The Anti-terrorism Act

MEASURES TO COMBAT
THE FINANCING OF TERRORISM

The Anti-terrorism Act (ATA) amended the Criminal Code to create three criminal offences related to the financing of terrorism. These amendments to the Criminal Code enabled Canada to implement international obligations under the UN Security Resolution 1373 and the International Convention for the Suppression of the Financing of Terrorism.

Terrorist Financing Offences

• Section 83.02 makes it an offence to "wilfully and without lawful justification or excuse", directly or indirectly provide or collect property intending or knowing that it will be used, in whole or in part, to carry out a "terrorist activity" as defined in section 83.01(a)(i) to (ix) or any other act or omission intended to cause death or serious bodily harm to a person, if the purpose of that act or omission is to intimidate the public or compel a government to do or refrain from doing any act..
• Section 83.03 makes it an offence to directly or indirectly collect property or to make available, provide, or invite a person to provide property or financial or other related services:
  • intending or knowing that they be used, in whole or in part, for the purpose of facilitating or carrying out a terrorist activity, or for the purpose of "benefiting" a person who is facilitating or carrying out a terrorist activity; or,
  • knowing that, in whole or part, they will be used by or will benefit a terrorist group.
• Section 83.04 makes it an offence to use property, directly or indirectly, in whole or in part, for the purpose of facilitating or carrying out a terrorist activity. It is also an offence under this section to possess property, intending or knowing that it will be used, directly or indirectly, in whole or in part, for the purpose of facilitating or carrying out a terrorist activity.

Safeguards, such as the requirement for the Attorney General's consent to institute proceedings, have been incorporated into the ATA with respect to the financing offences.

Knowledge and Intention Requirements

The terrorist financing offences contain knowledge and intention requirements. Section 83.02, for example, provides that the collection or provision of property be "wilful", and be undertaken with the knowledge or intention that the property will be used to carry out certain activities.

Section 83.03 requires knowledge or intention that the property or service will be used for the purpose of facilitating or carrying out a terrorist activity or benefiting any person who is facilitating or carrying out such an activity or knowing that they will be used by or benefit a terrorist group.

Section 83.04 requires that the use of property be for the purpose of facilitating or carrying out a terrorist activity, or possessing property knowing or intending that it will be used for those purposes.

Attorney General's Consent

A further safeguard incorporated into these provisions is that the consent of the Attorney General of Canada or the Attorney General or Solicitor General of the province, or the lawful deputy of any of them, is required before proceedings may be instituted in respect of a terrorist financing offence (Criminal Code, section 83.24).

Proceeds of Crime (Money Laundering) and Terrorist Financing Act

The ATA also amended the Proceeds of Crime (Money Laundering) Act, which was consequently renamed the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA).

As a result of these amendments, the mandate of FINTRAC, Canada's financial intelligence unit, was expanded to include assisting in the detection and deterrence of terrorist activity financing. Regulations were brought into force on June 12, 2002 to require financial institutions and other intermediaries to report suspicious financial transactions relating to terrorist activity financing and terrorist property.

These changes allow Canada to guard against the abuse of its financial system by terrorist groups. Law enforcement authorities and the Canadian Security Intelligence Service (CSIS) can obtain necessary information about suspected terrorist financing activities.
Amendments to the PCMLTFA received Royal Assent on December 14, 2006. The amending Bill C-25 can be consulted on the Parliament of Canada Web site.

Charities Registration (Security of Information) Act

The ATA established the Charities Registration (Security of Information) Act (CRSIA).

The CRSIA makes possible the use of certain information in determining whether organizations can be registered as charitable under the Income Tax Act or maintain their charitable status. It allows the Minister of Public Safety and the Minister of National Revenue to deny or revoke the charitable status of an organization when they have reasonable grounds to believe that, based on the classified information before them, an organization has made, makes or will make available any resources, directly or indirectly, to a "listed entity" (as defined in section 83.01 of the Criminal Code).

Updated to April 1, 2008.