreign exchange dealers. The proposed amendments would create a federal registration system for individuals and entities engaged in money services businesses or foreign exchange.

The fourth area in the bill is enhancing the information contained in the FINTRAC disclosures. This was recommended in 2004 by the Auditor General. At the urging of law enforcement agencies, the proposed amendments enhance the information FINTRAC can disclose to law enforcement and security agencies on suspicions of money laundering or terrorist financing.

The fifth area relates to creating an administrative and monetary penalties regime. Currently the act only allows for serious criminal penalties if the act is contravened. This was also a recommendation of the Auditor General.

The sixth area relates to reintroducing requirements for legal counsel. The government is working with the legal profession, including notaries in Quebec, to finalize requirements for client identification, record keeping and internal compliance procedures for legal counsel when they act as financial intermediaries. This bill removes the obligation for legal counsel to file suspicious transaction reports or other prescribed transaction reports.

The seventh area relates to expanding the sharing of information between federal departments and agencies, including the Canada Border Services Agency, the RCMP, et cetera.

Having reviewed these, it is the view of those who have prepared the bill and who are speaking today on behalf of the bill that banks and financial institutions should be supportive of this bill. It does not encroach on or somehow provide any significant burden that will not help us all, as vested stakeholders, with the opportunity to protect assets and indeed to protect Canadians. The Liberal caucus certainly will be supporting Bill C-25 when the vote takes place at second reading and hopes that it will receive prompt activity.

I will close by reiterating a couple of points about the concerns Liberals have with regard to the bill, which I believe can be addressed by the committee. The first is whether the scope of the bill should be broadened to include not only cash but other commodities like jewellery, diamonds, et cetera. The bill does not provide that. The Senate committee did, however, recommend this. I believe it probably should be seriously considered by the finance committee when it has the opportunity to address Bill C-25. It should take to heart the testimony before the Senate committee and of course the substance of the recommendation it made in regard to non-cash commodities.

The second issue of concern is that of solicitor-client privilege and whether the invocation of that privilege has not been so strong in the bill that we are not availing ourselves of information that the legal profession has and which could help society track down terrorists and money launderers. This is a very complicated area. It is an area in which I do not have expertise, but as we know, parliamentarians cannot be experts in all things, although we certainly have the tools and resources to bring them forward through expert witnesses in committee, who can advise us on whether these are the kinds of things we can do without compromising the privacy principles we have embraced in our privacy legislation.

Finally, probably the most fundamental item of concern is the balance between, on the one hand, the need to get tough and track down terrorists and money launderers, and, on the other hand, the need to protect the rights of the individual and privacy. I believe the balance has been undone by this bill and that the defence of privacy issues will need to be correspondingly strengthened.

Let me repeat that. It appears that the bill may have sided a little too heavily on getting after terrorist financing, and it may have either inadvertent or unintended consequences where in fact privacy principles may have been pushed to the point where it may be inappropriate. We have to examine that much more carefully. It is an important principle and I hope all hon. members will agree. We have to make sure that this balance is appropriate. We have to make sure that we use all the tools and resources we have and the experts we have to come before the parliamentary committee to give us the information we need so that, in accordance with our prayer, we make good laws and wise decisions.

[Pat Martin, NDP, Winnipeg Centre, MB]

Mr. Speaker, I thank my colleague from Mississauga South for sharing with us his views on Bill C-25 and am interested in the summation of his speech, wherein he made reference to the idea that we should explore the concept that it should not be just the cash or bank accounts that may have been developed by ill gotten gains that we should be looking at, but perhaps we should be looking at other assets as well.

I would like to share with him that I believe strongly that we, the government and the law enforcement agencies, should in fact be able to seize other ill-gotten gains if it is in the context of this bill, which says it can be done if the person has been convicted and is known to be a member of an illegal or criminal organization. In those circumstances, if they happen to have what is ostentatious wealth, I suppose, and if they cannot show any proof of where those assets came from, why should we not be able to seize them and put the reverse onus on that individual to prove to us that the assets were in fact purchased through work?

I do not believe that is an infringement on anybody's civil rights. It is simply asking the question. If a person is living in a million-dollar mansion, has had no visible means of income for the last 20 years and is known to be associated with the Hell's Angels, then that person should show us where he got the money to buy that mansion. If it was from some rich uncle who died and left the money to the person, then he should show us the will. It should not be that difficult. We would take the person's word for it. But why should we not be able to seize that mansion, sell it for a million dollars, put that money back into law enforcement and use the resources to bust more criminals?

[Paul Szabo, Liberal, Mississauga South, ON]

Mr. Speaker, I am pretty sure that in one of those television programs I learned a lot about circumstantial evidence, and it does make cases weak. I would suspect that because there have been recommendations made with regard to the penalties regime, these are some of the important points. We are at second reading.

This is to agree in principle. I think there is agreement in principle of the House with regard to making sure that our laws are as appropriate as possible given what we know today, but that they allow us to keep it growing or developing. Committee is where these kinds of items can be discussed. We want to be sure that we do not create draconian legislation. It should be just and fair.

The member may be prepared to make such representations in committee about the reverse onus, which is that, unless someone can prove to the contrary, we are going to assume that everything the person and his or her family have is a result of that person's illegal activity. I think that is something the lawyers may want to have some discussions about.

[Pat Martin, NDP, Winnipeg Centre, MB]

Mr. Speaker, I simply would ask my colleague from Mississauga South if he does not agree with the fundamental principle that we have to send a message that crime does not pay. The frustration that law enforcement officers have is that, in the current situation, crime does pay. Law enforcement officers know full well that an awful lot of people who are up to no good have the luxury homes, the speedboats, the luxury cars in their driveway, the tricked-out Escalades. A lot of people have really good reason to believe, just short of meeting the burden of proof, that these are the proceeds of crime.

I do not think that reversing the onus is a bad idea in the narrow scope of this bill and its two caveats, which are that if the person has been convicted of a crime and if the person is a known member of a criminal organization. Is there something wrong with saying that crime does not pay? Is there something wrong with saying that we are going to seize all the toys, sell them and use the money to put more cops on the street to bust the criminal and his friends in the future? I think it is a popular idea that we should be able to embrace without too much reservation.

[Paul Szabo, Liberal, Mississauga South, ON]

Mr. Speaker, this raises a lot of interesting points. The rule of law has to be respected. The rights and freedoms of the individual must also be respected. We have to be careful and look at those things. Privacy has to be respected.

I do not disagree with the thirst that the member has to get anyone who is anywhere near to it, to take them and expose them totally and make an example of them. I am not sure that the retribution part is a good starting point for us because there are some very important fundamentals.

The example I would give to the member if he would like to apply that would be, for instance, the underground economy in the construction industry in Ontario. We know that in Ontario the Ontario construction secretariat just reported $1.3 billion of lost revenue to the federal and provincial governments for all kinds of things. We know it is there, but there is a very careful approach being taken, I believe, not to paint all with the same brush, and not to put people out of business and to destroy jobs and people's security.

There are sometimes some unintended consequences, so we have to be extremely careful. That is why I want to limit my comments and my reaction to this. The point is going to be raised in committee and we should seek the appropriate responses from those who are experts in these areas.

[Brian Murphy, Liberal, Moncton—Riverview—Dieppe, NB]

Mr. Speaker, in my province of New Brunswick there is a proceeds of crime unit made up of a prosecutor and a member of the RCMP. It is adequately resourced but with further resources, money laundering and the proceeds of crime extrapolation of money back to the community could be better had.

I wonder if the member would have a comment on the government's general disregard for resourcing many of the bills and statements it makes under the hyperbole of a just and fair society. Many of the bills introduced by the government, and this may be an example of one, sound great or good, but we do not see the ledger side of it.

I know the member for Mississauga South is a money guy, an accountant, and looks at the p's and q's of finances. Is the money here to back up the claims of the government that in this bill in particular, but in other justice bills, that it is providing a more just and safer society?

[Paul Szabo, Liberal, Mississauga South, ON]

Mr. Speaker, the point is well taken. I have often heard the argument that should policing authorities seize drugs, cash, property or whatever, that those resources should be available to them, so that they can continue to do their job.

I also understand the other argument which is that they are organizations, institutions or authorities which have funding available. I would be a little concerned if those who went out hawkishly and started going after all of the big ticket items, they may not be looking at those that are not so big and then all of a sudden someone is going to have a greater share of the resources, when in fact our policing ability in enforcing the law and protecting Canadians is at all levels of jurisdiction right across the country.

There is an important balance here, but I do understand and agree that in principle, the proceeds of crime should be in the pool of resources that are available to all levels of government where they enforce the laws.

As the member knows, we as legislators at the federal level may establish the Criminal Code in Canada, but it is up to the provincial and regional governments, and to some extent other municipal type policing authorities, who have to apply those laws. So it is not simply the RCMP. It is a combination of all of the policing authorities across the country because they are there to provide support, protection and service to all Canadians regardless of where they live.

I appreciate the question, but I would hesitate to say that whoever finds the criminal gets the money. It may not well serve the system.

[Chris Warkentin, Conservative, Peace River, AB]

Mr. Speaker, I appreciate the opportunity to speak to Bill C-25 at second reading.

The bill proposes to update legislation that will help fight those who would use our financial system to launder money and then divert that money to fund terrorist activities.

We have, unfortunately, seen so many horrible examples of how far terrorists can reach and how close to home they can get. We saw what happened in New York City, London, Madrid, Dubai and Toronto.

We were all shocked this past June when our RCMP, CSIS, the OPP and other Canadian police forces combined their forces to arrest a number of alleged members of a terrorist cell here in the greater Toronto area. The accused are alleged to have been planning a series of major terrorist assaults on targets in southern Ontario, targets that are alleged to have included the House in which we now sit.

Activities like this threaten our safety, our security and very much our own way of life. Canada is a country on the move. We are a country with a G-7 leading economy and under this government a steadfast commitment to meeting our international obligations. We take our global responsibilities very seriously. We know that terrorists need money and that is why we are introducing this bill to make it harder for them to get it.

Canada's financial sector is internationally recognized as stable, safe and sound. Our Minister of Finance knows that it is his responsibility to ensure that it continues to stay that way. That is why we have introduced this bill. The amendments it contains would strengthen the Proceeds of Crime (Money Laundering) and Terrorist Financing Act to ensure that Canada continues to be a global player in combating organized crime and terrorist financing.

This year Canada assumed the presidency of the financial action task force, the intergovernmental body that develops and promotes national and international standards to combat money laundering and terrorist financing.

Holding the FATF presidency is another example of Canada's commitment to national and international security. The financial action task force plays a critical role in stopping terrorist financing activity and money laundering by promoting policies designed to starve these organizations from the funds they use to fuel them.

Terrorist and criminal organizations are becoming increasingly sophisticated in their attempt to move, conceal and launder funds through financial systems and other means. Despite the safeguards in place, terrorist organized crime and other criminal elements continue to find ways to take advantage of our financial system. That is why we are debating Bill C-25 today. The proposed amendments in the bill would improve the government's ability to act quickly and decisively against potential abuses of the Canadian financial sector.

I can assure the House that Canada's new government is being relentless in its efforts to combat money laundering and terrorism financing. One of the tools that we are using is FINTRAC, a system that is widely considered to have leading edge, analytical and technological capacity. This agency receives, analyzes, assesses and discloses financial intelligence on suspected money laundering, terrorist financing and threats to the security of Canada.

Since FINTRAC began making disclosures in early 2002, it has provided law enforcement and intelligent agencies, key financial intelligence on money laundering, the financing of terrorist activities, and the threats to Canada's security by analyzing financial transactions, reports and other sources of information.

FINTRAC recently released its annual report and revealed that it has tipped off law enforcement in Canada and the Canadian Security Intelligence Service to more than $5 billion in suspicious deals last year. It is more than double the figure of the year before. FINTRAC has only been in existence for two years, but it is obvious that its work is paying off.

FINTRAC is a member of the Egmont Group of Financial Intelligence Units whose purpose is to enhance cooperation and information exchange in support of the anti-money laundering and terrorist financing regimes in member countries.

The establishment of the Egmont secretariat in Toronto is yet another example of Canada's commitment to national and international security, collaborative solutions to global threats, and the need for the international cooperation and institutions.

Since taking office, Canada's new government has made safety and security of our citizens, and of global citizens, our priority.

In our first budget in May the Minister of Finance announced significant new funding to enhance the work being done by Canada's financial intelligence unit, the financial transactions and reports analysis centre in Canada, the Royal Canadian Mounted Police, the Canadian Border Security Agency and the Department of Justice.

Bill C-25 would build on these measures and make Canada's overall regime consistent with international standards. The proposed measures in this bill would make Canada's anti-money laundering and anti-terrorist financing regime more effective by making it consistent with the new FATF standards.

Canada has committed to implementing the 40 FATF recommendations on money laundering as well as nine special recommendations on terrorist financing. The hon. members will know that the interim report of the Standing Senate Committee on Banking, Trade and Commerce is calling for tougher measures to deal with money laundering and terrorist financing.

Bill C-25 responds to the Senate committee recommendations. The proposed measures in Bill C-25 would respond to recommendations made in the 2004 Auditor General's report and the 2004 Treasury Board evaluation of the regime.

One of the most important amendments proposed in Bill C-25 is a proposal to enhance client identification and record-keeping measures for financial institutions and intermediaries.

Under this legislation, these institutions would be required to undertake enhanced monitoring of high-risk situations. For example, businesses such as banks, insurance companies, securities dealers and money services would be required to identify and monitor the transactions of foreign nationals who hold prominent positions, along with their immediate families.

Amendments in Bill C-25 would require the reporting of attempted suspicious transactions to FINTRAC. The bill would create a registration regime for money services businesses.

As we know, these businesses are largely unregulated. With the passage of the amendments in this bill, FINTRAC would act as a registrar and would maintain a public list of registered money services businesses and foreign exchange dealers.

As recommended in the 2004 Auditor General's report, and at the request of law enforcement, this bill would enhance the information contained in FINTRAC disclosures to law enforcement and security agencies on suspicions of money laundering and terrorist financing. This would increase the value of FINTRAC disclosures, ultimately leading to more investigations and eventual prosecutions.

Bill C-25 proposes to strengthen penalties in order to allow FINTRAC to better enforce compliance with the Proceeds of Crime (Money Laundering) and Terrorist Financing Act.

While current legislation only allows for criminal penalties if the act is contravened, Bill C-25 proposes to create an administrative and monetary penalty system where fines could be applied for lesser contraventions of the legislation. Another component of the regime is the reintroduction of client identification and the record-keeping requirements for legal counsel.

The government is working with the legal profession, including notaries in Quebec, to finalize the details of these requirements and to ensure adequate compliance and enforcement. Information sharing is crucial in the coordinated fight against money laundering and terrorist financing.

Bill C-25 proposes to expand FINTRAC's ability to share information with the Canada Border Services Agency, the Canada Revenue Agency and the Communications Security Establishment. In addition, FINTRAC will now be able to receive terrorist property reports under the United Nations Act regulations.

All of these steps and all of our efforts add up to a better and a safer world for all of us, a world where our financial systems are used as they were intended, to create better opportunities for our citizens and a greater prosperity for our nations.

Criminals do not stand still, so neither can we. As they adapt, we must adapt and as we adapt they do adapt. We must be vigilant and relentless in our pursuit of ideas, innovations and ways to cut them off to make it harder for them to finance their activities.

Through more funds, improved legislation and a relentless resolve to shoulder our global responsibilities, Canada is serving notice that we will put these criminals out of business at every chance we get. I urge all hon. members to accord this bill the quick passage that it deserves.

[Christian Ouellet, Bloc, Brome—Missisquoi, QC]

Mr. Speaker, I find the point of view of my colleague from Burlington to be very interesting. I have a question for him. I gather he thinks that information sharing is the best way to track terrorists' money. He was talking mostly about money laundering.

I would like him to explain how he plans to stop money from going through the tax haven? We can talk about a single tax haven since the former government kept one. How is he really going to eliminate this money that comes from tax havens or the tax haven? How will this legislation stop the money that passes through in containers?

[Chris Warkentin, Conservative, Peace River, AB]

Mr. Speaker, there is no question that information sharing will lead to better cooperation among different agencies to improve the tracking of alleged criminal activity through the laundering of money. We also need to look at the offshore involvement in which some of these people may be involved.

However, we could be doing many things here at home, things we need to get serious about. The legislation would go a long distance in addressing the issues surrounding the laundering of money within our borders. Much of the money that is stored offshore at some point comes into this country. There are tracking measures. The legislation begins to address those issues.

[Pat Martin, NDP, Winnipeg Centre, MB]

Mr. Speaker, I would like my colleague to go a little further in his views on Bill C-25 than just the speech that he was given to read, which I think represents his party's views.

I would appreciate his own personal views on this idea. In the last Parliament and, in fact, in the Parliament prior to that, a private member's bill was floating around dealing with the seizing of assets that were the proceeds of crime. I believe it was under the name of my colleague from the Bloc the last time, Richard Marceau, and prior to that it was a Canadian Alliance member, Paul Forseth.

Those were good ideas in that they would have allowed the government to not only seize bank accounts full of ill-gotten gains, but seize the actual proceeds of crime that may have bought all the toys, the trappings of crime that we see a lot of the high profile criminals use.

Would the member agree that Bill C-25 should be extended to allow this concept, that where it can be clearly demonstrated that the person is a member of a criminal organization, such as the Hell's Angels, Hezbollah, whatever is on that list of criminal organizations, and the person has been convicted of an offence, why should we not be able to seize their assets and put the reverse onus on them that they should need to prove that they did not get it through the purchase of ill-gotten gains, that they had a legitimate means of income? Would that not be a good idea?