Proceeds of Crime (Money Laundering) and Terrorist Financing Act (S.C. 2000, c. 17)

Disclosure and Use of Information

Marginal note:Prohibition

• 36 (1) Subject to this section and subsection 12(1) of the Privacy Act, no official shall disclose the following:

  • (a) information set out in a report made under subsection 12(1), whether or not it is completed;

  • (b) any other information obtained for the purposes of this Part; or

  • (c) information prepared from information referred to in paragraph (a) or (b).

• Marginal note:Use of information

  (1.1) An officer may use information referred to in subsection (1) if the officer has reasonable grounds to suspect that the information is relevant to determining whether a person is a person described in sections 34 to 42 of the Immigration and Refugee Protection Act or is relevant to an offence under any of sections 91, 117 to 119, 126 or 127 of that Act.

• Marginal note:Disclosure of information to a police force

  (2) An officer who has reasonable grounds to suspect that information referred to in subsection (1) would be relevant to investigating or prosecuting a money laundering offence or a terrorist activity financing offence may disclose the information to the appropriate police force.

• Marginal note:Disclosure of information to the Centre

  (3) An officer may disclose to the Centre information referred to in subsection (1) if the officer has reasonable grounds to suspect that it would be of assistance to the Centre in the detection, prevention or deterrence of money laundering or of the financing of terrorist activities.

• Marginal note:Disclosure of information to Canada Revenue Agency

  (3.01) An officer may disclose to the Canada Revenue Agency information referred to in subsection (1) about the circumstances of a seizure under subsection 18(1) if the officer has reasonable grounds to suspect that the currency or monetary instruments seized

  • (a) are proceeds of crime as defined in subsection 462.3(1) of the Criminal Code or funds for use in the financing of terrorist activities; and

  • (b) relate to a registered charity as defined in subsection 248(1) of the Income Tax Act, to an entity that has applied for registration as such a registered charity, or to a person or any other entity that solicits charitable financial donations from the public.

• Marginal note:Recording of reasons for decision

  (3.1) If an officer decides to disclose information under any of subsections (2) to (3.01), the officer shall record in writing the reasons for the decision.

• Marginal note:Powers, duties and functions

  (4) An official may disclose information referred to in subsection (1) for the purpose of exercising powers or performing duties and functions under this Part.

• Marginal note:Immunity from compulsory processes

  (5) Subject to section 36 of the Access to Information Act and sections 34 and 37 of the Privacy Act, an official is required to comply with a subpoena, an order for production of documents, a summons or any other compulsory process only if it is issued in the course of

  • (a) criminal proceedings under an Act of Parliament that have been commenced by the laying of an information or the preferring of an indictment; or

  • (b) any legal proceedings that relate to the administration or enforcement of this Part.

• Definition of official

  (6) In this section and section 37, official means a person who obtained or who has or had access to information referred to in subsection (1) in the course of exercising powers or performing duties and functions under this Part.

Marginal note:Use of information

37 No official shall use information referred to in subsection 36(1) for any purpose other than exercising powers or performing duties and functions under this Part.

Agreements for Exchange of Information

Marginal note:Agreements with foreign states

• 38 (1) The Minister, with the consent of the Minister designated for the purpose of section 42, may enter into an agreement or arrangement in writing with the government of a foreign state, or an institution or agency of that state, that has reporting requirements similar to those set out in this Part, whereby

  • (a) information set out in reports made under subsection 12(1) in respect of currency or monetary instruments imported into Canada from that state will be provided to a department, institution or agency of that state that has powers and duties similar to those of the Canada Border Services Agency in respect of the reporting of currency or monetary instruments; and

  • (b) information contained in reports in respect of currency or monetary instruments imported into that state from Canada will be provided to the Canada Border Services Agency.

• Marginal note:Information sent under an agreement

  (2) When an agreement or arrangement referred to in subsection (1) is in effect with a foreign state or an institution or agency of that state and a person fulfils the reporting requirements of that state in respect of currency or monetary instruments that are imported into that state from Canada, the person is deemed to have fulfilled the requirements set out in section 12 in respect of the exportation of the currency or monetary instruments.

• Marginal note:Information received by the Centre

  (3) The information received under an agreement or arrangement referred to in subsection (1) shall be sent to the Centre and, for the purposes of any provision of this Act dealing with the confidentiality of information or the collection or use of information by the Centre, is deemed to be information set out in a report made under section 12.

Marginal note:Agreements with foreign states

38.1 The Minister, with the consent of the Minister designated for the purpose of section 42, may enter into an agreement or arrangement in writing with the government of a foreign state, or an institution or agency of that state, that has powers and duties similar to those of the Canada Border Services Agency, whereby the Canada Border Services Agency may, if it has reasonable grounds to suspect that the information would be relevant to investigating or prosecuting a money laundering offence or a terrorist activity financing offence, provide information set out in a report made under section 20 to that government, institution or agency.

Delegation

Marginal note:Minister’s duties

• 39 (1) The Minister may authorize an officer or a class of officers to exercise powers or perform duties of the Minister, including any judicial or quasi-judicial powers or duties of the Minister, under this Part.

• Marginal note:President’s duties

  (2) The President may authorize an officer or a class of officers to exercise powers or perform duties of the President under this Part.

PART 3Financial Transactions and Reports Analysis Centre of Canada

Object

Marginal note:Object

40 The object of this Part is to establish an agency that

• (a) acts at arm’s length and is independent from law enforcement agencies and other entities to which it is authorized to disclose information under subsection 55(3), 55.1(1) or 56.1(1) or (2);

• (b) collects, analyses, assesses and discloses information in order to assist in the detection, prevention and deterrence of money laundering, of the financing of terrorist activities and of sanctions evasion, and in order to assist the Minister in carrying out the Minister’s powers and duties under Part 1.1;

• (c) ensures that personal information under its control is protected from unauthorized disclosure;

• (d) operates to enhance public awareness and understanding of matters related to money laundering, the financing of terrorist activities and sanctions evasion; and

• (e) ensures compliance with Parts 1 and 1.1.

Establishment of the Centre

Marginal note:Centre established

• 41 (1) There is hereby established the Financial Transactions and Reports Analysis Centre of Canada.

• Marginal note:Powers of Centre

  (2) The Centre may exercise powers only as an agent of Her Majesty in right of Canada.

Marginal note:Minister is responsible

• 42 (1) The Minister is responsible for the Centre.

• Marginal note:Minister may direct

  (2) The Minister may direct the Centre on any matter that, in the Minister’s opinion, materially affects public policy or the strategic direction of the Centre.

• Marginal note:Statutory instruments

  (3) A direction under subsection (2) is not a statutory instrument for the purposes of the Statutory Instruments Act.

• Marginal note:Advisor

  (4) The Minister may from time to time engage the services of any person to advise and report to the Minister on any matter referred to in subsection (2).

Organization and Head Office

Marginal note:Appointment of Director

• 43 (1) The Governor in Council shall appoint a Director to hold office during pleasure for a term of not more than five years.

• Marginal note:Reappointment

  (2) Subject to subsection (3), the Director is eligible to be reappointed on the expiry of a first or subsequent term of office.

• Marginal note:Limitation

  (3) No person shall hold office as Director for terms of more than ten years in the aggregate.

• Marginal note:Absence or incapacity

  (4) In the event of the absence or incapacity of the Director, or if the office of Director is vacant, the Governor in Council may appoint a qualified person to hold office instead of the Director for a term of not more than six months, and the person shall, while holding that office, have all of the powers, duties and functions of the Director under this Part.

• Marginal note:Delegation by Director

  (5) The Director may delegate to any person, subject to any terms and conditions that the Director may specify, any power, duty or function conferred on the Director under this Act.

Marginal note:Accident compensation

44 The Director and the employees of the Centre are deemed to be employees for the purposes of the Government Employees Compensation Act and to be employed in the federal public administration for the purposes of any regulations made under section 9 of the Aeronautics Act.

Marginal note:Director’s powers

• 45 (1) The Director is the chief executive officer of the Centre, has supervision over and direction of its work and employees and may exercise any power and perform any duty or function of the Centre. The Director has the rank and all the powers of a deputy head of a department.

• Marginal note:Directions to authorized persons

  (2) The Director may authorize any person to act, under the Director’s direction, for the purposes of sections 62 to 64.

Marginal note:Employees

46 An employee of the Centre may exercise any power and perform any duty or function of the Centre if the employee is appointed to serve in the Centre in a capacity appropriate to the exercise of the power or the performance of the duty or function.

Marginal note:Remuneration

47 The Director shall be paid the remuneration fixed by the Governor in Council.

Marginal note:Head office

• 48 (1) The head office of the Centre is to be in the National Capital Region, as described in the schedule to the National Capital Act.

• Marginal note:Other offices

  (2) The Director may, with the approval of the Minister, establish other offices of the Centre elsewhere in Canada.

Human Resources

Marginal note:Personnel

• 49 (1) The Director has exclusive authority to

  • (a) appoint, lay off or terminate the employment of the employees of the Centre; and

  • (b) establish standards, procedures and processes governing staffing, including the appointment, lay-off or termination of the employment of employees otherwise than for cause.

• Marginal note:Right of employer

  (2) Nothing in the Federal Public Sector Labour Relations Act shall be construed so as to affect the right or authority of the Director to deal with the matters referred to in paragraph (1)(b).

• Marginal note:Human resources management

  (3) Subsections 11.1(1) and 12(2) of the Financial Administration Act do not apply to the Centre, and the Director may

  • (a) determine the organization of and classify the positions in the Centre;

  • (b) set the terms and conditions of employment for employees, including termination of employment for cause, and assign to them their duties;

  • (c) notwithstanding section 112 of the Federal Public Sector Labour Relations Act, in accordance with the mandate approved by the Treasury Board, fix the remuneration of the employees of the Centre; and

  • (d) provide for any other matters that the Director considers necessary for effective human resources management in the Centre.

Marginal note:Political activities

50 Part 7 of the Public Service Employment Act applies to the Director and employees of the Centre. For the purposes of that Part, the Director is deemed to be a deputy head, and the employees are deemed to be employees, as defined in subsection 2(1) of that Act.

Appropriation

Marginal note:Advance amounts out of C.R.F.

• 50.1 (1) Subject to subsection (2), the Minister may, in any fiscal year on terms and conditions — including the rate of interest, if any — that are determined by the Minister, advance amounts out of the Consolidated Revenue Fund to the Centre to permit it to defray its costs of operation.

• Marginal note:Spending authority

  (2) In carrying out its responsibilities, the Centre may spend assessments and other revenues received through the conduct of its operations in the fiscal year in which they are received or, unless an appropriation Act provides otherwise, in the next fiscal year. The amount of those assessments or other revenues shall be paid out of the Consolidated Revenue Fund.

• Marginal note:Payment for activity

  (3) If the Centre carries on any activity under paragraph 58(1)(b) or (c) on the Minister’s recommendation, the Minister may on terms and conditions approved by the Treasury Board, in any fiscal year, make a payment out of the Consolidated Revenue Fund to the Centre for the purposes of the activity.