B.C. introduces 'unexplained wealth orders' to target money laundering, organized crime
British Columbia has expanded legislation to crack down on organized crime assets, through a tool called unexplained wealth orders.
At a news conference Thursday, Solicitor General Mike Farnworth said if there is suspicion of unlawful activity, these orders will require people to explain how they acquired their assets.
He added the orders are a tool that will assist the province with investigating common money laundering techniques, such as hiding assets with family members.
“Too many people are recruited into organized crime with dreams of exotic cars, fancy homes, and a glamorous lifestyle. It is anything but,” Farnworth said.
The amendment was made to the Civil Forfeiture Act, which became law in 2006. Other amendments include making it easier to access information from public bodies and organizations such as real estate boards, targeting the illegal cannabis market, eliminating the limitation period on forfeiture proceedings, and making it easier to target financed vehicles.
Farnworth said these amendments will make it more difficult “for criminals to bank on their illicit assets.”
According to the province, in order to get an unexplained wealth order, the court must agree there is reason to suspect the person or organization is engaged in unlawful activity, or is a politically exposed foreign person.
The person must also hold assets in B.C. worth at least $75,000, that can not be explained by lawfu lemployment or activity.
The amendments are based on recommendations from the Cullen Commission of Inquiry into Money Laundering in British Columbia, which released its recommendations in June 2022.
“It is heartening to hear that this is being done. I believe (these orders) will prove a powerful and effective tool in combating and deterring money laundering and financial crime,” said Brock Martland, senior counsel to the Cullen Commission in a news release Thursday.
The changes are expected to come into effect in 2025.
Alexandra Wrage is the President and founder of TRACE, a non-profit, anti-bribery business association. She told CTV News she supports unexplained wealth orders but with safeguards in place.
"There are privacy and due process considerations, but we can’t simply acknowledge that dirty money is winning and we’re helpless to do anything about it," she wrote in a statement.
"A number of other countries are already hopeful that UWOs will slow the abuse of their markets to launder criminal funds and, if we join them, we can ensure that we don’t become part of a race to the bottom for money-launderers."
The B.C. Civil Liberties Association goes further. Ligation director Viber Jack told CTV News, the orders essentially flip our justice system on its head.
"It's creating a situation where British Columbians are going to have to go to court to prove that they are not criminals, and that's just unconstitutional," Jack added.
Another issue raised was that that the orders extend to family members -- that's something Farnworth made no apologies for.
"Just because the mob boss' spouse isn't involved in it, doesn’t' mean they get to keep the house," Farnworth added.
At an unrelated event, federal finance minister Chrystia Freeland noted Ottawa is also taking action on money laundering and organized crime.
"We introduced measures to criminalize unregulated money lending services, and will ensure the federal government responds to all the recommendations in the Cullen commission," Freeland explained.
Yet critics say the criminal law and police resources are no match for increasingly sophisticated crime rings.
The changes are expected to come into effect in 2025.
With files from CTV News Vancouver's Regan Hasegawa, Bhinder Sajan and The Canadian Press
CTVNews.ca Top Stories
RCMP uncovers plot to sell drones and equipment to Libya
The RCMP says it has uncovered a plot by two men in Montreal to sell Chinese drones and military equipment to Libya illegally.
Doctors ask Liberal government to reconsider capital gains tax change
The Canadian Medical Association is asking the federal government to reconsider its proposed changes to capital gains taxation, arguing it will affect doctors' retirement savings.
Demonstrators kicked out of Ontario legislature for disruption after failed keffiyeh vote
A group of demonstrators were kicked out of the legislature after a second NDP motion calling for unanimous consent to reverse a ban on the keffiyeh failed to pass.
BREAKING Man wanted in connection with deadly shooting in Toronto tops list of most wanted fugitives in Canada
A 35-year-old man wanted in connection with the murder of Toronto resident 29-year-old Sharmar Powell-Flowers nine months ago has topped the list of the BOLO program’s 25 most wanted fugitives across Canada, police announced Tuesday.
Tom Mulcair: Park littered with trash after 'pilot project' is perfect symbol of Trudeau governance
Former NDP leader Tom Mulcair says that what's happening now in a trash-littered federal park in Quebec is a perfect metaphor for how the Trudeau government runs things.
Keeping these exotic pets is 'cruel' and 'dangerous,' Canadian animal advocates say
Canadian pet owners are finding companionship beyond dogs and cats. Tigers, alligators, scorpions and tarantulas are among some of the exotic pets they are keeping in private homes, which pose risks to public safety and animal welfare, advocates say.
Cherry blossoms blooming in Canada: Here's what to know
There is a swaying sea of colour in some cities across Canada, and it's a sure sign of spring: cherry blossoms are in bloom.
Murder charges filed against U.S. woman who crashed into building hosting birthday party, killing 2 kids
A Michigan woman was charged Tuesday with second-degree murder and other crimes after prosecutors say she drunkenly smashed her SUV into a boat club that was hosting a birthday party, killing two young siblings and injuring several other people.
Toronto's police chief clarifies initial statement on Umar Zameer acquittal, says he 'accepts' jury's finding
Toronto's Chief of Police has clarified a statement that he'd hoped for "a different outcome" made just after Umar's Zameer acquittal, telling reporters Tuesday he supports and accepts the jury's finding in the five-week trial.