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

Proceeds of Crime (Money Laundering) and Terrorist Financing Act

Assented to 2000-06-29

An Act to facilitate combatting the laundering of proceeds of crime and combatting the financing of terrorist activities, to establish the Financial Transactions and Reports Analysis Centre of Canada and to amend and repeal certain Acts in consequence

Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows:

Short Title

Marginal note: Short title

• 2000, c. 17, s. 1
• 2001, c. 41, s. 48

Interpretation

Marginal note: Definitions

• 2 (1) The definitions in this section apply in this Act. means a person who is authorized under subsection 45(2). ( personne autorisée ) means the Financial Transactions and Reports Analysis Centre of Canada established by section 41. ( Centre ) includes a person or entity that engages in a financial transaction with another person or entity. ( client ) [Repealed, 2005, c. 38, s. 124] [Repealed, 2017, c. 20, s. 407] has the same meaning as in subsection 2(1) of the Customs Act . ( bureau de douane ) means a body corporate, a trust, a partnership, a fund or an unincorporated association or organization. ( entité ) means the Financial Action Task Force on Money Laundering established in 1989. ( Groupe d’action financière ) , except for the purposes of Part 2, means a country other than Canada and includes any political subdivision or territory of a foreign state. ( État étranger ) means, in Quebec, an advocate or a notary and, in any other province, a barrister or solicitor. ( conseiller juridique ) means an entity that is engaged in the business of providing legal services to the public. ( cabinet juridique ) has the same meaning as in subsection 2(1) of the Canada Post Corporation Act . ( envois ou courrier ) means, in relation to sections 24.1 to 39, the Minister of Public Safety and Emergency Preparedness and, in relation to any other provision of this Act, the Minister of Finance. ( ministre ) means an offence under subsection 462.31(1) of the Criminal Code . ( infraction de recyclage des produits de la criminalité ) [Repealed, 2014, c. 20, s. 254] means an individual. ( personne ) means prescribed by regulations made by the Governor in Council. ( Version anglaise seulement ) means the President of the Canada Border Services Agency appointed under subsection 7(1) of the Canada Border Services Agency Act . ( président ) means an offence arising from the contravention of a restriction or prohibition established by an order or a regulation made under the United Nations Act , the Special Economic Measures Act or the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) . ( infraction de contournement de sanctions ) has the same meaning as in subsection 83.01(1) of the Criminal Code . ( activité terroriste ) means an offence under section 83.02, 83.03 or 83.04 of the Criminal Code or an offence under section 83.12 of the Criminal Code arising out of a contravention of section 83.08 of that Act. ( infraction de financement des activités terroristes ) has the same meaning as in section 2 of the Canadian Security Intelligence Service Act . ( menaces envers la sécurité du Canada ) means a contravention of this Act or the regulations that is designated as a violation by regulations made under subsection 73.1(1). ( violation )
• Marginal note: Definitions — regulations (2) The Governor in Council may, on the recommendation of the Minister, make regulations defining the following words and expressions:
  • (a) ;
  • (b) ;
  • (c) ;
  • (d) , for the purposes of subsection 54.1(3);
  • (e) ; and
  • (f) .
  • 2000, c. 17, s. 2, c. 24, s. 76.1
  • 2001, c. 32, s. 70, c. 41, ss. 49, 132
  • 2005, c. 38, ss. 124, 145
  • 2006, c. 12, s. 1
  • 2010, c. 12, s. 1862
  • 2014, c. 20, s. 254
  • 2017, c. 20, s. 407
  • 2019, c. 29, s. 104
  • 2024, c. 15, s. 278

  Object of Act

  Marginal note: Object

  3 The object of this Act is

  • (a) to implement specific measures to detect and deter money laundering and the financing of terrorist activities and to facilitate the investigation and prosecution of money laundering offences and terrorist activity financing offences, including
    • (i) establishing record keeping and client identification requirements for financial services providers and other persons or entities that engage in businesses, professions or activities that are susceptible to being used for money laundering or the financing of terrorist activities,
    • (ii) requiring the reporting of suspicious financial transactions and of cross-border movements of currency and monetary instruments, and
    • (iii) establishing an agency that is responsible for ensuring compliance with Parts 1 and 1.1 and for dealing with reported and other information;
    • 2000, c. 17, s. 3
    • 2001, c. 41, s. 50
    • 2010, c. 12, s. 1863
    • 2014, c. 20, s. 255

    Her Majesty

    Marginal note: Binding on Her Majesty

    4 This Act is binding on Her Majesty in right of Canada or a province.

    PART 1 Record Keeping, Verifying Identity, Reporting of Suspicious Transactions and Registration

    Application

    Marginal note: Application of Part

    5 This Part applies to the following persons and entities:

    • (a) authorized foreign banks within the meaning of section 2 of the Bank Act in respect of their business in Canada, or banks to which that Act applies;
    • (b) cooperative credit societies, savings and credit unions and caisses populaires regulated by a provincial Act and associations regulated by the Cooperative Credit Associations Act ;
    • (c) life companies or foreign life companies to which the Insurance Companies Act applies or life insurance companies regulated by a provincial Act;
    • (d) companies to which the Trust and Loan Companies Act applies;
    • (e) trust companies regulated by a provincial Act;
    • (e.1) trust companies incorporated or formed by or under a provincial Act that are not regulated by a provincial Act;
    • (f) loan companies regulated by a provincial Act;
    • (g) persons and entities authorized under provincial legislation to engage in the business of dealing in securities or any other financial instruments or to provide portfolio management or investment advising services, other than persons who act exclusively on behalf of such an authorized person or entity;
    • (h) persons and entities that have a place of business in Canada and that are engaged in the business of providing at least one of the following services:
      • (i) foreign exchange dealing,
      • (ii) remitting funds or transmitting funds by any means or through any person, entity or electronic funds transfer network,
      • (iii) issuing or redeeming money orders, traveller’s cheques or other similar negotiable instruments except for cheques payable to a named person or entity,
      • (iv) dealing in virtual currencies, or
      • (v) any prescribed service;
      • (i) foreign exchange dealing,
      • (ii) remitting funds or transmitting funds by any means or through any person, entity or electronic funds transfer network,
      • (iii) issuing or redeeming money orders, traveller’s cheques or other similar negotiable instruments except for cheques payable to a named person or entity,
      • (iv) dealing in virtual currencies, or
      • (v) any prescribed service;
      • (i) in a permanent establishment that is held out to be a casino, conducts and manages a lottery scheme that includes games of roulette or card games, or
      • (ii) in any other permanent establishment, conducts and manages games that are operated on or through a , as defined in subsection 207(4.01) of the Criminal Code , or any other similar electronic gaming device, if there are more than 50 of those machines or other devices in the establishment;
      • 2000, c. 17, s. 5
      • 2001, c. 41, s. 51
      • 2006, c. 12, s. 3
      • 2014, c. 20, s. 256
      • 2017, c. 20, ss. 408, 436
      • 2018, c. 29, s. 78

      Marginal note: Clarification

      5.1 For greater certainty, this Part does not apply to persons or entities referred to in paragraph 5(h.1) in respect of the services they provide to persons or entities outside Canada.

      Record Keeping and Verifying Identity

      Marginal note: Record keeping

      6 Every person or entity referred to in section 5 shall keep records in accordance with the regulations.

      • 2000, c. 17, s. 6
      • 2006, c. 12, s. 4
      • 2017, c. 20, s. 409

      Marginal note: Verifying identity

      6.1 Every person or entity referred to in section 5 shall verify the identity of a person or entity in accordance with the regulations.

      • 2006, c. 12, s. 4
      • 2017, c. 20, s. 409

      Reporting and Other Requirements

      Marginal note: Transactions if reasonable grounds to suspect

      7 Subject to section 10.1, every person or entity referred to in section 5 shall, in accordance with the regulations, report to the Centre every financial transaction that occurs or that is attempted in the course of their activities and in respect of which there are reasonable grounds to suspect that

      • (a) the transaction is related to the commission or the attempted commission of a money laundering offence; or
      • (b) the transaction is related to the commission or the attempted commission of a terrorist activity financing offence.
      • 2000, c. 17, s. 7
      • 2001, c. 41, s. 52
      • 2006, c. 12, s. 5
      • 2017, c. 20, s. 410