Financial Crime Epidemic Hits Canada: “Dirty Money” Book Reveals Underworld of Fraud and Money Laundering
A Staggering Financial Underworld Exposed
A new book, “Dirty Money: Financial Crime in Canada”, reveals a shocking truth about the state of financial crime in Canada. The authors, Jamie Ferrill and Christian Leuprecht, claim that elected leaders at all levels are enabling and emboldening fraudsters and money launderers by failing to fight them or even try to hinder their illegal activities.
Weak Legislation and Enforcement Allow Criminals to Thrive
The book argues that weak legislation, an under-resourced enforcement regime, and negligible penalties have contributed to the prevalence of financial crime in Canada. The authors estimate that between $46.7 billion and $54 billion worth of profit from criminal activities sloshes around in Canada each year.
Forms of Financial Crime Explored
The book delves into various forms of financial crime, including:
- Trade-based money laundering
- Casino fraud
- Real estate transactions used by criminal organizations to support their illegal activities and launder dirty money into the clean economy
- Cryptocurrency laundering
Anti-Money Laundering Efforts Critiqued
University of Calgary assistant law professor Sanaa Ahmed’s chapter offers a critical assessment of Canada’s anti-money laundering efforts, which she describes as lacking a clear national commitment to combating financial corruption. Ahmed argues that repeated failures are due to missteps, shifting priorities, and resource shortfalls.
FINTRAC Responds to Claims
FINTRAC spokesperson Darren Gibb disputed claims made in the book, stating that 96% of feedback from law enforcement and national security agencies indicated that FINTRAC’s financial intelligence was both valuable and actionable. Gibb also highlighted the centre’s provision of over 2,000 financial intelligence disclosures last year to support money laundering and terrorist activity financing probes.
Conclusion: Financial Corruption as an Industry
The authors conclude that Canada’s financial corruption has emerged as an industry within the country’s political economy, with the government’s commitments and pronouncements against money laundering being of questionable worth. The book is set to leave readers sleepless due to its stark revelations about the state of financial crime in Canada.