Bill C-22

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	PART 4
	REGULATIONS
Regulations	73. (1) The Governor in Council may, on the recommendation of the Minister, make any regulations that the Governor in Council considers necessary for carrying out the purposes and provisions of this Act, including regulations
	(a) describing businesses, professions and activities for the purpose of paragraph 5(i);
	(b) describing businesses and professions for the purpose of paragraph 5(j), and the activities to which that paragraph applies;
	(c) describing the activities to which paragraph 5(l) applies;
	(d) specifying the types of records to be kept and retained under section 6 and the information to be included in them;
	(e) specifying the period for which, and the methods by which, records referred to in paragraph (d) are to be retained;
	(f) specifying measures that persons or entities are to take to ascertain the identity of their clients, if the transaction is one in respect of which Part 1 applies;
	(g) defining ``casinos'' and ``monetary instruments'';
	(h) specifying the form and manner of reporting currency and monetary instruments for the purpose of subsection 12(1), and the information to be contained in the form, and specifying the period within which the reporting must be made; and
	(i) prescribing anything else that by this Act is to be prescribed.
Publication of proposed regulations	(2) A copy of each regulation that the Governor in Council proposes to make under subsection (1) shall be published in the Canada Gazette at least 90 days before its proposed effective date, and a reasonable opportunity shall be given to interested persons to make representations to the Minister with respect to the proposed regulation.
Publication of changes	(3) When a regulation proposed to be made under this Part is changed as a result of representations made following its publication, the regulation as made shall be published in the Canada Gazette at least 30 days before its effective date.
	PART 5
	OFFENCES AND PUNISHMENT
General offences	74. Every person or entity that knowingly contravenes section 6, subsection 12(4) or 36(1), section 37, subsection 55(1) or (2), section 57 or subsection 62(2) or 64(3) or the regulations is guilty of an offence and liable
	(a) on summary conviction, to a fine of not more than $50,000 or to imprisonment for a term of not more than six months, or to both; or
	(b) on conviction on indictment, to a fine of not more than $500,000 or to imprisonment for a term of not more than five years, or to both.
Reporting - section 7	75. (1) Every person or entity that knowingly contravenes section 7 is guilty of an offence and liable
	(a) on summary conviction,
	(i) for a first offence, to a fine of not more than $500,000 or to imprisonment for a term of not more than six months, or to both, and
	(ii) for a subsequent offence, to a fine of not more than $1,000,000 or to imprisonment for a term of not more than one year, or to both; or
	(b) on conviction on indictment, to a fine of not more than $2,000,000 or to imprisonment for a term of not more than five years, or to both.
Defence for employees	(2) No employee of a person or an entity shall be convicted of an offence under subsection (1) in respect of a transaction that they reported to their superior.
Disclosure	76. Every person or entity that contravenes section 8
	(a) is guilty of an offence punishable on summary conviction; or
	(b) is guilty of an indictable offence and liable to imprisonment for a term of not more than two years.
Reporting - section 9	77. (1) Every person or entity that contravenes subsection 9(1) or (3) is guilty of an offence and liable on summary conviction to a fine of not more than $500,000 for a first offence and of not more than $1,000,000 for each subsequent offence.
Due diligence defence	(2) No person or entity shall be convicted of an offence under subsection (1) if they exercised all due diligence to prevent its commission.
Liability of officers and directors	78. If a person or an entity commits an offence under this Act, any officer, director or agent of the person or entity who directed, authorized, assented to, acquiesced in or participated in its commission is a party to and guilty of the offence and liable on conviction to the punishment provided for the offence, whether or not the person or entity has been prosecuted or convicted.
Offence by employee or agent	79. In a prosecution for an offence under section 75 or 77,
	(a) it is sufficient proof of the offence to establish that it was committed by an employee or agent of the accused, whether or not the employee or agent is identified or has been prosecuted for the offence; and
	(b) no person shall be found guilty of the offence if they establish that they exercised all due diligence to prevent its commission.
Exemption	80. A peace officer or a person acting under the direction of a peace officer is not guilty of an offence under any of sections 74 to 77 if the peace officer or person does any of the things mentioned in those sections for the purpose of investigating a money laundering offence.
Time limitation	81. Proceedings under paragraph 74(a), 75(1)(a) or 76(a) or subsection 77(1) may be instituted within, but not after, one year after the time when the subject-matter of the proceedings arose.
Venue	82. A complaint or information in respect of an offence under this Act may be heard, tried or determined by a court if the accused is resident or carrying on business within the territorial jurisdiction of the court although the subject-matter of the complaint or information did not arise in that territorial jurisdiction.
	PART 6
	TRANSITIONAL PROVISION, CONSEQUENTIAL AND CONDITIONAL AMENDMENTS, REPEAL AND COMING INTO FORCE
	Transitional Provision
Regulations remain in effect	83. Every regulation made under the Proceeds of Crime (money laundering) Act, chapter 26 of the Statutes of Canada, 1991, that is in force immediately before the coming into force of this Act shall be deemed to have been made under this Act and shall remain in force until it is repealed or amended pursuant to this Act.
	Consequential Amendments
R.S., c. A-1	Access to Information Act
	*84. Schedule I to the Access to Information Act* is amended by adding the following in alphabetical order under the heading ``Other Government Institutions'':**
	Financial Transactions and Reports Analysis Centre of Canada
	Centre d'analyse des opérations et déclarations financières du Canada
	85. Schedule II to the Act is amended by adding, in alphabetical order, a reference to
	Proceeds of Crime (Money Laundering) Act
	Loi sur le recyclage des produits de la criminalité
	and a corresponding reference to ``paragraphs 55(1)(a), (d) and (e)''.
R.S., c. C-10	Canada Post Corporation Act
R.S., c. 1 (2nd Supp.), s. 170(2)	86. *Subsection 40(3) of the Canada Post Corporation Act* is replaced by the following:**
Liability to seizure	(3) Notwithstanding any other Act or law, but subject to this Act and the regulations and to the Canadian Security Intelligence Service Act, the Customs Act and the Proceeds of Crime (Money Laundering) Act , nothing in the course of post is liable to demand, seizure, detention or retention .
R.S., c. 1 (2nd Supp.), s. 171	87. Subsections 42(2) to (3) of the Act are replaced by the following:
Mail in the course of post	(2) All mail that is submitted to a customs officer under this section remains, for the purposes of this Act, in the course of post unless it is seized under the Customs Act or seized or retained under the Proceeds of Crime (Money Laundering) Act .
Notice of seizure or detention	(2.1) If mail is seized or detained under the Customs Act or seized or retained under the Proceeds of Crime (Money Laundering) Act , notice of the seizure, detention or retention shall be given in writing to the Corporation within sixty days after the seizure, detention or retention unless the mail has, before the expiry of that time, been delivered to the addressee of the mail or returned to the Corporation.
Mail subject to customs laws	(3) A customs officer shall deal with all mail submitted to the officer under this section in accordance with the laws relating to customs and the importation of goods or currency and monetary instruments and, subject to those laws, shall deliver that mail to its addressee, on payment of any postage due on it , or shall return it to the Corporation.
R.S., c. 1 (2nd Supp.), s. 172(1)	88. Section 48 of the Act is replaced by the following:
Opening mail	48. Every person commits an offence who, except where expressly authorized by or under this Act, the Customs Act or the Proceeds of Crime (Money Laundering) Act , knowingly opens, keeps, secretes, delays or detains, or permits to be opened, kept, secreted, delayed or detained, any mail bag or mail or any receptacle or device authorized by the Corporation for the posting of mail.
R.S., c. C-46	Criminal Code
R.S., c. 27 (1st Supp.), s. 71	89. *Subsection 488.1(11) of the Criminal Code* is replaced by the following:**
Exception	(11) This section does not apply in circumstances where a claim of solicitor-client privilege may be made under the Income Tax Act or under the Proceeds of Crime (Money Laundering) Act .
R.S., c. P-21	Privacy Act
	*90. The schedule to the Privacy Act* is amended by adding the following in alphabetical order under the heading ``Other Government Institutions'':**
	Financial Transactions and Reports Analysis Centre of Canada
	Centre d'analyse des opérations et déclarations financières du Canada
R.S., c. P-35	Public Service Staff Relations Act
	*91. Part II of Schedule I to the Public Service Staff Relations Act* is amended by adding the following in alphabetical order:**
	Financial Transactions and Reports Analysis Centre of Canada
	Centre d'analyse des opérations et déclarations financières du Canada
1993, c. 37	Seized Property Management Act
	92. Paragraph 3(b) of the Seized Property Management Act is amended by striking out the word ``or'' at the end of subparagraph (ii), by adding the word ``or'' at the end of subparagraph (iii) and by adding the following after subparagraph (iii):
	(iv) forfeited under subsection 14(5), seized under subsection 18(1) or paid under subsection 18(2) of the Proceeds of Crime (Money Laundering) Act;
	93. Subsection 4(1) of the Act is amended by striking out the word ``or'' at the end of paragraph (b) and by adding the following after paragraph (b):
	(b.1) forfeited under subsection 14(5), seized under paragraph 18(1) or paid under subsection 18(2) of the Proceeds of Crime (Money Laundering) Act; or
1995, c. 22, s. 18 (Sch. IV, item 11)	94. Paragraph 9(e) of the Act is replaced by the following:
	(e) notwithstanding subsection 734.4(2) of the Criminal Code and sections 125 and 126 of the Excise Act, if a fine, or any portion of a fine , imposed under subsection 462.37(3) of the Criminal Code in relation to proceedings commenced at the instance of the Government of Canada is paid or recovered or if a penalty is paid under subsection 18(2) of the Proceeds of Crime (Money Laundering) Act , share the amount of the fine or penalty in accordance with this Act, the regulations and any agreement entered into under section 11;
1997, c. 23, s. 23	95. Section 10 of the Act is renumbered as subsection 10(1) and is amended by adding the following:
Proceeds of Crime (Money Laundering) Act	(2) If the participation of a law enforcement agency in Canada has led to the forfeiture to Her Majesty of property under the Proceeds of Crime (Money Laundering) Act or the payment of a penalty under subsection 18(2) of that Act, the Minister shall, in accordance with the regulations, share the proceeds of disposition of that forfeited property or the penalty, as the case may be.
1997, c. 23, s. 24	96. Section 11 of the Act is replaced by the following:
Sharing outside Canada	11. The Attorney General may, with the approval of the Governor in Council and in accordance with the regulations, enter into an agreement with the government of any foreign state respecting the reciprocal sharing of
	(a) the proceeds of disposition of
	(i) property forfeited to Her Majesty under subsection 462.37(1) or (2) or 462.38(2) or subparagraph 462.43(c)(iii) of the Criminal Code, subsection 16(1) or 17(2) of the Controlled Drugs and Substances Act or the Proceeds of Crime (Money Laundering) Act , or
	(ii) property that is or was the subject of a management order and that was forfeited under subsection 490(9) of the Criminal Code
	and the proceeds arising from the disposition of property by that foreign state, and
	(b) amounts paid or recovered on account of fines imposed under subsection 462.37(3) of the Criminal Code in relation to proceedings commenced at the instance of the Government of Canada, penalties paid under subsection 18(2) of the Proceeds of Crime (Money Laundering) Act and amounts paid or recovered on account of fines imposed in lieu of forfeiture under the laws of that foreign state,
	if law enforcement agencies of that foreign state, or of Canada, as the case may be, have participated in the investigation of the offence or offences that led to the forfeiture of the property or the imposition of the fine or if the law enforcement agencies' participation led to the forfeiture of the property or the payment of the penalty under the Proceeds of Crime (Money Laundering) Act.